Texas Finance Code - Section 36.223. Fiduciary Activities
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§ 36.223. FIDUCIARY ACTIVITIES. (a) As soon after
beginning the receivership proceeding as is practicable, the
receiver shall:
(1) terminate all fiduciary positions the bank holds;
(2) surrender all property held by the bank as a
fiduciary; and
(3) settle the bank's fiduciary accounts.
(b) The receiver shall release all segregated and
identifiable fiduciary property held by the bank to successor
fiduciaries.
(c) With the approval of the court, the receiver may sell
the administration of all or substantially all remaining fiduciary
accounts to one or more successor fiduciaries on terms that appear
to be in the best interests of the bank's estate and the persons
interested in the fiduciary accounts.
(d) If commingled fiduciary money held by the bank as
trustee is insufficient to satisfy all fiduciary claims to the
commingled money, the receiver shall distribute commingled money
pro rata to all fiduciary claimants of commingled money based on
their proportionate interests after payment of administrative
expenses related solely to the fiduciary claims. The fictional
tracing rule does not apply. To the extent of any unsatisfied
fiduciary claim to commingled money, a claimant to commingled trust
money is entitled to the same priority as a depositor of the bank.
(e) Subject to Subsection (d), if the bank has lost
fiduciary money or property through misappropriation or otherwise,
a claimant to the missing fiduciary money or property is entitled to
the same priority as a depositor of the bank.
(f) The receiver may require a fiduciary claimant to file a
proof of claim if the records of the bank are insufficient to
identify the claimant's interest.
Acts 1997, 75th Leg., ch. 1008, § 1, eff. Sept. 1, 1997.
Section: 36.216 36.217 36.218 36.219 36.220 36.221 36.222 36.223 36.224 36.225 36.226 36.227 36.301 36.302 36.303
Last modified: August 10, 2007
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