California Financial Code

§ 1869

FIN § 1869 Effective Jan 1, 2012Div. 1.1 · Ch. 21 · Art. 1

Statute text

No corporation shall, either directly or indirectly, make any discount to any person for the purpose of enabling him to pay for or hold shares of its stock either subscribed for or purchased by him. Any corporation making any such discount shall forfeit to the people of the state twice the amount of such discount.

Legislative history

Added by Stats. 2011, Ch. 243, Sec. 3. (SB 664) Effective January 1, 2012.