Article 7. Restrictions On Officers of California Health And Safety Code >> Division 8. >> Part 3. >> Chapter 2. >> Article 7.
No director or officer of any cemetery authority shall
directly or indirectly, for himself or as the partner or agent of
others, borrow any funds of the corporation or association, nor may
he become an indorser or surety for loans to others, nor in any
manner be an obligor for money borrowed of or loaned by the
corporation or association, nor shall a corporation of which a
director or an officer is a stockholder, or in which either of them
is in any manner interested, borrow any of the funds of the
corporation or association.
The office of any director or officer who acts or permits
action contrary to this article immediately thereupon becomes vacant.
Every director or officer authorizing or consenting to a
loan, and the person who receives a loan, in violation of this
article are severally guilty of a misdemeanor.