South Dakota Codified Laws 58-5-61. Pecuniary interest of officer, director, committee member, or employee of domestic insurer in transactions with insurer prohibited–Misdemeanor
Any officer or director, or any member of any committee or an employee of a domestic insurer who is charged with the duty of investing or handling the insurer’s funds:
(1) Shall not deposit or invest such funds except in the insurer’s corporate name;
Attorney's Note
Under the South Dakota Laws, punishments for crimes depend on the classification. In the case of this section:| Class | Prison | Fine |
|---|---|---|
| Class 2 misdemeanor | up to 30 days | up to $500 |
Terms Used In South Dakota Codified Laws 58-5-61
- Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
- Property: includes property, real and personal. See South Dakota Codified Laws 2-14-2
(2) Shall not borrow the funds of such insurer;
(3) Shall not be pecuniarily interested in any loan, pledge of deposit, security, investments, sale, purchase, exchange, reinsurance, or other similar transaction or property of such insurer except as a stockholder or member;
(4) Shall not take or receive to his own use any fee, brokerage, commission, gift, or other consideration for or on account of any such transaction made by or on behalf of such insurer.
Violation of this section is a Class 2 misdemeanor.
Source: SL 1966, ch 111, ch 16, § 22 (1); SL 1978, ch 359, § 2.