NRS673.03531. Certain relationships between employees of Division of Financial Institutions and association prohibited; termination of prohibited relationship.

      1.  Except as provided in subsections 3 and 4, an officer or employee of the Division of Financial Institutions shall not:

      (a) Be directly or indirectly interested in or act on behalf of any association;

      (b) Receive, directly or indirectly, any payment from an association;

      (c) Be indebted to any association;

      (d) Engage in the negotiation of loans for others with any association; or

      (e) Obtain credit or services from an association conditioned upon a fraudulent practice or undue or unfair preference over other customers.

      2.  An employee of the Division in the unclassified service of the State shall not obtain new extensions of credit from an association while in office.

      3.  Any officer or employee of the Division of Financial Institutions may be indebted to an association on the same terms as are available to the public generally upon:

      (a) A mortgage loan upon his or her own real property.

      (b) A secured installment debt.

      (c) An unsecured debt.

      4.  Any officer or employee of the Division of Financial Institutions may establish and maintain savings deposits with associations to the greatest amount insured, receive interest on those deposits and borrow money secured by a pledge of those deposits.

      5.  If an officer or employee of the Division of Financial Institutions has a service, a preferred consideration, an interest or a relationship prohibited by this section at the time of his or her appointment or employment, or obtains it during his or her employment, he or she shall terminate it within 120 days after the date of his or her appointment or employment or the discovery of the prohibited act.

      (Added to NRS by 1963, 472; A 1977, 509; 1983, 1771)