(a) Continuation--Any individual or partnership lawfully engaged upon the effective date of this act in conducting the business of a private bank may continue to do so but no new private bank shall hereafter be established.

(b) Admission of new partners in a private bank--A partnership which owns and operates a private bank may admit a new partner, and an individual private banker may form a partnership for conducting the private bank with one or more other individuals, but if any new partner is a limited partner, or if he takes part in the conduct of the business of the private bank, it shall procure a new certificate of authorization.

(c) Death or withdrawal of partner in a private bank--Neither the death nor withdrawal of a partner in a private bank shall change its status if one or more of the remaining partners elect to continue its business and assume all of its obligations, but if the deceased or withdrawing partner had taken part in the conduct of the business or if its net worth is reduced as a result of such death or withdrawal the private bank shall procure a new certificate of authorization.

(d) Death of individual private banker--In case of the death of a private banker who had conducted a private bank individually, his personal representative shall forthwith liquidate the private bank following the order of distribution established by section 1809,¹ unless the department shall take possession of the private bank and the Secretary of Banking, as receiver, shall liquidate it. If the personal representative shall not begin or continue the liquidation promptly and in a reasonable manner the department shall take possession from the personal representative and the secretary shall liquidate the private bank.