<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 51A-10-10 - Substitution or exchange of securities deposited to qualify as depository for funds of governmental subdivisions. </title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2071778Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2071778SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2071778CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2071778Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2071778DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2071778Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2071778000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2071778SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2071778SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } body { text-decoration-skip-ink: none; } </style></head><body><div><p dir="ltr" class="s2071778Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=51A-10-10"><span class="s2071778SENU">51A-10-10</span></a><span xml:space="preserve" class="s2071778SENU">. </span><span class="s2071778CL">Substitution or exchange of securities deposited to qualify as depository for funds of governmental subdivisions.</span></p><p dir="ltr" class="s2071778Normal-000000"><span xml:space="preserve" class="s2071778DefaultParagraphFont">Any bank pledging such securities pursuant to § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=51A-10-9"><span class="s2071778DefaultParagraphFont">51A-10-9</span></a><span xml:space="preserve" class="s2071778DefaultParagraphFont"> may substitute or exchange, at any time it deems it advisable or desirable and without concurrence of the depositor, or any officers of such depositors, eligible securities of like nature and character for securities pledged, if:</span></p><p dir="ltr" class="s2071778Normal-000001"><span class="s2071778DefaultParagraphFont">(1)    Such securities so substituted or exchanged shall at the time of such substitution or exchange, have a market value of at least equal to the market value of the securities released; and</span></p><p dir="ltr" class="s2071778Normal-000001"><span class="s2071778DefaultParagraphFont">(2)    In the event of such substitution or exchange, the holder or custodian of the securities shall, on the same day, forward by registered or certified mail to the public deposit protection commission and the depository bank, a receipt specifically describing and identifying both the securities so substituted or exchanged and those released and returned to the depository bank.</span></p><p dir="ltr" class="s2071778Normal"><span xml:space="preserve" class="s2071778000002"> </span></p><p dir="ltr" class="s2071778Normal"><span class="s2071778SCL">Source:</span><span xml:space="preserve" class="s2071778SCL-000003"> SDC 1939, § 6.0418 as added by SL 1957, ch 12; SDCL, § 51-10-18; SL 1969, ch 11, § 8.11; SL 1982, ch 28, § 18; SL 1988, ch 377, § 138; SDCL, § 51-22-13.</span></p></div></body></html>