1818

LAWS OF MARYLAND

[Ch. 311

(III) ON OR BEFORE OCTOBER 1, 1961, THE
SAVINGS AND LOAN ASSOCIATION MADE FORMAL, WRITTEN
AGREEMENT WITH THE DIVISION TO SECURE ITS APPROVAL OF THE

SALE;

(IV)   AFTER JANUARY 1, 1962, THE DIVISION
ACKNOWLEDGED THE VALIDITY OF THE SAVINGS AND LOAN
ASSOCIATION AND ITS CHARTER BY FORMAL APPROVAL OF AN
INCREASED AUTHORIZATION OF GUARANTY STOCK OR OF THE SALE
OF ADDITIONAL GUARANTY STOCK; AND

(V)    SINCE FEBRUARY 1, 1967, THE SAVINGS AND
LOAN ASSOCIATION HAS BEEN ENGAGED ACTIVELY IN BUSINESS BY
ACCEPTING FREE SHARE ACCOUNTS AND GRANTING LOANS TO ITS
MEMBERS OR OTHERS AND THE DIVISION CERTIFIES THE ACTIVE
STATUS.

(C) REQUIREMENTS FOR A QUALIFIED SAVINGS AND LOAN
ASSOCIATION.

ON OR BEFORE JANUARY 1, 1962, A SAVINGS AND LOAN
ASSOCIATION WHICH QUALIFIES UNDER SUBSECTION (A) OF THIS
SECTION AND WHICH DESIRES TO CONTINUE BUSINESS AS A
SAVINGS AND LOAN ASSOCIATION WITH GUARANTY STOCK SHALL
HAVE:

(1)    REQUIRED THE USE OF THE PHRASE "STOCK
CORPORATION" IN PARENTHESES WITH ITS NAME AT ALL TIMES
AND, NOTWITHSTANDING THE PROVISIONS OF §6-218 OF THIS
SUBTITLE, DOES NOT USE THE WORD "ASSOCIATION" WITH ITS

NAME;

(2)    AMENDED ITS CHARTER AS NECESSARY FOR
COMPLIANCE WITH THIS SUBTITLE, INCLUDING AN AMENDMENT
THAT EVERY FREE SHARE ACCOUNT HOLDER MAY VOTE ON ANY
MATTER ON WHICH A GUARANTY STOCKHOLDER IS ENTITLED TO
VOTE, AS PROVIDED IN §6-219(B) OF THIS SUBTITLE;

(3)   SENT BY REGISTERED MAIL TO EACH HOLDER OF
RECORD WHOSE SHARES OR STOCK ARE DESIGNATED TO BE
GUARANTY STOCK UNDER THIS SUBTITLE, A NOTICE THAT:

(I)  STATED THE INTENTION OF THE SAVINGS AND
LOAN ASSOCIATION TO CONTINUE BUSINESS AS A SAVINGS AND
LOAN ASSOCIATION;

(II)  DESCRIBED THE PLAN OF THE SAVINGS AND
LOAN ASSOCIATION FOR COMPLIANCE WITH THE SUBTITLE; AND

(III)  STATED THAT WITHIN 30 DAYS OF FAILING OF
THE NOTICE, THE HOLDER OF RECORD MAY REDEEM HIS SHARES OR
STOCK WHICH ARE DESIGNATED TO BE GUARANTY STOCK UNDER
THIS SUBTITLE; AND