§ 23-6-4-16 — Board of directors; loan committees

Indiana § 23-6-4-16

• Jurisdiction: Indiana
• Title 23: BUSINESS AND OTHER ASSOCIATIONS
• Art. 6: PUBLIC CORPORATIONS AND ASSOCIATIONS
• Ch. 4: Indiana Business Development Credit Corporation Law

Text

(a) Except as otherwise provided in section 15
of this chapter, the corporate powers of a credit corporation shall be
exercised by its board of directors. The board of directors of a credit
corporation consists of:
(1) thirteen (13) individuals who are elected to serve as directors
by the shareholders and members of the credit corporation; and
(2) two (2) ex officio directors as provided in subsection (c).
Each elected director must be at least eighteen (18) years of age, a
citizen of the United States, and a resident of Indiana.
(b) The number of directors to be elected by the shareholders of a
credit corporation and the number of directors to be elected by the
members of the corporation must be included in the articles of
incorporation of the credit corporation.
(c) The treasurer of state and the director of the department of
financial institutions shall each serve as an ex officio director of a
credit corporation, with the same authority as an elected director, but
without liability for that service, except for gross negligence or willful
misconduct.
(d) If an elected director of a credit corporation ceases being a
citizen of the United States or a resident of Indiana, the individual's
position as a director of the credit corporation immediately becomes
vacant.
(e) If a vacancy occurs in the elected membership of the board of
directors of a credit corporation through death, resignation, or
otherwise, the vacancy shall be filled in the manner prescribed in this
subsection. A vacancy in the office of a director elected by the
members shall be filled by the directors elected by the members, and
a vacancy in the office of a director elected by the shareholders shall be
filled by the directors elected by the shareholders.
(f) The board of directors of a credit corporation, by resolution
adopted by a majority of the actual number of directors holding office,
may establish a loan committee. Except as otherwise provided in this
chapter, such a loan committee, to the extent provided in the resolution,
may exercise all the authority of the board of directors over the lending
operations of the credit corporation. However, only an individual who
is a member of the credit corporation's board of directors or who has
significant commercial lending experience may serve on the loan
committee.

Legislative History

As added by P.L.236-1985, SEC.1.