February 4, 2016, Introduced by Senators ZORN and BOOHER and referred to the Committee on Banking and Financial Institutions.
A bill to amend 1999 PA 276, entitled
"Banking code of 1999,"
by amending section 1201 (MCL 487.11201).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1201. As used in this act:
(a) "Administrative expense" means any of the following:
(i) An expense designated as an administrative expense
by
under this act or by the court.
(ii) Court costs and expenses of operation and liquidation of
a bank.
(iii) Current wages paid to an employee of a bank whose
services are retained by the receiver for services rendered after
the date the bank is ordered in receivership.
(iv) An unpaid expense of supervision or conservatorship of a
bank.
(v) Unpaid fees or assessments owed to the bureau.department.
(b) "Administrative procedures act of 1969" means the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328.
(c) "Affiliate" means a corporation, business trust, limited
liability company, or similar organization to which any of the
following apply:
(i) An organization, directly or indirectly, owns or controls
either a majority of its voting shares or more than 50% of the
number of shares voted at the most recent election for the election
of
its directors, trustees, or other persons exercising individuals
who
exercise similar functions, at
the preceding election, or
controls in any manner the election of a majority of its directors,
trustees,
or other persons exercising individuals
who exercise
similar functions.
(ii) Control of the organization is held, directly or
indirectly, through either of the following:
(A) Stock ownership or in any other manner, by the
shareholders
or members of an organization who that own or control
a majority of the shares of that organization, a majority ownership
interest in the organization, more than 50% of the number of shares
voted for the election of directors of that organization at the
preceding
most recent election, or more than 50% of the ownership
vote for election of directors of that organization at the
preceding
most recent election.
(B) By trustees for the benefit of the shareholders or members
of that organization.
(iii) A majority of its directors, trustees, or other persons
exercising
individuals who exercise similar functions constitute a
majority
of the directors, trustees, or other persons exercising
individuals who exercise similar functions of any 1 organization.
(iv) The organization owns or controls, directly or
indirectly, either a majority of the shares of capital stock or
other ownership interest of an organization, or more than 50% of
the number of shares voted of the total ownership vote for the
election of directors of an organization at the preceding election,
or controls in any manner the election of a majority of the
directors of an organization, or for the benefit of whose
shareholders or members all or substantially all the capital stock
or ownership interest of an organization is held by trustees.
(d)
"Applicant" means a person making that submits an
application under this act.
(e) "Articles" means articles of incorporation, all amendments
to articles of incorporation, and agreements of consolidation and
merger.
(f) "Association" means a federal savings association
organized
under section 5 of the home owners' loan act, chapter 64,
48
Stat. 132, 12 U.S.C. 1464, 12
USC 1464, or a savings and loan
association, building and loan association, or homestead
association that is organized under the laws of a state, the
District of Columbia, or a territory or protectorate of the United
States,
and whose deposits are insured by the federal deposit
insurance
corporation.Federal Deposit
Insurance Corporation.
(g) "Bank" means a state banking corporation that is organized
or reorganized under this act or organized under any law of this
state
enacted before the effective date of this act, March 1, 2000,
including a state banking corporation that voluntarily limits its
activities.
(h) "Bank holding company" means a company as defined in the
bank holding company act that is not a bank or national banking
association and that is a bank holding company approved by the
board
of governors of the federal reserve system Board of Governors
of the Federal Reserve System under the bank holding company act or
that will become an approved bank holding company before or upon
the completion of a consolidation provided in section 3706.
(i) "Banking holding company act" means the federal bank
holding company act of 1956, chapter 240, 70 Stat. 133.
(j) "Branch" means, except as otherwise provided in this
subdivision, a branch bank, branch office, branch agency,
additional office, or a branch place of business at which deposits
are received, checks paid, or money lent. The acceptance of
deposits in furtherance of a school thrift or savings plan by an
officer,
employee, or agent of a bank at a school shall not be
construed
is not considered as the establishment or operation of a
branch. An electronic funds transfer facility that is made
available
to 2 or more depository institutions under Michigan law
any law of this state that regulates electronic funds transfer
facilities is not a branch. A trust office of a bank is not a
branch. A loan production office is not a branch. An additional
office of a state agency is not a branch. An international banking
facility
as defined in 12 C.F.R. CFR
204.8(a)(1), as in effect
December 31, 1982, is not a branch. The receipt of deposits by a
messenger service or the delivery by a messenger service of items
representing deposit account withdrawals or of loan proceeds is not
the establishment or operation of a branch, whether or not the
messenger service is owned or operated by the bank. Branch does not
include an agent acting under section 4101(1)(d).
(k)
"Bureau" or
"department" means the financial
institutions
bureau
of the department of consumer and industry
services.department of insurance and financial
services.
(l) "Capital" or "capital stock" means the stated par value of
issued and outstanding unimpaired common stock and the stated par
value of issued and outstanding unimpaired preferred stock. For
purposes of sections 4202, 4301, 4307, and 4308, "capital" and
"capital
stock" shall also include outstanding capital notes,
debentures, and any other instrument of indebtedness issued under
section 3801.
(m) "Cease and desist order which has become final" or "order
which has become final" means a cease and desist order or an order
issued
by the commissioner director
with the consent of the
institution
or the director board member
or officer or other person
concerned,
or with respect to which no a
petition for review of the
action
of the commissioner has been director
was not filed and
perfected
in a circuit court as specified in under section 2310(2),
or with respect to which the action of the court in which the
petition is filed is not subject to further review by the courts of
the state.
(n)
"Commissioner" or
"director" means the commissioner
of the
financial
institutions bureau.director
of the department.
(o) "Consolidate", "consolidated", "consolidating", and
"consolidation" include, respectively, consolidate or merge,
consolidated or merged, consolidating or merging, and consolidation
or merger.
(p) "Consolidated bank" means a bank that results from a
consolidation between a bank and 1 or more banks, out-of-state
banks, national banks, associations, or savings banks.
(q) "Consolidated organization" means an out-of-state bank,
national bank, association, or savings bank organized under the
laws of another state or the United States that results from a
consolidation of 1 or more banks, with 1 or more out-of-state
banks, national banks, associations, or savings banks.
(r) "Consolidating organizations" means any combination of
banks, out-of-state banks, national banks, associations, or savings
banks that have consolidated or are in the process of consolidation
as provided in section 3701 or 3702.
(s) "Depository institution" means a bank, out-of-state bank,
national bank, foreign bank branch, association, savings bank, or
credit union organized under the laws of this state, another state,
the District of Columbia, the United States, or a territory or
protectorate of the United States.
(t) "Dissolution" means the process by which a solvent bank
voluntarily ends its corporate existence by liquidating its assets
and winding up its affairs.
(u) "Dividend reinvestment plan" means a plan that is offered
solely
to existing shareholders of the bank and which that allows
the shareholders to reinvest dividends received under section 3806
in stock of the bank and that may allow additional cash amounts to
be contributed by the shareholders participating in the
reinvestment plan.
(v) "Federal agency" means a foreign bank agency established
and operating under the international banking act of 1978.
(w) "Federal branch" means a foreign bank branch established
and operating under the international banking act of 1978.
(x) "Federal deposit insurance act" means the federal deposit
insurance
act, chapter 967, 64 Stat. 873.12
USC 1811 to 1835a.
(y) "Federal home loan bank act" means the federal home loan
bank
act, chapter 522, 47 Stat. 725.12
USC 1421 to 1449.
(z) "Federal reserve act" means the federal reserve act,
chapter
6, 38 Stat. 251.12 USC 221 to
522.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.
Enacting section 2. This amendatory act does not take effect
unless all of the following bills of the 98th Legislature are
enacted into law:
(a) Senate Bill No. 748.
(b) Senate Bill No. 750.