§ 9-1003. Acquisition by out-of-state savings and loan holding company
West's Annotated Code of MarylandFinancial Institutions
MD Code, Financial Institutions, § 9-1003
§ 9-1003. Acquisition by out-of-state savings and loan holding company
Out-of-state savings and loan holding companies that have not acquired a Maryland or interstate association
(a)(1) An out-of-state savings and loan holding company not having a Maryland association subsidiary is authorized to acquire a Maryland association, a Maryland savings and loan holding company, an interstate association, or an out-of-state savings and loan holding company having a Maryland association subsidiary, if the out-of-state savings and loan holding company and entity being acquired:
1. The designation of a resident of this State as the applicant's agent for the service of any paper, notice, or legal process on the applicant in connection with matters arising out of this subtitle; and
2. A filing fee of $5,000; and
(ii) The laws of the jurisdiction where the out-of-state savings and loan holding company has its principal place of business permit the out-of-state savings and loan holding company to be acquired by the Maryland association, Maryland savings and loan holding company, or interstate association sought to be acquired;
1. A Maryland association that has been in existence and continuously operated for more than 4 years;
2. An interstate association that has deposit-taking offices which have been continuously operated in Maryland for more than 4 years; or
3. A Maryland savings and loan holding company or an out-of-state savings and loan holding company in which:
A. All Maryland association subsidiaries have been in existence and continuously operated for more than 4 years; and
B. All interstate association subsidiaries have deposit-taking offices that have been continuously operated in Maryland for more than 4 years;
(iv) The acquisition is subject to any additional conditions, restrictions, requirements, or other limitations, including without limitation any longevity requirements, that apply to the acquisition by a Maryland association or a Maryland savings and loan holding company of a savings and loan association or savings and loan holding company in the jurisdiction where the out-of-state savings and loan holding company has its principal place of business but do not apply to acquisitions by savings and loan associations, all of whose deposit-taking offices, and savings and loan holding companies all of whose savings and loan association subsidiaries, are located in that jurisdiction; and
(b)(1) An out-of-state savings and loan holding company having a Maryland association subsidiary, a Maryland savings and loan holding company subsidiary, or an interstate association subsidiary is authorized to acquire another Maryland association, Maryland savings and loan holding company, interstate association, or out-of-state savings and loan holding company having a Maryland association subsidiary upon approval by the Division Director.
1. All Maryland association subsidiaries have been in existence and continuously operated for more than 4 years; and
2. All interstate association subsidiaries have deposit-taking offices which have been continuously operated in Maryland for more than 4 years.
(ii) Any additional conditions, restrictions, requirements, or other limitations, including without limitation any longevity requirements, that apply to the acquisition by a Maryland savings and loan holding company of a savings and loan association or savings and loan holding company in the jurisdiction where the out-of-state savings and loan holding company has its principal place of business, but do not apply to acquisitions by savings and loan holding companies all of whose savings and loan association subsidiaries are located in that jurisdiction.
(c) If the acquisition has otherwise been approved under this subtitle, this section does not prohibit the acquisition by an out-of-state association or out-of-state savings and loan holding company of all or substantially all of the shares of a savings and loan association organized solely to facilitate the acquisition of a savings and loan association that has been in existence and continuously operated for more than 4 years.
(d) The period of existence of any deposit-taking institution which has merged into, consolidated with, converted into, transferred all or substantially all of its assets to, or been a party to any other form of a corporate reorganization with another savings and loan association shall be included in the period of existence and continuous operation of the successor Maryland association for purposes of satisfying the longevity requirements of this section.
(e) The Division Director may approve the acquisition of a Maryland savings and loan association or a Maryland savings and loan holding company only if all of the association subsidiaries of the out-of-state holding company which will be located in Maryland, or which will have deposit-taking offices in Maryland after the proposed acquisition takes place, will be organized under the laws of the United States.
Credits
Added by Acts 1987, c. 544, § 1, eff. July 1, 1987. Amended by Acts 1988, c. 6, § 1; Acts 1990, c. 149, § 1, eff. July 1, 1990.
MD Code, Financial Institutions, § 9-1003, MD FIN INST § 9-1003
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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