In purchasing cash value life insurance in connection with employee compensation and benefit plans and deferred director fees programs, a bank may not hold the policies if no liability exists under the deferred compensation or fee plans unless the purchase is specifically approved by the director.

Source: 20 SDR 33, effective September 5, 1993.

General Authority: SDCL 51A-2-13 , 51A-4-42.

Law Implemented: SDCL 51A-4-42.