A.R.S. § 6-456: Effect of unauthorized investments and loans; liability of officers

A. Every loan or other investment made in violation of this chapter shall be due and payable according to its terms, and the obligation thereof shall not be impaired.

B. Every director or officer of an association who knowingly shall violate, participate in, or assent to, or who knowingly shall permit any of the officers or agents of the association to make investments not authorized by this chapter, shall be liable individually for all damage which the association or its members sustain in consequence of such violation.