Source: http://www.law.cornell.edu/uscode/text/12/1785?quicktabs_8=2
Timestamp: 2014-08-22 18:45:26
Document Index: 281445750

Matched Legal Cases: ['§ 1785', '§ 1785', '§ 1785', '§ 205', '§ 1', '§ 502', '§ 305', '§ 523', '§ 131', '§ 706', '§ 509', '§ 910', '§ 320606', '§ 202', '§ 2', '§ 607', '§ 362', '§ 961', '§ 362', '§ 362', '§ 202', '§ 202', '§ 141', '§ 706', '§ 131', '§ 141', '§ 509', '§ 305', '§ 523', '§ 2', '§ 525', 'art 705', 'art 708', 'art 708', 'art 712', 'art 714', 'art 723', 'art 740', 'art 741', 'art 747']

12 U.S. Code § 1785 - Requirements governing insured credit unions | LII / Legal Information Institute
U.S. Code › Title 12 › Chapter 14 › Subchapter II › § 1785 12 U.S. Code § 1785 - Requirements governing insured credit unions
Insurance logo (1)
In general Each insured credit union shall display at each place of business maintained by that credit union a sign or signs relating to the insurance of the share accounts of the institution, in accordance with regulations to be prescribed by the Board.
Statement to be included Each sign required under subparagraph (A) shall include a statement that insured share accounts are backed by the full faith and credit of the United States Government.
Regulations The Board shall prescribe regulations to carry out this subsection, including regulations governing the substance of signs required by paragraph (1) and the manner of display or use of such signs.
Penalties For each day that an insured credit union continues to violate this subsection or any regulation issued under this subsection, it shall be subject to a penalty of not more than $100, which the Board may recover for its use.
Conversion of insured credit unions to mutual savings banks.— (A)
In general.— Notwithstanding paragraph (1), an insured credit union may convert to a mutual savings bank or savings association (if the savings association is in mutual form), as those terms are defined in section 1813 of this title, without the prior approval of the Board, subject to the requirements and procedures set forth in the laws and regulations governing mutual savings banks and savings associations.
Conversion proposal.— A proposal for a conversion described in subparagraph (A) shall first be approved, and a date set for a vote thereon by the members (either at a meeting to be held on that date or by written ballot to be filed on or before that date), by a majority of the directors of the insured credit union. Approval of the proposal for conversion shall be by the affirmative vote of a majority of the members of the insured credit union who vote on the proposal.
Notice of proposal to members.— An insured credit union that proposes to convert to a mutual savings bank or savings association under subparagraph (A) shall submit notice to each of its members who is eligible to vote on the matter of its intent to convert—
Notice of proposal to board.— The Board may require an insured credit union that proposes to convert to a mutual savings bank or savings association under subparagraph (A) to submit a notice to the Board of its intent to convert during the 90-day period preceding the date of the completion of the conversion.
Inapplicability of chapter upon conversion.— Upon completion of a conversion described in subparagraph (A), the credit union shall no longer be subject to any of the provisions of this chapter.
Limit on compensation of officials.— (i)
In general.— No director or senior management official of an insured credit union may receive any economic benefit in connection with a conversion of the credit union as described in subparagraph (A), other than—
Senior management official.— For purposes of this subparagraph, the term “senior management official” means a chief executive officer, an assistant chief executive officer, a chief financial officer, and any other senior executive officer (as defined by the appropriate Federal banking agency pursuant to section 1831i
Consistent rules.— (i)
In general.— Not later than 6 months after August 7, 1998, the Administration shall promulgate final rules applicable to charter conversions described in this paragraph that are consistent with rules promulgated by other financial regulators, including the Office of the Comptroller of the Currency. The rules required by this clause shall provide that charter conversion by an insured credit union shall be subject to regulation that is no more or less restrictive than that applicable to charter conversions by other financial institutions.
Oversight of member vote.— The member vote concerning charter conversion under this paragraph shall be administered by the Administration, and shall be verified by the Federal or State regulatory agency that would have jurisdiction over the institution after the conversion. If either the Administration or that regulatory agency disapproves of the methods by which the member vote was taken or procedures applicable to the member vote, the member vote shall be taken again, as directed by the Administration or the agency.
Considerations for waiver or enforcement of restrictions In granting or withholding approval or consent under subsection (b) of this section, the Board shall consider—
In general Except with prior written consent of the Board—
Penalty Whoever knowingly violates paragraph (1) or (2) shall be fined not more than $1,000,000 for each day such prohibition is violated or imprisoned for not more than 5 years, or both.
Security standards; reports; penalty (1)
Share draft accounts; maintenance, loans, etc. (1)
Emergency merger Notwithstanding any other provision of law, the Board may authorize a merger or consolidation of an insured credit union which is insolvent or is in danger of insolvency with any other insured credit union or may authorize an insured credit union to purchase any of the assets of, or assume any of the liabilities of, any other insured credit union which is insolvent or in danger of insolvency if the Board is satisfied that—
Emergency purchase of assets; conversion to insured deposits (1)
Notwithstanding any other provision of this chapter or of State law, the Board may authorize an institution whose deposits or accounts are insured by the Federal Deposit Insurance Corporation to purchase any of the assets of or assume any of the liabilities of an insured credit union which is insolvent or in danger of insolvency, except that prior to exercising this authority the Board must attempt to effect the merger or consolidation of an insured credit union which is insolvent or in danger of insolvency with another insured credit union, as provided in subsection (h) of this section.
Privileges not affected by disclosure to banking agency or supervisor (1)
In general The submission by any person of any information to the Administration, any State credit union supervisor, or foreign banking authority for any purpose in the course of any supervisory or regulatory process of such Board, supervisor, or authority shall not be construed as waiving, destroying, or otherwise affecting any privilege such person may claim with respect to such information under Federal or State law as to any person or entity other than such Board, supervisor, or authority.
Rule of construction No provision of paragraph (1) may be construed as implying or establishing that—
(June 26, 1934, ch. 750, title II, § 205, as added Pub. L. 91–468, § 1(3),Oct. 19, 1970, 84 Stat. 1002; amended Pub. L. 95–630, title V, § 502(b),Nov. 10, 1978, 92 Stat. 3681; Pub. L. 96–221, title III, § 305(d), title V, § 523,Mar. 31, 1980, 94 Stat. 147, 166; Pub. L. 97–320, title I, § 131, 141
(a)(8), title VII, § 706(b),Oct. 15, 1982, 96 Stat. 1486, 1489, 1540; Pub. L. 100–86, title V, § 509(a),Aug. 10, 1987, 101 Stat. 635; Pub. L. 101–73, title IX, § 910(b),Aug. 9, 1989, 103 Stat. 478; Pub. L. 103–322, title XXXII, § 320606,Sept. 13, 1994, 108 Stat. 2119; Pub. L. 105–219, title II, § 202,Aug. 7, 1998, 112 Stat. 919; Pub. L. 109–173, § 2(d)(3),Feb. 15, 2006, 119 Stat. 3604; Pub. L. 109–351, title VI, § 607(b),Oct. 13, 2006, 120 Stat. 1982; Pub. L. 111–203, title III, § 362(2),July 21, 2010, 124 Stat. 1549.)
Section 1008 of title 18, referred to in subsec. (d)(2)(A)(i)(I), was repealed by Pub. L. 101–73, title IX, § 961(g)(1),Aug. 9, 1989, 103 Stat. 500.
2010—Subsec. (b)(2)(G)(i). Pub. L. 111–203, § 362(2)(A), struck out “the Office of Thrift Supervision and” before “the Office of the Comptroller”.
Subsec. (i)(1). Pub. L. 111–203, § 362(2)(B), struck out “or the Federal Savings and Loan Insurance Corporation” before “to purchase”.
2006—Subsec. (a). Pub. L. 109–173amended heading and text of subsec. (a) generally. Prior to amendment, text read as follows: “Every insured credit union shall display at each place of business maintained by it a sign or signs indicating that its member accounts are insured by the Board and shall include in all of its advertisements a statement to the effect that its member accounts are insured by the Board. The Board may exempt from this requirement advertisements which do not relate to member accounts or advertisements in which it is impractical to include such a statement. The Board shall prescribe by regulation the forms of such signs, the manner of display, the substance of any such statement, and the manner of use.”
Subsec. (j). Pub. L. 109–351added subsec. (j).
1998—Subsec. (b)(1). Pub. L. 105–219, § 202(1), substituted “Except as provided in paragraph (2), no insured credit union shall, without the prior approval of the Board” for “Except with the prior written approval of the Board, no insured credit union shall”.
Subsec. (b)(2), (3). Pub. L. 105–219, § 202(2), (3), added par. (2) and redesignated former par. (2) as (3).
1994—Subsec. (d). Pub. L. 103–322amended heading and text of subsec. (d) generally. Prior to amendment, text read as follows:
“(1) Prohibition.—Except with the prior written consent of the Board—
“(A) any person who has been convicted of any criminal offense involving dishonesty or a breach of trust may not participate, directly or indirectly, in any manner in the conduct of the affairs of an insured credit union; and
“(B) an insured credit union may not permit such participation.
“(2) Penalty.—Whoever knowingly violates paragraph (1) shall be fined not more than $1,000,000 for each day such prohibition is violated or imprisoned for not more than 5 years, or both.”
1989—Subsec. (d). Pub. L. 101–73amended subsec. (d) generally. Prior to amendment, subsec. (d) read as follows: “Except with the written consent of the Board, no person shall serve as a director, officer, committee member, or employee of an insured credit union who has been convicted, or who is hereafter convicted, of any criminal offense involving dishonesty or a breach of trust. For each willful violation of this prohibition, the credit union involved shall be subject to a penalty of not more than $100 for each day this prohibition is violated, which the Board may recover for its use.”
1987—Pub. L. 100–86repealed Pub. L. 97–320, § 141. See 1982 Amendment note below.
1982—Subsec. (f)(2). Pub. L. 97–320, § 706(b), inserted provisions relating to deposits of public funds.
Subsecs. (h), (i). Pub. L. 97–320, § 131, added subsecs. (h) and (i).
Pub. L. 97–320, § 141(a)(8), which directed that, effective Oct. 13, 1986, the provisions of law amended by section 131 ofPub. L. 97–320shall be amended to read as they would without such amendment, was repealed by Pub. L. 100–86, § 509(a). See Effective and Termination Dates of 1982 Amendment note and Extension of Emergency Acquisition and Net Worth Guarantee Provisions of Pub. L. 97–320note set out under section 1464 of this title.
1980—Subsec. (f). Pub. L. 96–221, § 305(d), added subsec. (f).
Subsec. (g). Pub. L. 96–221, § 523, added subsec. (g).
1978—Pub. L. 95–630substituted “Board” for “Administrator” wherever appearing, and “its” for “his” where appropriate.
Pub. L. 109–173, § 2(e),Feb. 15, 2006, 119 Stat. 3605, provided that: “This section [amending this section and sections 1787, 1817, 1821, 1828, 1831t, and 3104 of this title] and the amendments made by this section shall take effect on the date on which the final regulations required under section 2109(a)(2) of the Federal Deposit Insurance Reform Act of 2005 [Pub. L. 109–171, set out as a Regulations note under section 1817 of this title] take effect [Apr. 1, 2006, see 71 F.R. 14629].”
Enactment of subsec. (f) by Pub. L. 96–221effective at the close of Mar. 31, 1980, see section 306 ofPub. L. 96–221, set out as a note under section 1464 of this title.
Pub. L. 96–221, title V, § 525,Mar. 31, 1980, 94 Stat. 167, provided that: “The amendments made by sections 521 through 523 of this title [amending this section and enacting sections 1730g and 1831d of this title] shall apply only with respect to loans made in any State during the period beginning on April 1, 1980, and ending on the date, on or after April 1, 1980, on which such State adopts a law or certifies that the voters of such State have voted in favor of any provision, constitutional or otherwise, which states explicitly and by its terms that such State does not want the amendments made by such sections to apply with respect to loans made in such State, except that such amendments shall apply to a loan made on or after the date such law is adopted or such certification is made if such loan is made pursuant to a commitment to make such loan which was entered into on or after April 1, 1980, and prior to the date on which such law is adopted or such certification is made.”
For purposes of subsec. (g) of this section, the term “State” to include the several States, the Commonwealth of Puerto Rico, the District of Columbia, Guam, the Trust Territories of the Pacific Islands, the Northern Mariana Islands, and the Virgin Islands, see section 527 ofPub. L. 96–221, set out as a note under section 1735f–7a of this title.
This is a list of parts within the Code of Federal Regulations for which this US Code section provides rulemaking authority.This list is taken from the Parallel Table of Authorities and Rules provided by GPO [Government Printing Office].It is not guaranteed to be accurate or up-to-date, though we do refresh the database weekly. More limitations on accuracy are described at the GPO site.12 CFR - Banks and Banking12 CFR Part 705 - COMMUNITY DEVELOPMENT REVOLVING LOAN FUND ACCESS FOR CREDIT UNIONS12 CFR Part 708b - MERGERS OF FEDERALLY-INSURED CREDIT UNIONS; VOLUNTARY TERMINATION OR CONVERSION OF INSURED STATUS12 CFR Part 708a - BANK CONVERSIONS AND MERGERS12 CFR Part 712 - CREDIT UNION SERVICE ORGANIZATIONS (CUSOs)12 CFR Part 714 - LEASING12 CFR Part 723 - MEMBER BUSINESS LOANS12 CFR Part 740 - ACCURACY OF ADVERTISING AND NOTICE OF INSURED STATUS12 CFR Part 741 - REQUIREMENTS FOR INSURANCE12 CFR Part 747 - ADMINISTRATIVE ACTIONS, ADJUDICATIVE HEARINGS, RULES OF PRACTICE AND PROCEDURE, AND INVESTIGATIONS