§ 524.705 — Bonds of officers and employees

Iowa § 524.705

• Jurisdiction: Iowa
• Title XIII: COMMERCE
• Ch. 524: BANKS

Text

The officers and employees of a state bank having the care, custody, or control of any
funds or securities for any state bank shall give a good and sufficient bond in a company
authorized to do business in this state indemnifying the state bank against losses, which
may be incurred by reason of any act or acts of fraud, dishonesty, forgery, theft, larceny,
embezzlement,wrongfulabstraction,misapplication,misappropriation,orotherunlawfulact
committed by such officer or employee directly or through connivance with others, until all
of the officer’s or employee’s accounts with the state bank are fully settled and satisfied. The
amountsandsuretiesaresubjecttotheapprovaloftheboardofdirectors. Thesuperintendent
may require higher amounts as deemed necessary. If the agent of a bonding company issuing
a bond under this section is an officer or employee of the state bank upon which the bond was
issued, the bond so issued shall contain a provision that the bonding company shall not use,
either as a grounds for rescission or as a defense to liability under the terms and conditions of
the bond, the knowledge that the agent was so employed, whether or not the agent received
any part of the premium for the bond as a commission.

Legislative History

[C97, §1845; C24, 27, §9169; C31, 35, §9169, 9217-c3; C39, §9169, 9217.3; C46, 50, 54, 58, 62, 66, §526.12, 528.3; C71, 73, 75, 77, 79, 81, §524.705]