MARVIN MANDEL, Governor

2037

net earnings after providing for expenses, losses,
interest, and taxes accruing or due from [said] THE
banking institution until [such] THE surplus [shall
equal] EQUALS and [thereafter continue] CONTINUES to
equal [one hundred] 100 percent [(100%) ] of its capital.
[No] A reduction of capital [shall] MAY NOT be made to [a
less] AN amount LESS than [is] THAT required under the
provisions of this article AND TITLE 6 OF THE
CORPORATIONS AND ASSOCIATIONS ARTICLE for capital, nor be
valid nor warrant the cancellation of stock certificates,
or diminish the personal liability of stockholders, until
[such ] THE reduction has been approved by the
Commissioner. [Such] THE COMMISSIONERS approval must
be based [upon a] ON HIS finding [by him] that the
remaining assets of the bank or trust company, after
[such] THE proposed reduction of its capital stock, will
be entirely sufficient for the payment of the claims of
existing creditors.        The provisions of this section

shall be construed retrospectively as well as
prospectively,

REVISOR'S NOTE: This section is amended to delete
the present first paragraph and the present
first sentence of the second paragraph, which
are included respectively in §§6—158 and 6-156
of the Corporations and Associations Article,
and to correct cross—references.

The only other changes are in style.

86.

[In the event] IF any banking institution, as defined
in § 63 of this article [, whether] AND incorporated
under [this article or by special act] THE LAWS OF THIS
STATE, [shall be ] WHICH IS acting as executor,
administrator, guardian, trustee, receiver, or committee
or in any other fiduciary capacity, [shall be] IS
dissolved or liquidated by the legislature, a court, or
otherwise[,] in voluntary or involuntary proceedings, or
in the event of its reorganization, all debts due and
owing by [said] THE banking institution in [any such]
THAT fiduciary capacity, and all accounts held by [any
such banking institution] IT in [any such] THAT fiduciary
capacity, for the funds or property of which it [shall
be] IS responsible, shall be preferred in the
distribution of the general assets of [such] THE banking
institution to all debts and liabilities of any nature
whatsoever, including salaries and wages of employees and
other debts and liabilities, and [said] THE preference
may be asserted and enforced by any person or banking
institution substituted or succeeding as fiduciary, with
respect to [any such] THESE accounts, in the place and