§ 660 — Misconduct of officers, directors, trustees, or employees of banking corporations and of private bankers

§ 660. Misconduct of officers, directors, trustees, or employees of\nbanking corporations and of private bankers. A director of a\ncorporation, organized under the laws of this state, having banking\npowers, who concurs in any vote or act of the directors of such\ncorporation, or any of them, by which it is intended to make a loan or\ndiscount to any director of such corporation, or upon paper upon which\nany such director is liable or responsible to an amount exceeding the\namount allowed by statute; or, any director, trustee, officer or\nemployee of any corporation to which the banking law is applicable who\nmakes or maintains, or attempts to make or maintain, a deposit of such\ncorporation's funds with any other corporation on condition, or with the\nunderstanding, express or implied, that the corporation receiving such\ndeposit make a loan or advance, directly or indirectly, to any director,\ntrustee, officer or employee of the corporation so making or maintaining\nor attempting to make or maintain such deposit; or any director,\ntrustee, officer, or employee of any banking corporation organized under\nthe laws of another state which is doing business in New York, who makes\nor maintains, or attempts to make or maintain, a deposit of such\ncorporation's funds with any banking organization or any branch of a\nforeign banking corporation licensed under article five of this chapter,\non condition, or with the understanding, express or implied, that the\nbanking organization or branch receiving such deposit make a loan or\nadvance, directly or indirectly, to any director, trustee, officer or\nemployee of such banking corporation so making or maintaining or\nattempting to make or maintain such deposit; or any director, trustee,\nofficer, or employee of any banking organization or any branch or agency\nof a foreign banking corporation licensed under article five of this\nchapter who receives, or attempts to receive, a deposit of funds from\nany other banking organization, or any national banking association,\nfederal savings and loan association, federal credit union, or a banking\ncorporation organized under the laws of another state or country, on\ncondition, or with the understanding, express or implied, that such\nbanking organization or foreign banking corporation licensed under\narticle five of this chapter receiving, or attempting to receive, such\ndeposit make a loan or advance, directly or indirectly, to any director,\ntrustee, officer or employee of the banking organization, national\nbanking association, federal savings and loan association, federal\ncredit union or banking corporation organized under the laws of another\nstate or country, so making or attempting to make, such deposit; or, any\nofficer or employee of any corporation to which the banking law is\napplicable who intentionally conceals from the directors or trustees of\nsuch corporation any discounts or loans made by it between the regular\nmeetings of its board of directors or trustees, or the purchase of any\nsecurities or the sale of any of its securities during the same period,\nor knowingly fails to report to its board of directors or trustees when\nrequired to do so by law, all discounts or loans made by it and all\nsecurities purchased or sold by it between the regular meetings of its\nboard of directors or trustees; or any director, officer or employee of\na bank or trust company, or a private banker or his employee, who makes\nany agreement express or implied, before or at the time of issuing a\ncertificate of deposit, by which its holder may demand or receive\npayment thereof in advance of its maturity, is guilty of a misdemeanor.\nNothing in this section shall render any loan made by the directors of\nany such corporation, in violation thereof, invalid.\n