166 Ga. 430 | Ga. | 1928
In the very nature of the business, good faith and strict integrity on the part of officers and directors of banks, are required. Banking institutions can not exist without such confidence. The commerce of the world rests largely upon confidence in banking corporations. People in all ranks of society require their services. “When one voluntarily takes the position of trustee
The banking law provides: “Each director, when elected, shall take an oath that he will, so far as the duty devolves upon him, diligently and honestly administer the affairs of the bank, and that he will not knowingly violate, or willingly permit to be violated, any of the provisions of law applicable to such bank or any of the bylaws thereof.” Ga. Laws 1919, p. 192, § 3. The banking law also strictly prohibits excessive loans and loans upon insufficient or worthless collateral, and requires the directors at stated periods to supervise these matters. If the allegations of this petition are correct and sustained by proof, the superintendent of banks ought to recover. On demurrer the facts alleged must be accepted as true. We hold, therefore, that the petition set out a cause of action, and that it was not error to overrule the demurrers.
Judgment affirmed.