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LAWS OF MARYLAND

Ch. 4

(ii) Purchasing capital instruments, including
net worth certificates, issued by a member association to enable
that member association to qualify for federal insurance;

(iii) Reimbursing savings account holders for
loss incurred upon liquidation of a member association, up to the
amount of insurance on any savings account; [and]

(iv) Providing funds for liquidity to a member
association in an emergency; AND

(V) PAYING TO A RECEIVER OF ANY MEMBER
ASSOCIATION IN RECEIVERSHIP UNDER § 9-708 OF THIS ARTICLE AT THE
TIME OF FINAL DISTRIBUTION OF THE ASSETS OF THE MEMBER
ASSOCIATION A SUM EQUAL TO THE AMOUNT THAT THE INSURANCE
LIABILITY OF THE FUND HAS BEEN REDUCED BY REASON OF WITHDRAWALS
MADE DURING THE PENDENCY OF A CONSERVATORSHIP OR RECEIVERSHIP OF
THE MEMBER ASSOCIATION UNDER ANY FORM OF HARDSHIP WITHDRAWAL PLAN
OR PARTIAL DISTRIBUTION OF ASSETS APPROVED BY THE COURT HAVING
JURISDICTION OVER THE RECEIVERSHIP OF THE MEMBER ASSOCIATION.

(b) The amount of loss to be protected against for each
depositor may not exceed the limit established from time to time
by the rules and regulations of the Fund. This limit may not
exceed the amount of federal insurance.

10-116.

It is the policy of this State that funds will be
appropriated to the Fund to the extent necessary to protect
holders of savings accounts in member associations, AND TO ENABLE
THE FUND TO MEET ITS OBLIGATIONS UNDER A HARDSHIP WITHDRAWAL PLAN
OR PARTIAL DISTRIBUTION OF ASSETS.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act is
hereby declared to be an emergency measure and necessary for the
immediate preservation of the public health and safety and having
been passed by a yea and nay vote supported by three-fifths of
all the members elected to each of the two Houses of the General
Assembly, the same shall take effect from the date of its
passage.

Approved October 25, 1985.

CHAPTER 5
(Senate Bill 2)
AN ACT concerning

Savings and Loan Associations - Conversions