399-A - Restrictions on holding of certain offices by executive officers of federal savings banks and federal savings associations.

§ 399-a.  Restrictions  on  holding  of  certain  offices by executive  officers of federal savings banks and federal savings  associations.  1.  No  executive  officer  of  a  federal  savings  bank or federal savings  association the principal office of which institution is located in this  state may be an executive officer, director or trustee of a savings  and  loan  association,  bank  or  trust  company, savings bank, bank holding  company or foreign banking corporation  maintaining  a  branch  in  this  state,  unless permission therefor has been granted by the banking board  pursuant to subdivision two of this section, provided, however, that  an  executive  officer  of a federal savings and loan association located in  this state, who on the effective date of this section  is  an  executive  officer,  director or trustee of a savings and loan association, bank or  trust company, savings bank, bank holding  company  or  foreign  banking  corporation  maintaining  a  branch  in this state, may continue to hold  such other office without permission from the banking board,  until  the  expiration  of  the  term of such office or the close of business on the  last day of December, nineteen hundred  seventy-four,  whichever  occurs  sooner.    2.  The  banking board shall have the power to determine by regulation  who shall be considered, under the provisions of this subdivision, to be  an executive officer, and by a general or specific  regulation,  upon  a  three-fifths  vote  of  all  its  members,  to  grant  permission  to an  executive  officer  of  a  federal  savings  bank  or  federal   savings  association  located  in this state, to be at the same time an executive  officer, director or  trustee,  or  both  an  executive  officer  and  a  director  or  trustee  of  a savings and loan association, bank or trust  company,  savings  bank,  bank  holding  company,  and  foreign  banking  corporation  maintaining  a branch in this state. Such permission may be  granted only if in the judgment of the banking board such service by the  executive officer will be consistent with the policy of the state of New  York as declared in section ten of this chapter. The banking board shall  have the power to revoke such permission by  a  like  vote  whenever  it  finds,  after reasonable notice and an opportunity to be heard, that the  public interest requires such revocation.    3. For the purposes  of  this  subdivision,  the  term  "bank  holding  company"  shall be given the same meaning as is contained in section one  hundred forty-one of this  chapter,  and  the  definition  of  the  term  "banking  institution"  is  modified to include a national bank, federal  savings bank or federal savings association,  the  principal  office  of  which  institution  is  located  in  this  state,  and a foreign banking  corporation maintaining a branch in this state.    4. All other restrictions and limitations imposed by this  chapter  on  executive   officers   and   directors   of  federal  savings  and  loan  associations located in this state, shall continue in effect.