Oklahoma § 74-909.2 - Duties of fiduciaries

§ 74-909.2. Duties of fiduciaries

A. A fiduciary with respect to the Oklahoma Public Employees

Retirement System shall not cause the System to engage in a

transaction if the fiduciary knows or should know that such

transaction constitutes a direct or indirect:

1. Sale or exchange, or leasing of any property from the System

to a party in interest for less than adequate consideration or from

a party in interest to the System for more than adequate

consideration;

2. Lending of money or other extension of credit from the

System to a party in interest without the receipt of adequate

security and a reasonable rate of interest, or from a party in

interest to the System with provision of excessive security or an

unreasonably high rate of interest;

3. Furnishing of goods, services or facilities from the System

to a party in interest for less than adequate consideration, or from

a party in interest to the System for more than adequate

consideration; or

Oklahoma Statutes - Title 74. State Government

4. Transfer to, or use by or for the benefit of, a party in

interest of any assets of the System for less than adequate

consideration.

B. A fiduciary with respect to the Oklahoma Public Employees

Retirement System shall not:

1. Deal with the assets of the System in the fiduciary's own

interest or for the fiduciary's own account;

2. In the fiduciary's individual or any other capacity act in

any transaction involving the System on behalf of a party whose

interests are adverse to the interests of the System or the

interests of its participants or beneficiaries; or

3. Receive any consideration for the fiduciary's own personal

account from any party dealing with the System in connection with a

transaction involving the assets of the System.

C. A fiduciary with respect to the Oklahoma Public Employees

Retirement System may:

1. Invest all or part of the assets of the System in deposits

which bear a reasonable interest rate in a bank or similar financial

institution supervised by the United States or a state, if such bank

or other institution is a fiduciary of such plan; or

2. Provide any ancillary service by a bank or similar financial

institution supervised by the United States or a state, if such bank

or other institution is a fiduciary of such plan.

D. A person or a financial institution is a fiduciary with

respect to the Oklahoma Public Employees Retirement System to the

extent that the person or the financial institution:

1. Exercises any discretionary authority or discretionary

control respecting management of the Oklahoma Public Employees

Retirement System or exercises any authority or control respecting

management or disposition of the assets of the System;

2. Renders investment advice for a fee or other compensation,

direct or indirect, with respect to any monies or other property of

the System, or has any authority or responsibility to do so; or

3. Has any discretionary authority or discretionary

responsibility in the administration of the System.

E. In addition to any other prohibitions contained in this

section, the Board may not engage in a transaction prohibited by

Section 503(b) of the federal Internal Revenue Code.

Added by Laws 1988, c. 321, § 36, operative July 1, 1988. Amended

by Laws 1999, c. 257, § 32, eff. July 1, 1999.