Notification of change in ownership of stock; application required after certain acquisitions; investigation; costs; waiver.
1. An association shall immediately notify the Commissioner of any change or proposed change in ownership of the association’s stock which would result in any person, including a business trust, obtaining 5 percent or more of the association’s outstanding capital stock.
2. An application must be submitted to the Commissioner, pursuant to NRS 673.080, by a person who acquires:
(a) At least 25 percent of an association’s outstanding stock; or
(b) Any outstanding stock of an association if the change will result in a change in the control of the association.
Ê Except as otherwise provided in subsection 4, the Commissioner shall conduct an investigation to determine whether the character and responsibility of the applicant is such as to command the confidence of the community in which the association is located. If the Commissioner denies the application, he may forbid the applicant from participating in the business of the association.
3. The association with which the applicant is affiliated shall pay such a portion of the cost of the investigation as the Commissioner requires. All money received by the Commissioner pursuant to this section must be placed in the Investigative Account created by NRS 232.545.
4. A savings and loan association may submit a written request to the Commissioner to waive an investigation pursuant to subsection 1. The Commissioner may grant a waiver if the applicant has undergone a similar investigation by a state or federal agency in connection with the licensing of or his employment with a financial institution.
Last modified: February 26, 2006