6.2-1143 - (Effective October 1, 2010) Conversion from state savings bank to state association; conversion from state association to state savings bank.
§ 6.2-1143. (Effective October 1, 2010) Conversion from state savings bank tostate association; conversion from state association to state savings bank.
A. A state savings bank may be converted into a state association by theamendment of its articles of incorporation in compliance with the procedureestablished by Title 13.1, provided that such conversion is approved inadvance by the Commission. Prior to approving or disapproving a conversion,the Commission shall investigate the application to convert as if it were anapplication for a certificate of authority to begin a savings and loanassociation business, and approval shall not be granted unless the applicantmeets the standards established by § 6.2-1118. The order granting acertificate of authority to do a savings and loan business shall designatethe main office of the state savings bank as the main office of the resultingfinancial institution. The resulting financial institution shall be permittedto operate all branch offices of the state savings bank that could have beenestablished de novo by such financial institution having its main office atsuch location or which were in operation for at least five years prior to thedate of the order permitting conversion. Within one year of the date of aconversion, the resulting financial institution shall conform its assets andoperations to the provisions of law regulating the operation of stateassociations. The Commission may grant such resulting financial institutionadditional one-year periods, not to exceed a total of four additional years,in which to conform its assets and operations as required by this section.
B. A state association may be converted into a state savings bank by theamendment of its articles of incorporation in compliance with the procedureestablished by Title 13.1, provided that such conversion is approved inadvance by the Commission. Prior to approving or disapproving a conversion,the Commission shall investigate the application to convert as if it were anapplication for a certificate of authority to begin a savings bank, andapproval shall not be granted unless the applicant meets the standardsestablished by § 6.2-1118. Within one year of the date of the conversion, theresulting state savings bank shall conform its assets and operations to theprovisions of law regulating the operation of state savings banks. TheCommission may grant such resulting state savings bank additional one-yearperiods, not to exceed a total of four additional years, in which to conformits assets and operations to the provisions of law regulating the operationof state savings banks.
(1991, c. 230, § 6.1-194.129; 2010, c. 794.)