Texas Finance Code - Section 31.105. Examination Required
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§ 31.105. EXAMINATION REQUIRED. (a) The banking
commissioner shall examine each state bank not less than once
during each 12-month period, except that this examination is
required not less than once during each 18-month period if the state
bank:
(1) has total assets of less than $250 million;
(2) is well capitalized, as defined by Section 38,
Federal Deposit Insurance Act (12 U.S.C. Section 1831o);
(3) was found to be well managed at its most recent
examination, and its composite condition:
(A) was found to be outstanding; or
(B) was found to be outstanding or good, in the
case of a state bank that has total assets of not more than $100
million;
(4) is not currently subject to a formal enforcement
proceeding or order by the banking commissioner or by a federal
banking agency; and
(5) was not the subject of a change of control under
Section 33.001 during the 12-month period in which a full-scope,
on-site examination would be required but for Subdivisions (1)-(4).
(b) The banking commissioner may examine a state bank more
often than required by Subsection (a) as the commissioner considers
necessary to:
(1) safeguard the interests of depositors, creditors,
shareholders, participants, and participant-transferees; and
(2) efficiently enforce applicable law.
(c) The banking commissioner may defer an examination for
not more than six months if the commissioner considers the
deferment necessary for the efficient enforcement of applicable
law.
(d) The banking commissioner may:
(1) accept an examination of a state bank by a federal
or other governmental agency instead of an examination under this
section; or
(2) conduct an examination of a state bank jointly
with a federal or other governmental agency.
(e) The banking commissioner may administer oaths and
examine persons under oath on any subject that the commissioner
considers pertinent to the financial condition or the safety and
soundness of the activities of a state bank.
(f) Disclosure of information to the banking commissioner
pursuant to an examination request does not constitute a waiver of
or otherwise affect or diminish an evidentiary privilege to which
the information is otherwise subject. A report of an examination
under this section is confidential and may be disclosed only under
the circumstances provided by this subtitle.
Acts 1997, 75th Leg., ch. 1008, § 1, eff. Sept. 1, 1997. Amended
by Acts 2001, 77th Leg., ch. 412, § 2.03, eff. Sept. 1, 2001.
Section: 31.005 31.006 31.007 31.101 31.102 31.103 31.104 31.105 31.106 31.107 31.108 31.201 31.202 31.203 31.204
Last modified: August 10, 2007
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