The acceptance of the company’s own shares as security, directly or through a person acting in
his own name but on behalf of the company, shall be prohibited.
The shares accepted by the company as security shall be refunded to their owner within a period
of one year. The shares shall be refunded within a period of two years where the transfer of the
security to the company is the result of a universal transfer of assets or a decision of a court;
failing this, the security contract shall be automatically void.
The prohibition provided for in this article shall not apply to the ordinary transactions of credit
enterprises.
Official translation
Spot-checked
In force from 17 April 1997
Source page 144