Loan to customer used for partnership or corporation

A loan or other extension of credit to a customer, the proceeds of which the customer intends to place in a partnership in which he is a partner or a corporation in which he is a stockholder, is not required to be combined with obligations of the partnership or corporation for the purpose of § 51A-12-2 unless the loan is made in reliance on the assets and repayment ability of the partnership or the corporation. Source: SL 1969, ch 11 , § 10.2; SL 1970, ch 265 , § 53; SDCL, § 51-24-4; SL 1993, ch 351 , § 2.