HARRY HUGHES, Governor

455

that the minimum amount to be maintained is at
least $100,000 or any greater amount that the
Board of Commissioners requires, as provided in §
9-216 of this title. This conforms to former
Art. 23, § 161M(a)(1).

(B) EXCEPTIONS.

(1)       EACH SAVINGS AND LOAN ASSOCIATION
INCORPORATED BEFORE JULY 1, 1961, SHALL MAINTAIN A MINIMUM
AGGREGATE AMOUNT OF FREE SHARE ACCOUNTS, DETERMINED BY THE
LOCATION OF THE PRINCIPAL BUSINESS OFFICE OF THE
ASSOCIATION, AS FOLLOWS:

(I)       $10,000 IN CITIES, TOWNS, OR VILLAGES
THAT HAVE LESS THAN 15,000 INHABITANTS;

(II)       $25,000 IN CITIES, TOWNS, OR VILLAGES
THAT HAVE 15,000 OR MORE BUT LESS THAN 100,000 INHABITANTS;
AND

(III)       $50,000 IN CITIES, TOWNS, OR
VILLAGES THAT HAVE 100,000 OR MORE INHABITANTS.

(2)       THE NUMBER OF INHABITANTS OF THE CITY, TOWN,
OR VILLAGE SHALL BE DETERMINED BY THE BOARD OF COMMISSIONERS
IN ACCORDANCE WITH THE LATEST FEDERAL CENSUS.

(3)      IF ART SAVINGS AND LOAN ASSOCIATION FAILS TO
COMPLY WITH THIS SUBSECTION, THE BOARD OF COMMISSIONERS
SHALL INSTITUTE PROCEEDINGS AGAINST THE ASSOCIATION UNDER
TITLE 8, SUBTITLE 4 OF THIS ARTICLE.

REVISOR'S NOTE: This section presently appears as Art.
23, § 161D(c).

The third sentence of Art. 23, § 161D(c)(1),
which allowed a 90—day period for compliance
after the effective date of the act, is deleted
as obsolete.

The balance of Art. 23, § 161D, which required
compliance by all then existing associations by
February 1, 1962, is deleted as obsolete.

"Board of Commissioners" and "savings and loan
association" are defined in § 9-101 of this
title.

9-318. RESERVES.

(A) GENERAL RESERVE FUND.

A SAVINGS AND LOAN ASSOCIATION SHALL MAINTAIN A GENERAL
RESERVE FUND, WHICH SHALL BE USED ONLY FOR THE PURPOSE OF
ABSORBING LOSSES.