, 1955-06-28

the total assets OF SAID DanK, OF IN excess . Sixty Pei CeHtul1
Of the amount Of its time and savings deposits. whichever is
the greater.
Loans made to finance the construction Of residentiaIlor
farm buildings and having Inaturities of not to exceed SIX
months, whether or not secured by a mortgage or similar
lien on the real estate upon which the residential Or farm
building is being constructed. shall not be considered as loans
secured by real estate within the meaning OF this artcL but
Shall be classed as ordinary commercial loans: Provided, that
the bank shall not invest in, or be liable on, any such loans
in an aggregate amount in excess of so per centum of its paid
in and u%nimpaired capital stock and reserve fund.
() To borrow, with a temporary character, an amount
not exceeding one hundred per centum Of its paid-in capital
stock and reserve fund. The bank in making this kind Of loan
may pledge assets in an amount which shall not exceed one
hundred twenty per centum Of the loan; Provided, that this
Limitation shall not be applicable to loans secured by bonds
of the United States of America or the Government of the
Virgin Islands or the Municipality of St. Thomas & St. John
and the Municipality of St. Crox: Provided. further, that the
Banking Board may authorize loans in excess of this amount
and may also exclude the bonds Of the Government Of the
Virgin Islands or its Municipalities, when, in its judgment,
the same do not fulfill the necessary security requisites and
it may also authorize, when special circumstances SO justify,
the pledging Of assets up to amounts exceeding one hundred
twenty per centum of the sum borrowed. Any pledge in excess of this
sum shall be void. The Bank shall not borrow money for the
purpose Of lending it in turn, but none Of these provisions
shall be construed in the sense of preventing the bank from
borrowing money secured by government bonds or redis-
counting or from endorsing in good faith its negotiable Sc
curities, without any limitation. The bank shall not issue de-
post certificates for the purpose of borrowing money.
'(0 To buy and sell bonds, securities and other evidences
Of indebtedness Of the Government Of the United States, or
which are wholly secured, directly or indirectly by said Gov
eminent, and bonds, securities and other evidences Of indebt-
edness Of the Government of the Virgin Islands or its NUM-
cipaities, or of the Government of Puerto Rico or Of any
state of the United States or Municipalities and quasi-munici-
paities of any state Of the United States the interest Of which
is not in arrears; and to buy and sell, without further liabil-
ity, obligations whichfrepresent debts of any person, society,
partnership or corporation in form of bonds, promissory notes,
for 8debentures", known as investment securities, subject
to the additional definition Of the term investment securi-
ties, that the Banking Board may prescribe and to such limi-
tation Of the aggregate total Of said investment securities,
debtor or mutuary, as the Banking Board may determine.
e) And the Bank shall have the power to do and per
form all other acts necessary and incidental to execute the
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