No state bank shall declare or pay any dividend upon its common stock unless such bank has received written approval by the Commissioner of Banking and Consumer Finance. Directors declaring a dividend in violation of the provisions of this section shall be personally liable to the full amount of the dividend so declared and it shall be the duty of the commissioner, upon discovering the payment of any such dividend, to forthwith make demand upon the directors that the same be restored to the bank, and upon their failure so to do he shall cause suit to be brought against them in the chancery court of the county in which the bank is located, either in his name or in the name of the bank, to recover the same for the benefit of the bank.
Miss. Code Ann. § 81-5-75
Authorization for payment of dividend
Applied in 1 court decision — leading case 514 So. 2d 315 - Touche Ross & Co. v. Commercial Union Ins. Co. (1987)
Most recently applied in 514 So. 2d 315 - Touche Ross & Co. v. Commercial Union Ins. Co. (August 1987)
Codes, 1942, § 5210; Laws, 1934, ch. 146; Laws, 1994, ch. 320, § 5, eff from and after July 1, 1994.
Current official text: Mississippi Code (LexisNexis). Digitized from the UniCourt Code Improvement Commission public-domain capture. Reproduced from public-domain Mississippi statutes; confirm against the official source for the current text. Not legal advice.