12C.17 - DEPOSIT OF SECURITIES.
12C.17 DEPOSIT OF SECURITIES.
1. A credit union which receives public funds shall pledge
securities owned by it as required by this chapter in one of the
following methods:
a. The securities shall be deposited with the county, city,
or other public officers at the option of the officers.
b. The securities shall be deposited pursuant to a bailment
agreement with a financial institution having facilities for the
safekeeping of securities and doing business in the state. A
financial institution which receives securities for safekeeping is
liable to the public officer to whom the securities are pledged for
any loss suffered by the public officer if the financial institution
relinquishes custody of the securities contrary to the provisions of
this chapter or the instrument governing the pledge of the
securities.
c. The securities shall be deposited with the federal reserve
bank, the federal home loan bank of Des Moines, Iowa, or the United
States central credit union, a corporate central credit union
organized under section 533.213, or a corporate credit union whose
activities are subject to regulation by the national credit union
administration pursuant to a bailment agreement or a pledge custody
agreement.
d. The securities may be deposited by any combination of
methods specified in paragraphs "a", "b", and "c".
2. A deposit of securities shall not be made in a facility owned
or controlled directly or indirectly by the financial institution
which deposits the securities.
3. All deposits of securities, other than deposits of securities
with the appropriate public officer, shall have a joint custody
receipt taken for the securities with one copy delivered to the
public officer and one copy delivered to the credit union. A credit
union pledging securities with a public officer may cause the
securities to be examined in the officer's office to show the
securities are placed with the officer as collateral security and are
not transferable except upon the conditions provided in this chapter.
4. Upon written request from the appropriate public officer but
not less than monthly, the federal reserve bank, the federal home
loan bank of Des Moines, Iowa, the United States central credit
union, a corporate central credit union organized under section
533.213, or a corporate credit union whose activities are subject to
regulation by the national credit union administration shall report a
description, the par value, and the market value of any pledged
collateral by a credit union. Section History: Recent Form
84 Acts, ch 1230, § 21
C85, § 453.17
85 Acts, ch 194, §4; 92 Acts, ch 1156, § 31--33
C93, § 12C.17
99 Acts, ch 117, §8, 15; 2006 Acts, ch 1040, §2, 3; 2007 Acts, ch
174, §79, 80; 2008 Acts, ch 1191, §28, 29
Referred to in § 12C.1