RELATING TO BANKING
AN ACT TO AMEND TITLE 5, DELAWARE CODE OF 1953, ENTITLED "BANKING" BY CORRECTING AN ERROR IN THE CODE IN RESPECT TO BANK DIRECTORS.
Be it enacted by the General Assembly of the State of Delaware:
Section 1. § 742 (b), Title 5, Delaware Code of 1953 is amended to read as follows:
(b) No person shall be a director of a corporation organized under the provisions of this chapter unless he is a stock holder of record either in his own right or as trustee or guardian of another, holding unpledged stock therein of an aggregate par value of not less than $1,000.
No person shall be eligible for election as a director of any bank or trust company not organized under this chapter unless such person be a shareholder in his own right, or as trustee or guardian of another.
Any person elected to be a director, who, after such election, shall cease to be a shareholder as required in this subsection, or who shall hypothecate or in any way pledge his stock shall immediately become disqualified as a director.
The provisions of this subsection shall not apply to the State Directors of the Farmers' Bank of the State of Delaware, nor to the directors of any corporation not organized under this chapter whose charter is not compatible with the provisions of this subsection.
Approved June 11, 1953.