NY Banking L § 652-A (2021)
2021 New York Laws BNK - Banking Article 13-B - Transmitters of Money 652-A - Changes in Control.

§ 652-a.  Changes  in control. 1. It shall be unlawful except with the   prior approval of the superintendent for any action to  be  taken  which   results  in  a change of control of the business of a licensee. Prior to   any change of control, the person desirous of acquiring control  of  the   business   of   a   licensee  shall  make  written  application  to  the   superintendent and pay an investigation fee as  prescribed  pursuant  to   section   eighteen-a   of   this  chapter  to  the  superintendent.  The   application shall contain such information  as  the  superintendent,  by   rule  or  regulation,  may prescribe as necessary or appropriate for the   purpose of making the determination required by subdivision two of  this   section.2.  The superintendent shall disapprove the proposed change of control   of a licensee if, after notice to and an opportunity to be heard by  the   applicant and such licensee, he finds the acquisition of control therein   contrary  to  law or determines that disapproval is reasonably necessary   to protect the interest of the people of  this  state.  In  making  such   determination,   the  superintendent  shall  consider  (a)  whether  the   character, responsibility and general fitness of the person which  seeks   to  control  such licensee are such as to command confidence and warrant   belief  that  the  business  of  such  licensee  will  be  honestly  and   efficiently  conducted  in a manner consistent with the public interest,   (b) whether the exercise of  control  may  impair  the  safe  and  sound   conduct of the business of such licensee, the conservation of its assets   or  public  confidence  in  its  business, and (c) primarily, the public   interest  and  the   needs   and   convenience   thereof.   Unless   the   superintendent  shall have denied such application in writing within one   hundred fifty days of the filing  thereof,  such  application  shall  be   deemed approved. If the superintendent disapproves such application, or,   if  no  such  application  has  been  made,  upon  consummation  of  the   acquisition of control, the license of the licensee  shall  become  null   and  void  and the applicant or licensee, whoever has possession of such   license, shall forthwith surrender to  the  superintendent  the  license   theretofore in effect.3.  For  a period of six months from the date of qualification thereof   and for such  additional  period  of  time  as  the  superintendent  may   prescribe,  in  writing,  the  provisions of subdivisions one and two of   this section shall not apply to a transfer of control  by  operation  of   law  to the legal representative, as hereinafter defined, of one who has   control of a  licensee.  Thereafter,  such  legal  representative  shall   comply  with the provisions of subdivisions one and two of this section.   The provisions of subdivisions one and two  of  this  section  shall  be   applicable  to  an  application  made  under  such  section  by  a legal   representative.The term "legal representative", for the  purposes  of  this  section,   shall  mean  one  duly appointed by a court of competent jurisdiction to   act as  executor,  administrator,  trustee,  committee,  conservator  or   receiver,  including  one  who  succeeds  a legal representative and one   acting  in  an  ancillary  capacity  thereto  in  accordance  with   the   provisions of such court appointment.4.  As  used  in this section the term "control" means the possession,   directly or indirectly, of the power to direct or cause the direction of   the management and policies of a licensee, whether through the ownership   of voting stock of such licensee, the ownership of voting stock  of  any   person  which  possesses  such  power  or  otherwise.  Control  shall be   presumed to exist if any person directly or indirectly, owns,  controls,   or holds with power to vote twenty-five per centum or more of the voting   stock  of  any  licensee  or of any person which owns, controls or holds   with power to vote twenty-five per centum or more of the voting stock of    such licensee, but no person shall  be  deemed  to  control  a  licensee   solely by reason of his being an officer or director of such licensee or   person.  The  superintendent may in his discretion, upon the application   of  a licensee or any person who, directly or indirectly, owns, controls   or holds with power to vote or seeks to own, control or hold with  power   to  vote any voting stock of such licensee, determine whether or not the   ownership, control or holding of such voting stock constitutes or  would   constitute control of such licensee for purposes of this section.