17:9A-63 - Exempt transactions

17:9A-63.  Exempt transactions


63.  Exempt transactions.  A.  A bank or savings bank shall not be in violation of this article if the loans and extensions of credit to  a person incurred under any prior law repealed or superseded by this act exceed the limitations imposed by this article.

B.  A bank or savings bank shall not be in violation of this article if, at any time when a  bank or savings bank makes a loan or extension of credit  to a person, the total loans and extensions of credit to  such person, including the loan or extension of credit  then made, do not or did not exceed  the limitations imposed by this article, notwithstanding that, subsequent to  the  making of any such loan or extension of credit, circumstances other than the making of  an additional  loan or extension of credit, cause the total loans and extensions of credit to  such person to exceed  the limitations imposed by this article.

C.  Notwithstanding any provision of this article, a bank or savings bank may, with the prior approval of the commissioner, do any act necessary to preserve or protect  any loan or extension of credit, obligation or investment held by it, or any security for such loan or extension of credit or  obligation, even though such act causes the total loans and extensions of credit to any person to exceed the limitations imposed by this article;  provided, that in no case  shall the commissioner approve any act pursuant to this subsection which would  cause the total loans and extensions of credit to  any person to exceed the limitations imposed by  this article by more than fifty percent of such limitations.

L.1948,c.67,s.63;  amended 1953, c.141, s.3; 1997, c.33, s.12.