Bill 180

                    Current Status

Bill Number:               180
Ratification Number:       29
Act Number                 14
Introducing Body:          Senate
Subject:                   To require any savings and loan
                           association to furnish an indemnity
                           bond

(A14, R29, S180)

AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 34-25-165, SO AS TO REQUIRE ANY SAVINGS AND LOAN ASSOCIATION TO FURNISH AN INDEMNITY BOND IN A RESPONSIBLE SURETY COMPANY, OBLIGATIONS GUARANTEED BY THE UNITED STATES, OR GENERAL OBLIGATION BONDS OF THIS STATE OR ANY POLITICAL SUBDIVISION UPON THE DEPOSIT OF STATE FUNDS BY THE STATE TREASURER ABOVE INSURANCE COVERAGE BY THE FEDERAL SAVINGS AND LOAN INSURANCE CORPORATION.

Be it enacted by the General Assembly of the State of South Carolina:

Indemnity bond required

SECTION 1. The 1976 Code is amended by adding:

"Section 34-25-165. Any savings and loan association shall upon the deposit of state funds by the State Treasurer above insurance coverage by the Federal Savings and Loan Insurance Corporation (FSLIC) furnish an indemnity bond in some responsible surety company authorized to do business in this State in an amount that will protect the State against loss in the event of insolvency or liquidation of the institution or for any other cause. Any savings and loan association may in lieu of the surety bond pledge as collateral for the deposits obligations of the United States or obligations fully guaranteed both as to principal and interest by the United States, or general obligation bonds of this State or any political subdivision. The surety or collateral must be filed with the State Treasurer at the time of deposit."

Time effective

SECTION 2. This act shall take effect upon approval by the Governor.