(1) Banking institution means a banking organization as defined in section 2(11) of the Banking Law, national bank, Federal savings bank, Federal savings and loan association, Federal credit union, foreign banking corporation, or any bank, trust company, savings bank, savings and loan association or credit union organized under the laws of any other state.

(2) Company means a corporation, limited liability company, partnership, business trust, association or similar organization.

(3) Control shall be deemed to exist when:

provided, in either case, that no company shall be deemed to own or control another company by virtue of its ownership or control of shares in a fiduciary capacity.

(4) Nonbank affiliate of a bank or trust company means any company (other than a banking institution) that controls, is controlled by, or is under common control with the bank or trust company.

(5) Receiving corporation means the bank or trust company which is to receive into itself the merging affiliate or affiliates.

(1) With the approval of the superintendent, a bank or trust company may merge with one or more of its nonbank affiliates, with the bank or trust company as the receiving corporation, in accordance with the provisions of this section, provided that the law of the state or other jurisdiction under which the nonbank affiliate is organized allows the nonbank affiliate to engage in such mergers. In determining whether to approve the merger, the superintendent shall consider the purpose of the transaction, its impact the safety and soundness of the bank or trust company, and any effect on the bank or trust company's customers, and may deny the merger if it would have a negative effect in any such respect. The transaction may also be subject to approval by the Federal Deposit Insurance Corporation under the Bank Merger Act, 12 U.S.C. 1828(c).

(2) A bank or trust company entering into the merger shall be subject to the requirements and follow the procedures set forth in section 601 of the Banking Law and the regulations of the department thereunder as if the nonbank affiliate were a bank or trust company, except as otherwise provided herein.

(3) A nonbank affiliate entering into the merger shall follow the procedures for such mergers set out in the law of the state or other jurisdiction under which the nonbank affiliate is organized.

(4) The rights of dissenting shareholders and appraisal of dissenters' shares of stock in the nonbank affiliate entering into the merger shall be determined in the manner prescribed by the law of the state or other jurisdiction under which the nonbank affiliate is organized.

(5) The corporate existence of each entity participating in the merger shall be continued in the receiving corporation, and all the rights, franchises, property, appointments, liabilities and other interest of the participating entities shall be transferred to the receiving corporation, as set forth in section 602 of the Banking Law, in the same manner and to the same extent as in a merger between two corporations subject to the provisions of Article 3 of this Chapter, as if the nonbank affiliate were a bank or trust company.