Section 10: Restriction on dividend.

(1) No mortgage institution shall pay any dividend on its shares until-
(a) all its preliminary expenses, organisation expenses, amounts of losses incurred and other capitalised expenses not represented by tangible assets have been completely written off;
(b) after adequate provision for bad and doubtful debts has been made to the satisfaction of the Federal Mortgage Bank;
(c) adequate transfers have been made to the reserve fund in compliance with section 9 of this Act.