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LAWS OF MARYLAND

Ch. 6

(1)  IF THE MAJOR ASSOCIATION HAS APPLIED FOR FEDERAL
INSURANCE ON OR BEFORE JUNE 1, 1985, IT MAY REMAIN A MEMBER:

(I)  FOR A PERIOD AFTER JUNE 1, 1985, OF NOT
MORE THAN 7 MONTHS, AS DETERMINED BY THE FUND DIRECTOR, IF THE
FUND DIRECTOR DETERMINES THAT THERE IS A SUBSTANTIAL LIKELIHOOD
THAT THE MAJOR ASSOCIATION WILL QUALIFY FOR FEDERAL INSURANCE;
AND

(II)  FOR AN EXTENDED PERIOD OF NOT MORE THAN 3
MONTHS AFTER ITS APPLICATION FOR FEDERAL INSURANCE HAS BEEN
DENIED, UNDER TERMS AND CONDITIONS AS PRESCRIBED BY THE FUND
DIRECTOR, IF THE FUND DIRECTOR DETERMINES THAT THE INTEREST OF
THE SAVINGS ACCOUNT HOLDERS WILL NOT BE JEOPARDIZED;

(2)  WHETHER OR NOT THE MAJOR ASSOCIATION HAS APPLIED
FOR FEDERAL INSURANCE, IT MAY REMAIN A MEMBER FOR A PERIOD AFTER
JUNE 1, 1985, OF NOT MORE THAN 1 YEAR, AS DETERMINED BY THE FUND
DIRECTOR, IF IT IS OWNED OR CONTROLLED, DIRECTLY OR INDIRECTLY,
BY AN INSTITUTION THAT IS INSURED BY THE FEDERAL SAVINGS AND LOAN
INSURANCE CORPORATION OR THE FEDERAL DEPOSIT INSURANCE
CORPORATION AND IF THAT INSTITUTION:

(I)  GUARANTEES THE SAVINGS ACCOUNTS OF THE
MAJOR ASSOCIATION; OR

(II)  HAS ENTERED INTO AN AGREEMENT TO ACQUIRE
OR MERGE WITH THE MAJOR ASSOCIATION; OR

(3)  IF THE ASSOCIATION WAS NOT A MAJOR ASSOCIATION ON
THE DATE IT BECAME A MEMBER OF THE FUND BUT LATER BECOMES A MAJOR
ASSOCIATION, FOR A PERIOD OF NOT MORE THAN 1 YEAR, AS DETERMINED
BY THE DIRECTOR, FROM THE DATE IT BECAME A MAJOR ASSOCIATION.

(C) (1) IF, AT ANY TIME, THE FUND DIRECTOR DETERMINES THAT
AN ASSOCIATION THAT IS OPEN FOR BUSINESS PURSUANT TO SECTION
9-901(B) OF THIS ARTICLE WILL NOT FINALLY QUALIFY FOR FEDERAL
INSURANCE OR IS OTHERWISE BEING OPERATED IN AN UNSAFE AND UNSOUND
MANNER, OR THAT THERE IS NOT A SUBSTANTIAL LIKELIHOOD THAT A
MAJOR ASSOCIATION WILL QUALIFY FOR FEDERAL INSURANCE AND THAT IT
IS IN THE PUBLIC INTEREST, THE FUND DIRECTOR MAY EXERCISE ALL OF
THE POWERS OF THE BOARD OF SAVINGS AND LOAN COMMISSIONERS UNDER
TITLE 9, SUBTITLE 7 OF THIS ARTICLE TO INSTITUTE PROCEEDINGS FOR
THE APPOINTMENT OF A CONSERVATOR OR A RECEIVER.

(2)  NOTWITHSTANDING SUBSECTION (A) OF THIS SECTION,
IF PROCEEDINGS HAVE BEEN INSTITUTED UNDER THIS SUBSECTION, THE
ASSOCIATION SHALL REMAIN A MEMBER OF THE FUND UNTIL CONCLUSION OF
THE PROCEEDINGS.

(3)  NOTWITHSTANDING SUBSECTION (A) OF THIS SECTION, A
SAVINGS AND LOAN ASSOCIATION, THE SAVINGS ACCOUNTS OF WHICH ARE
INSURED BY THE MARYLAND SAVINGS-SHARE INSURANCE CORPORATION ON