3120

LAWS OF MARYLAND

Ch. 856

(2) THE BOARD OF COMMISSIONERS CONSIDERS THE
APPOINTMENT OF A RECEIVER TO BE IN THE PUBLIC INTEREST.

(B)  LIMITATION.

ONLY THE BOARD OF COMMISSIONERS MAY INSTITUTE
PROCEEDINGS FOR THE APPOINTMENT OF A RECEIVER.

(C)  APPOINTMENT OF RECEIVER.

SUBJECT TO THE PROVISIONS OF § 9-709 OF THIS SUBTITLE,
A COURT MAY APPOINT A RECEIVER IF IT FINDS THAT A SAVINGS
AND LOAN ASSOCIATION IS:

(1)  IN AN IMPAIRED OR INSOLVENT CONDITION;

(2)  IN SUBSTANTIAL VIOLATION OF ANY LAW OR
REGULATION;

(3)  CONCEALING ANY OF ITS ASSETS OR RECORDS; OR

(4)  CONDUCTING AN UNSAFE AND UNSOUND OPERATION.

COMMITTEE COMMENT: This section replaces former Art.
23, § 161L(a).

In subsection (a)(l)(i) of this section, the
phrase "of the Division Director or Board of
Commissioners" was added for clarity and in
accordance with the practice of the Board of
Commissioners.

Subsection (b) of this section is a new provision
added to clarify administrative procedure.

As to subsection (c)(3) of this section, the
former term "books" is deleted as included in the
phrase "assets or records".

Note that the court has broader discretion as to
who is appointed receiver than as to the
appointment of conservator. See § 9-701 of this
subtitle.

"Board of Commissioners", "Division Director",
and "savings and loan association" are defined in
§ 9-101 of this title.

9-709. INSURING AGENCY AS RECEIVER OR CONSERVATOR.

THE FEDERAL SAVINGS AND LOAN INSURANCE CORPORATION OR
THE MARYLAND SAVINGS-SHARE INSURANCE CORPORATION HAS AN
ABSOLUTE RIGHT TO BE APPOINTED CONSERVATOR OR RECEIVER OF A
SAVINGS AND LOAN ASSOCIATION INSURED BY IT.

COMMITTEE COMMENT: This section replaces former Art.
23, § 161(a) and (b) that relates to the federal
and State insuring agencies.