Page:United States Statutes at Large Volume 70.djvu/1085

 TO S T A T. ]

PUBLIC LAW 976-AUG. 3, 1956

1D29

todian under the authority of this Act unless said guardian shall himself be or become custodian in accordance herewith. S K !. 3. (a) The custodian shall hold, manage, invest and reinvest et^.^by%ultodill^ the property held by him as custodian, including any unexpended income therefrom, as hereinafter provided. H e shall collect the income therefrom and apply so much or the whole thereof and so much or the whole of the other property held by him as custodian as he may deem advisable for the support, maintenance, education and general use and benefit of the minor, in such manner, at such time or times, and to such extent as the custodian in his absolute discretion may deem suitable and proper, without court order, without regard to the duty of any person to support the minor and without regard to any other funds which may be applicable or available for the purpose. To the extent that property held by the custodian and the income thereof is not so expended, it shall be delivered or paid over to the minor upon the minor's attaining the age of twenty-one years, and in the event that the minor dies before attaining the age of twenty-one years it shall thereupon be delivered or paid over to the estate of the minor. (b) The custodian may sell, exchange, convert, or otherwise dispose of any and all of the securities or other property held by him in such manner and at such time or times, for such prices and upon such terms as he may deem advisable; he shall have the power in his sole and absolute discretion to retain any and all securities delivered to him within the meaning and under the authority of this Act without reference to the statutes relating to permissible investments by fiduciaries; he shall invest the minor's property in such securities as would be acquired by prudent men of discretion and intelligence who are seeking a reasonable income and the preservation of their capital without reference to the statutes relating to permissible investments by fiduciaries or hold part or all of the same in one or more bank accounts in his name as such custodian; he may vote in person or by general or limited proxy with respect to any securities held by him; he may consent directly or through a committee or other agent to the reorganization, consolidation, dissolution or liquidation of any cor)orations, the securities of which may be held by him, or to the sale, ease, pledge or mortgage of any property by or to any such corporation. (c) I n addition to the foregoing rights, powers, and duties with respect to any securities or other property held by the custodian, the custodian, in his name as such custodian, shall have all the powers of management which a guardian of the property of the minor would have. (d) The custodian may execute and deliver any and all instruments in writing which he may deem advisable to carry out any of the foregoing powers. No issuer of securities, transfer agent, registrar, or bank, or other person acting on the instructions of any person purporting to be a custodian or donor, shall be responsible for determining whether any person has been duly designated as a custodian under this Act, or whether any purchase, sale, or transfer to or by any person as custodian is in accordance with or authorized by this Act, or shall be obliged to inquire into the validity under this Act of any instrument or instructions executed or given by a person purporting to act as custodian or donor, or be bound to see to the application by any person purporting to act as custodian of any money or other property paid or delivered to him. All registered securities neld by the custodian from time to time shall be registered in his name followed by the words "as custodian for

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