16550-16554

GOVERNMENT CODE
SECTION 16550-16554




16550.  As used in this article, "qualified trust company" means the
trust department of any State or National bank in this State or a
trust company authorized to act as such in this State.



16551.  With the consent of the bank owning securities deposited or
to be deposited with him as security, the Treasurer may:
   (a) Authorize any qualified trust company, other than the
depositor bank, or the Federal Reserve Bank of San Francisco or any
branch thereof or any state or national bank located in any city
designated as a reserve or central reserve city by the Board of
Governors of the Federal Reserve System to receive as his agent
deposits of any securities approved under this chapter.
   (b) Place and maintain for safekeeping as a trust deposit with any
qualified trust company, other than the depositor bank, or with the
Federal Reserve Bank of San Francisco or any branch thereof any
securities that have been received by him under this chapter.
   (c) Whenever any qualified trust company accepts such securities
under paragraph (a) or (b) such trust company, with the prior
approval of the Treasurer, may keep such securities for safekeeping
with any state or national bank located in a city designated as a
reserve or central reserve city by the Board of Governors of the
Federal Reserve System.



16552.  The Treasurer shall take from the qualified trust company or
from the Federal Reserve Bank of San Francisco or a branch thereof a
receipt for any securities received by it under this article.
Neither the Treasurer nor the State is responsible for the custody
and safe return of such securities until they are withdrawn from the
qualified trust company or from the Federal Reserve Bank of San
Francisco or a branch thereof by the Treasurer.



16553.  Any qualified trust company or the Federal Reserve Bank of
San Francisco or any branch thereof to which securities are
delivered, either as agent or depositary for the Treasury, shall make
such disposition of the securities as the Treasurer directs and is
responsible only for strict compliance with written instructions
given to it by the Treasurer. All such securities are at all times
subject to the order of the Treasurer.



16554.  The charges of any qualified trust company or of the Federal
Reserve Bank of San Francisco or a branch thereof for the handling
and safekeeping of such securities are not a charge against the
Treasurer but shall be paid by the owner.