Source: https://www.law.cornell.edu/uscode/text/12/2279f
Timestamp: 2015-11-25 06:23:29
Document Index: 43898252

Matched Legal Cases: ['§ 2279', '§ 2279', '§ 2279', '§\u202f7', '§\u202f416', '§\u202f408', '§\u202f408', '§\u202f408']

12 U.S. Code § 2279f - Merger of similar banks | US Law | LII / Legal Information Institute
U.S. Code › Title 12 › Chapter 23 › Subchapter VII › Part D › § 2279f 12 U.S. Code § 2279f - Merger of similar banks
Merger of similar banks
(a) In generalBanks organized or operating under this chapter may merge with banks in other districts operating under the same subchapter if the plan of merger is approved by—
a majority vote of the stockholders of each bank voting, in person or by proxy, at a duly authorized stockholders’ meeting, with each association having a number of votes equal to the number of such association’s voting stockholders; and
(b) Powers and capitalization
Sections 2279a–2 and 2279a–3 of this title shall apply to banks merged under this section.
After a merger under subsection (a), a board of directors shall be created for the resulting bank.
(2) CompositionThe board shall be composed of—
two directors elected by each of the bank boards, with at least one such director from each bank being elected by the eligible stockholders of, or subscribers to, the guaranty fund of the merging banks; and
one outside director elected by the directors elected under subparagraph (A).
The outside director elected under paragraph (2)(B) shall be experienced in financial services and credit, and within the 2-year period prior to such election, shall not have been a borrower from, shareholder in, or director, officer, employee, or agent of any institution of the Farm Credit System.
If the other members of the board fail to elect an outside director, the Farm Credit Administration Board shall appoint a qualified person to serve on the board of directors until such member is so elected.
Notwithstanding paragraph (2), the bylaws of the merged bank may, with the approval of the Farm Credit Administration, provide for a different number of directors to be selected in a different manner, except that the bylaws shall provide for at least one outside director.
(Pub. L. 92–181, title VII, § 7.12, as added Pub. L. 100–233, title IV, § 416, Jan. 6, 1988, 101 Stat. 1652; amended Pub. L. 100–399, title IV, § 408(q), (r), Aug. 17, 1988, 102 Stat. 1002, 1003.)
1988—Subsec. (b). Pub. L. 100–399, § 408(q), substituted “Powers and capitalization” for “Procedures” in heading and, in amending text generally, substituted “Sections 2279a–2 and 2279a–3 of this title” for “The provisions of sections 2279a–2 through 2279a–4 of this title”.
Subsec. (c)(2)(B). Pub. L. 100–399, § 408(r), substituted “directors” for “members”.