State branch or agency: Deposit of assets.
1. Each foreign bank which is licensed to establish and maintain a state branch or agency shall keep on deposit, in accordance with such regulations as the Commissioner may adopt, with unaffiliated Nevada banks which the foreign bank designates and the Commissioner approves, interest-bearing bonds, notes, debentures or other obligations of the United States or any agency or instrumentality thereof, or guaranteed by the United States, or of this state, or of a city, county, town, school district, or instrumentality of this state or guaranteed by this state, or dollar deposits, or obligations of the International Bank for Reconstruction and Development, or obligations issued by the Inter-American Development Bank, or obligations of the Asian Development Bank, or obligations issued by the African Development Bank, or such other assets as the Commissioner by regulation permits, to an aggregate amount to be determined by the Commissioner, based upon principal amount or market value, whichever is lower, in the case of the above-described securities, and subject to such limitations as he prescribes.
2. The Commissioner may from time to time require that the assets deposited pursuant to this section be maintained by the foreign bank in such amount, in such form and subject to such conditions as he deems necessary or desirable for the maintenance of a sound financial condition, the protection of depositors and the public interest, and to maintain public confidence in the business of the state branch or agency. The Commissioner may give credit to reserves required to be maintained with a federal reserve bank in or outside this state pursuant to federal law, in accordance with such regulations as he may adopt.
3. So long as it continues business in the ordinary course, a foreign bank is entitled to collect interest on securities deposited pursuant to this section and from time to time exchange, examine and compare the securities.
Last modified: February 26, 2006