Senate Bill No. 163
(By Senators Scott, Deem, Ross, Sharpe, Helmick, Miller,
Plymale, Manchin, Kimble, Yoder and Walker)
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[Introduced January 24, 1995; referred to the Committee
on Finance.]
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A BILL to amend and reenact section twenty, article one, chapter
five-e of the code of West Virginia, one thousand nine
hundred thirty-one, as amended, relating to capital company
act; and limitation on financial institutions.
Be it enacted by the Legislature of West Virginia:
That section twenty, article one, chapter five-e of the code
of West Virginia, one thousand nine hundred thirty-one, as
amended, be amended and reenacted to read as follows:
ARTICLE 1. WEST VIRGINIA CAPITAL COMPANY ACT.
§5E-1-20. Limitation on financial institutions.
Not more than forty-nine percent of the total capital base
of any capital company may be owned by banks, savings and loan
associations, savings banks or other financial institutions, or
any affiliate thereof, as investors. No officer, employee or
director of any such financial institution may serve on vote as
a member of the board of any capital company formed under the
provisions of this article if the matter being voted upon affects
them.
NOTE: The purpose of this bill is to permit bankers to sit
on the board of capital companies if they don't vote on matters
pertaining to their own interest.
Strike-throughs indicate language that would be stricken
from the present law, and underscoring indicates new language
that would be added.