§ 6.1-194.40. State association or association holding company acquiring bank; association acquired by bank or ba...
A. Notwithstanding the provisions of § 6.1-58.1 or § 6.1-60.1, and subject to the prior approval of the Commission, the following acquisitions, mergers, or consolidations may occur:
1. A state association or a federal savings institution may become a subsidiary of (i) a state bank or a national bank whose main office is located within this Commonwealth or (ii) a bank holding company whose banking subsidiaries principally conduct their operations within this Commonwealth;
2. A state bank may become a subsidiary of (i) a state association or a federal savings institution whose main office is located within this Commonwealth or (ii) a savings and loan holding company whose principal place of business is located within this Commonwealth; and
3. A state association or a federal savings institution may merge into or consolidate with a state bank or a national bank whose main office is located within this Commonwealth or a state bank or a national bank may merge into or consolidate with a state association or a federal savings institution whose main office is located within this Commonwealth. If the resulting entity is to do business as a bank, the Commission shall not approve the merger or consolidation unless the applicant meets the standards established by § 6.1-13. If the resulting entity is to do business as an association, the Commission shall not approve the merger or consolidation unless the applicant meets the standards established by § 6.1-194.12. In either case, the order granting a certificate of authority to do business shall designate the main office of the resulting entity. The resulting entity shall be permitted to operate all branch offices of the merging or consolidating entities that could have been established de novo by the resulting entity or which were in operation at least five years prior to the date of the order permitting merger or consolidation. Within one year of such merger or consolidation, the resulting entity shall conform its assets and operations to the provisions of law regulating the operation of savings institutions if the resulting entity is operated as a savings institution or to the provisions of law regulating the operation of banks if the resulting entity is operated as a bank. The Commission may grant the resulting entity additional one-year periods, not to exceed a total of four additional years, in which to conform its assets and operations as provided herein.
B. As used in this section, the term "state bank" shall mean a bank incorporated under the laws of the Commonwealth which has its main office in the Commonwealth.
(Code 1950, § 6.1-195.57:1; 1982, c. 224; 1985, c. 425; 1991, c. 228.)
Sections: Previous 6.1-194.33 6.1-194.34 6.1-194.35 6.1-194.36 6.1-194.37 6.1-194.38 6.1-194.39 6.1-194.40 6.1-194.41 6.1-194.42 6.1-194.43 6.1-194.44 6.1-194.45 6.1-194.46 6.1-194.47 NextLast modified: April 16, 2009