H.B. 1328

VETOES

5-1004.                                                                 

A BANKING INSTITUTION MAY ESTABLISH A BRANCH IN ANOTHER STATE BY
ANY MEANS PERMITTED BY THE LAWS OF THAT STATE OR BY FEDERAL LAW.

5-1005.                                                                                                   

(A) A BANKING INSTITUTION THAT PROPOSES TO ESTABLISH A BRANCH IN
THIS STATE OR IN ANOTHER STATE SHALL:

(1)     FILE WITH THE COMMISSIONER, AT LEAST 30 DAYS BEFORE THE
INTENDED OPENING DATE, A NOTICE OF INTENTION TO OPEN A BRANCH;

(2)     SUBMIT TO THE COMMISSIONER ANY INFORMATION THE
COMMISSIONER REQUIRES IN ORDER TO EVALUATE THE PROPOSED BRANCH; AND

(3) PAY TO THE COMMISSIONER A BRANCH FEE OF $500.

(B) THE BRANCH FEE SHALL NOT APPLY TO A BRANCH THAT IS ACQUIRED BY
A BANKING INSTITUTION THROUGH A MERGER OR CONSOLIDATION WITH, OR
TRANSFER TO THE BANKING INSTITUTION OF ALL OR SUBSTANTIALLY ALL OF THE
ASSETS OF, A BANK OR AN INSURED DEPOSITORY INSTITUTION.

5-1006.

IN DECIDING WHETHER TO APPROVE A BRANCH OF A BANKING INSTITUTION,
THE COMMISSIONER SHALL CONSIDER:

(1)     IF THE BRANCH IS TO BE ESTABLISHED IN THIS STATE, WHETHER
THE ESTABLISHMENT OF THE BRANCH WILL PROMOTE THE PUBLIC CONVENIENCE;

(2)     WHETHER THE APPLICANT HAS SUFFICIENT CAPITAL TO SUPPORT
THE BRANCH; AND

(3) WHETHER THE APPLICANT IS GENERALLY OPERATING IN
COMPLIANCE WITH THE PROVISIONS OF THIS ARTICLE.

5-1007.

(A) THE COMMISSIONER SHALL DECIDE WHETHER TO APPROVE THE
ESTABLISHMENT OF A BRANCH OF A BANKING INSTITUTION WITHIN 30 DAYS OF
RECEIPT OF THE NOTICE SPECIFIED IN § 5-1005 OF THIS SUBTITLE.

(B) A BRANCH SHALL BE DEEMED APPROVED IF THE COMMISSIONER TAKES
NO ACTION ON THE NOTICE WITHIN THE TIME LIMIT SPECIFIED IN THIS SECTION.

5-1005. 5-1008.

(A) A BANKING INSTITUTION THAT ESTABLISHES A BRANCH IN ANOTHER
STATE MAY EXERCISE AT THAT BRANCH ALL POWERS AND RIGHTS PERMITTED TO
BANKS IN THAT STATE UNLESS THE BANK COMMISSIONER DETERMINES THAT THE
EXERCISE OF A POWER OR RIGHT WOULD THREATEN THE SAFETY AND SOUNDNESS
OF THE OTHER STATE BANK BANKING INSTITUTION.

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