369.349. Liquidation by director, procedure.
Liquidation by director, procedure.
369.349. 1. When the director of the division of financedetermines to liquidate an association, the director shall file apetition in the circuit court of the county in which theprincipal office of the association is located setting forth thefacts. If the court finds that under the law the director isentitled to liquidate the association, the court shall thereuponappoint the director as receiver. The director shall cause aninventory of all the assets of the association to be filed withthe court and shall cause notice to be given by publication, oncea week, for four successive weeks in some newspaper of generalcirculation published at or near the principal place of businessin the state of such association to all persons having claimsagainst the association as creditors, or otherwise, requiringthem to present and file their claims and make legal proofthereof at a place and within a time designated in suchpublication. The time shall be not less than six months afterthe first publication. Within ten days after the firstpublication, the director shall cause a copy of such notice to bemailed to all persons whose names appear of record upon theassociation's books as creditors.
2. All claims, demands, or causes of action of creditorsagainst the association or against any property owned or held byit in trust or otherwise must be presented to the director inwriting, verified by the claimant or someone on the claimant'sbehalf, within the period specified in the notice for thepresentation of claims whether or not an action is pending toenforce any such claim or demand. The director shall not approveany claim not so presented and any such claim, demand or cause ofaction not so presented is forever barred. Upon the expirationof the time fixed for the presentation of claims, the directorshall prepare a full and complete schedule of all claimspresented specifying by classes those that have been approved andthose that have been disapproved and file the same with thecourt.
3. Not later than five days after the time of filing theschedule of claims with the court, written notice shall be mailedto all claimants whose claims have been rejected. Petition toenforce the payment of or to establish any rejected claim must befiled in the liquidation proceeding and service had upon thedirector within four months from and after the date of filing ofthe schedule of claims or all such actions are forever barred.
4. Any account holder without presenting a claim isentitled to any liquidating dividends declared, to the extent andin the proper relative order of priority, on any claim shown bythe books of the association to exist in the account holder'sfavor against the association.
5. Claims of creditors shall bear interest at the rateprovided by law on judgments from the date the director takespossession of the business, property and assets of theassociation.
6. The filing of the petition under subsection 1 operatesto stay or dissolve all actions or attachments instituted orlevied within thirty days next preceding the taking of possessionof such association by the director under section 369.344 orunder this section, and pending the process of liquidation, noattachment or execution shall be levied or lien created upon anyof the property of the association.
7. In liquidating the affairs of the association, thedirector may:
(1) Take possession of all property and assets, collect allmoney due to and claims of the association and give receiptthereof;
(2) Release or reconvey all real or personal propertypledged, hypothecated or transferred in trust as security forloan;
(3) Approve and pay all just and equitable claims;
(4) Commence and prosecute all actions and proceedingsnecessary to enforce liquidation;
(5) Compound bad or doubtful debts or claims, borrow money,sell, convey or transfer real or personal property on order ofthe court;
(6) In the name of the association, or in the director'sown name, prosecute and defend any suit or other legalproceeding;
(7) In the name of the association, or in the director'sown name as director, execute, acknowledge, and deliver any andall deeds, assignments, releases and other instruments necessaryand proper to effectuate any sale of real or personal property orother transaction in connection with the liquidation of theassociation. Any deed, assignment, release or other instrumentexecuted pursuant to this section is valid and effectual for allpurposes as though it were executed by the officers of suchassociation with the authority of its board of directors; and
(8) With the approval of the court, abandon any bad ordoubtful debt or claim on any property of the association.
8. The director may appoint one or more special deputies toassist in the duties of liquidation and distribution and may alsoemploy such special legal counsel, accountants and assistants asmay be needed and required and fix their salaries andcompensation subject to the approval of the court. All suchsalaries and compensation and such reasonable and necessaryexpenses as may be incurred in the liquidation shall be paid bythe director from the funds of the association in the director'shands. Such expenses shall include that part of the salary ofthe director and of the director's deputies, examiners,accountants and other assistants and that part of the generalexpenses of the director's office as fairly represent, in theopinion of the director, the proportion properly attributable tosuch liquidation.
9. From the net realization of assets, the director,subject to the approval of the court, shall pay dividends inliquidation to the creditors in order of preference. Allremaining assets of a mutual association shall be distributed tothe account holders in proportion to the amounts of theirrespective accounts as of the date liquidation began. Allremaining assets of a capital stock association shall bedistributed to the stockholders in accordance with their stockownership.
10. Any money due to but unclaimed by any person shall bedeposited with the director. The owner, the owner's heirs orpersonal representative may claim any funds so deposited by proofof ownership satisfactory to the director at any time within tenyears. Earnings on such funds during possession by the directorshall be used to defray expenses of the director's office, andthe owner, the owner's* heirs and personal representativesshall have no claim thereto. Money not so claimed in ten yearsshall be delivered to the state treasurer from whom the owner,the owner's heirs or personal representative may claim such fundsupon proof of ownership satisfactory to the state treasurer.
11. On the payment of a final dividend in liquidation, thedirector shall prepare and file with the court a full and finalstatement of liquidation including a summary of the receipts anddisbursements which shall be filed with the court and in theoffice of the director. After hearing and approval by the court,the liquidation shall be closed. The order of the courtapproving the final settlement on liquidation shall provide forthe destruction or other disposition of the books and records ofthe association or pertaining to the liquidation of theassociation, and the court may declare the association dissolvedas a corporation. A copy of the order dissolving the associationas a corporation shall be filed with the secretary of state.
(L. 1971 S.B. 3 § 69, A.L. 1982 S.B. 464, A.L. 1994 H.B. 1165)Effective 7-6-94
*Word "director's" appears in original rolls.