Unlawful Payment of Penalties and Judgments Against Others, Including Directors

and Officers. It shall be unlawful for a territorial bank to pay a fine or penalty imposed by law upon any other person or any judgment against such person or to reimburse directly or indirectly any person by whom such fine, penalty or judgment has been paid, except in settlement of its own liability or in connection with the acquisition of property against which such judgment is a lien, or as provided in § 106212. SOURCE: GC § 30808. P.L. 23-127:2 (Oct. 11, 1996) renumbered this section from § 106509 to § 106508.