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155.070 Powers and limitations of other corporate bodies in relation to corporation.

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155.070 Powers and limitations of other corporate bodies in relation to corporation. Notwithstanding any rule at common law or any provision of any general or special law <br>or any provision in their respective charters, agreements of association, articles of <br>organization, or trust indentures: (1) all domestic corporations organized for the purpose <br>of carrying on business within this Commonwealth including without implied limitation <br>any public utility companies and insurance and casualty companies and foreign <br>corporations licensed to do business in the Commonwealth, and all trusts, and private or <br>public pension or retirement funds are hereby authorized to acquire, purchase, hold, sell, <br>assign, transfer, mortgage, pledge or otherwise dispose of any bonds, securities or other <br>evidences of indebtedness created by, or the shares of the capital stock of, the <br>corporation, and while owners of said stock to exercise all the rights, powers and <br>privileges of ownership, including the right to vote thereon, all without the approval of <br>any regulatory authority of the Commonwealth; (2) all financial institutions are hereby <br>authorized to become members of the corporation and to make loans to the corporation as <br>provided herein; (3) a financial institution which does not become a member of the <br>corporation shall not be permitted to acquire any shares of the capital stock of the <br>corporation; and (4) each financial institution which becomes a member of the <br>corporation is hereby authorized to acquire, purchase, hold, sell, assign, transfer, <br>mortgage, pledge, or otherwise dispose of, any bonds, securities or other evidences of <br>indebtedness created by, or the shares of the capital stock of the corporation, and while <br>owners of said stock to exercise all the rights, powers and privileges of ownership, <br>including the right to vote thereon, all without the approval of any regulatory authority of <br>the Commonwealth; provided, that the amount of the capital stock of the corporation <br>which may be acquired by any member pursuant to the authority granted herein shall not <br>exceed ten percent (10%) of the loan limit of such member, except that a public pension <br>or retirement fund which becomes a member may acquire capital stock of the corporation <br>not to exceed twenty-five percent (25%) of the loan limit of such member. The amount of <br>capital stock of the corporation which any member is authorized to acquire pursuant to <br>the authority granted herein is in addition to the amount of capital stock in corporations <br>which such member may otherwise be authorized to acquire. Effective: March 21, 1960 <br>History: Created 1960 Ky. Acts ch. 73, sec. 7, effective March 21, 1960.