HARRY HUGHES, Governor

433

IN ADDITION TO COMPLYING WITH SUBSECTION (A) OF THIS
SECTION, THE INCORPORATORS OF A GUARANTY STOCK ASSOCIATION

SHALL ESTABLISH:

(1)       AN INITIAL SUBSCRIPTION ACCOUNT FOR GUARANTY
STOCK; AND

(2)       IF THE BOARD OF COMMISSIONERS REQUIRES, A
PAID-IN SURPLUS ACCOUNT, WHICH THE INCORPORATORS SHALL FUND
IN CASH.

REVISOR'S NOTE: This section is new language added here
for clarification to introduce a description of
initial amounts required for incorporation.

The General Assembly may wish to consider whether
the capital structure of a guaranty stock
association is compatible with the concept of
free share accounts.

"Board of Commissioners", "guaranty stock",
"guaranty stock association", and "savings and
loan association" are defined in § 9—101 of this
title.

9-215 SURETY BOND.

THE CHAIRMAN OF THE INCORPORATORS SHALL DELIVER TO THE
DIVISION DIRECTOR A BOND ISSUED BY A SURETY COMPANY
QUALIFIED TO DO BUSINESS IN THIS STATE. THE BOND SHALL:

(1)       BE IN THE AGGREGATE AMOUNT OF THE FOLLOWING
FUNDS, AS MAY BE APPLICABLE UNDER § 9-214 OF THIS SUBTITLE:

(I) INITIAL SUBSCRIPTION FOR FREE SHARE
ACCOUNTS;

(II) INITIAL GENERAL RESERVE FUND;

(III)       EXPENSE FUND;

(IV)       INITIAL SUBSCRIPTION FOR GUARANTY
STOCK ACCOUNT; AND

(V)       INITIAL PAID-IN SURPLUS ACCOUNT;

(2)       NAME THE DIVISION DIRECTOR AS OBLIGEE;

(3)       BE IN THE FORM REQUIRED BY THE DIVISION
DIRECTOR; AND

(4)       GUARANTEE THE SAFEKEEPING OF THE AMOUNTS
COLLECTED IN THE INITIAL ACCOUNTS:

(I) FOR DELIVERY TO THE SAVINGS AND LOAN
ASSOCIATION IF A CERTIFICATE OF INCORPORATION IS ISSUED; OR