§ 28-7-1-16.5 — Conflicts of interest; disqualification; directors; committee members

Indiana § 28-7-1-16.5

• Jurisdiction: Indiana
• Art. 7: SPECIALIZED FINANCIAL INSTITUTIONS
• Ch. 1: Credit Unions

Text

5. (a) This section governs the participation
of board members in board actions.
(b) Unless a matter involves setting dividends, loan rates, or fees for
services or other general policy applicable to all members of the credit
union, a director, a committee member, an officer, or an employee of
a credit union shall not in any manner, directly or indirectly, participate
in the deliberation or board action on any matter that affects the
director's, committee member's, officer's, or employee's pecuniary
interest or the pecuniary interest of an entity other than the credit union
in which the director, committee member, officer, or employee is
interested.
(c) If one (1) or more directors are disqualified from participating
in a matter before the credit union board under subsection (b), the
remaining qualified directors present at the meeting, if together with
the disqualified director constitutes a quorum, may by majority vote
exercise all the powers of the board with respect to the matter under
consideration. If all of the directors are disqualified, the members of the
credit union shall act on the matter.
(d) If one (1) or more committee members are disqualified from
participating in a matter before the committee under subsection (b), the
remaining qualified committee members, if together with the
disqualified committee member constitutes a quorum, may by majority
vote exercise all the powers of the committee with respect to the matter
under consideration. If all the committee members are disqualified, the
credit union board shall act on the matter.

Legislative History

As added by P.L.35-2010, SEC.156.