North Dakota § 6-05-04 Surety deposit investments required - Securities in which investment may be made

North Dakota Statutes

§ 6-05-04 — Surety deposit investments required - Securities in which investment may be made

North Dakota § 6-05-04

Title 6Banks and Banking

Ch. 6-05Annuity, Safe Deposit, Surety, and Trust Companies

This text of North Dakota § 6-05-04 (Surety deposit investments required - Securities in which investment may be made) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.D. Cent. Code § 6-05-04 (2026).

Text

made.
Every corporation organized under this chapter and every foreign corporation before
engaging in similar comparable activities within this state shall either deposit with any federal
reserve bank, the Bank of North Dakota, or any other custodian approved by the commissioner,
securities as provided by this section or pledge a certificate of deposit as provided by this
section. The deposit or pledge may not be less than fifty thousand dollars or less than one-sixth
of the par value of the capital stock of the corporation, whichever is the greater. However, a
corporation is not required to deposit or pledge more than five hundred thousand dollars. The
deposit certificate or pledge agreement must authorize the commissioner to cause the deposit,
in part or in whole, to be transferred to th

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made.
Every corporation organized under this chapter and every foreign corporation before
engaging in similar comparable activities within this state shall either deposit with any federal
reserve bank, the Bank of North Dakota, or any other custodian approved by the commissioner,
securities as provided by this section or pledge a certificate of deposit as provided by this
section. The deposit or pledge may not be less than fifty thousand dollars or less than one-sixth
of the par value of the capital stock of the corporation, whichever is the greater. However, a
corporation is not required to deposit or pledge more than five hundred thousand dollars. The
deposit certificate or pledge agreement must authorize the commissioner to cause the deposit,
in part or in whole, to be transferred to the commissioner upon the commissioner's demand. An
original of the deposit certificate or pledge must be furnished to the commissioner. The deposit
or pledge must be:
1. Bonds of the United States or of this state;
2. Bonds of other states which have the approval of the commissioner of financial
institutions;
3. Bonds or obligations of any township, school district, city, or county within this state,
whose total bonded indebtedness does not exceed five percent of the then assessed
valuation thereof;
4. Bonds or promissory notes secured by first mortgages or deeds of trust upon
unencumbered real estate situated within the state of North Dakota worth two and
one-half times the amount of the obligation so secured;
5. Obligations issued, assumed, or guaranteed by the international bank for
reconstruction and development or the African development bank;
6. United States treasury bills or notes of an agency thereof;

7. Certificates of deposit fully insured by the federal deposit insurance corporation from
banks located within this state; or
8. Certificates of deposit issued by the Bank of North Dakota.