12C.19 - WITHDRAWALS, EXCHANGES OF SECURITY.
12C.19 WITHDRAWALS, EXCHANGES OF SECURITY.
1. Securities pledged pursuant to this chapter may be withdrawn
on application of the pledging depository institution, and as to
securities pledged by a credit union upon approval of the public
officer to whom the securities are pledged, if the deposit of
securities is no longer necessary to comply with this chapter, or
withdrawal is required for collection by virtue of maturity or
exchange. The depository institution shall replace securities so
withdrawn for collection or exchange.
2. In an exchange of deposited securities for new securities, the
amount of security on deposit at any time shall not be decreased
below that otherwise required by this chapter.
3. In the event of substitution, addition, or exchange of
securities, the holder or custodian of the securities shall, on the
same day, forward by regular mail to the public officer and the
credit union, a receipt specifically describing and identifying both
the substituted or additional securities.
4. The public officer which deposits public funds with a credit
union shall require, if the market value of the securities deposited
with or for the benefit of the officer falls below one hundred ten
percent of the deposit liability to the public officer, the deposit
of additional security to bring the total market value of the
security to one hundred ten percent of the amount of public funds
held by the credit union. Section History: Recent Form
84 Acts, ch 1230, § 23
C85, § 453.19
92 Acts, ch 1156, § 35
C93, § 12C.19
99 Acts, ch 117, §10, 15; 2002 Acts, ch 1096, §6, 17; 2003 Acts,
ch 44, §6
Referred to in § 12C.1