reglab/statecodes huggingface dataset:
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 25 - LOAN BROKERS › Section 26-2506 - CRIMINAL PENALTY.

26-2506. CRIMINAL PENALTY. Any person who wilfully violates any provision of chapter 25, title 26, Idaho Code, shall be guilty of a felony.
History:
[26-2506, added 1981, ch. 239, sec. 1, p. 482.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2601 - SHORT TITLE.

26-2601. SHORT TITLE. This chapter shall be known as the "Idaho Interstate Banking Act."
History:
[26-2601, added 1985, ch. 185, sec. 1, p. 474; am. 1995, ch. 99, sec. 12, p. 316.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2602 - STATEMENT OF PURPOSE.

26-2602. STATEMENT OF PURPOSE. It is the policy of the state of Idaho to allow acquisitions of Idaho financial institutions by out-of-state financial institution holding companies under the terms and conditions set forth in this chapter.
History:
[26-2602, added 1985, ch. 185, sec. 1, p. 474; am. 1995, ch. 99, sec. 13, p. 316.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2604 - PROHIBITED ACQUISITION.

26-2604. PROHIBITED ACQUISITION. Except as authorized in this chapter, chapter 16, title 26, Idaho Code, and by the laws of the United States, no out-of-state financial institution or out-of-state financial institution holding company, nor any subsidiary or affiliate thereof, may establish or maintain an office of, or conduct the business of, a financial institution in this state; nor may such out-of-state financial institutions or out-of-state financial institution holding companies, or any subsidiaries or affiliates thereof, directly or indirectly, acquire control of, acquire substantially all of the assets of, merge with, consolidate with, or assume the deposit liabilities of an Idaho financial institution or an Idaho financial institution holding company.
History:
[26-2604, added 1985, ch. 185, sec. 1, p. 476; am. 1995, ch. 99, sec. 15, p. 318.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2605 - ACQUISITION BY OUT-OF-STATE COMPANY.

26-2605. ACQUISITION BY OUT-OF-STATE COMPANY. If an application has been submitted by such out-of-state financial institution holding company to, and prior written approval has been obtained from the director, pursuant to section 26-2606, Idaho Code, an out-of-state financial institution holding company may:
(a) Acquire control of;
(b) Acquire all or substantially all of the assets of;
(c) Merge or consolidate with; or
(d) Assume the deposit liabilities of an Idaho financial institution.
History:
[I.C., sec. 26-2605, as added by 1985, ch. 185, sec. 1, p. 474; am. 1987, ch. 294, sec. 2, p. 625; am. 1995, ch. 99, sec. 16, p. 318.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2607 - ACQUISITION OF FAILING INSTITUTION.

26-2607. ACQUISITION OF FAILING INSTITUTION. (1) Notwithstanding any provision of the laws of this state to the contrary, if the director determines, in his discretion, that an Idaho financial institution is in danger of failing, or takes possession of a failing Idaho financial institution pursuant to the provisions of title 26, Idaho Code, and if the director deems it to be in the public interest and necessary to protect depositors, creditors and other customers of that financial institution, the director may solicit offers from, and authorize or require the acquisition of such failing Idaho financial institution by a financial institution or financial institution holding company organized and operated under the laws of any state or the United States. Acquisition may be through merger, consolidation, purchase of all or substantially all of the assets and assumption of liabilities, or purchase of all or a controlling part of the shares of the acquired institution.
(2) The director may not, under this section, accept any offers from, or authorize or require any acquisition by a financial institution holding company as described in subsection (1) of this section, unless he finds that:
(a) The subsidiaries of the financial institution holding company have demonstrated an acceptable record of meeting the credit needs of the communities it serves; and
(b) The financial institution holding company and its subsidiaries have a record of sound performance, capital adequacy, financial capacity and efficient management such that the acquisition would not jeopardize the financial stability of the acquired institution and would not be detrimental to the interests of depositors, creditors, or other customers of the acquired institution or the public interest.
(3) To protect the interest of depositors, creditors and other customers of a failing Idaho financial institution, the director may waive any of the procedures set forth in section 26-2606, Idaho Code, or in any rule of the department if he deems it necessary to implement the purposes of this section.
History:
[26-2607, added 1985, ch. 185, sec. 1, p. 479; am. 1987, ch. 294, sec. 3, p. 628; am. 1995, ch. 99, sec. 18, p. 321.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2608 - CONDITIONS FOR APPROVAL.

26-2608. CONDITIONS FOR APPROVAL. The director may make the acquisition of an Idaho financial institution by an out-of-state financial institution holding company subject to any conditions, restrictions, and requirements that would apply to the acquisition by an Idaho financial institution holding company of a financial institution or a financial institution holding company in the state where such acquiring financial institution holding company’s operations are principally conducted, which conditions, restrictions and requirements would not apply to acquisitions by a financial institution or financial institution holding company all of whose financial institution subsidiaries are located in that state.
History:
[26-2608, added 1985, ch. 185, sec. 1, p. 480; am. 1995, ch. 99, sec. 19, p. 321.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2610 - COOPERATIVE AGREEMENTS.

26-2610. COOPERATIVE AGREEMENTS. (1) The director is authorized to enter into cooperative and reciprocal agreements with other financial institution regulatory agencies, both federal and state, and from bank supervisory authorities from foreign countries, to facilitate the regulation of financial institutions and financial institution holding companies doing business in this state. The director may accept reports of examinations and other records from such other agencies in lieu of conducting his own examinations of financial institutions controlled by financial institution holding companies located in other states. The director may share examination reports with such other agencies. The director may examine such institutions in Idaho, in the financial institution’s home state or such other location as may be necessary. The director may take any action jointly with other regulatory agencies having concurrent jurisdiction over financial institutions and financial institution holding companies doing business in this state or may take such actions independently in order to carry out his responsibilities.
(2) The director may, in his discretion, enter into agreements with a professional association of which the department is a member. The purposes of such agreements may include the facilitation of examination of banks or bank holding companies operating in other states in addition to Idaho. Notwithstanding any other provision of law, such examination agreements may provide for the exchange of bank information, including examination reports, with such a professional association; provided however, that such communication shall not constitute a public disclosure of such records under chapter 1, title 74, Idaho Code, nor a waiver of the statutory privilege in section 26-1111, Idaho Code.
History:
[26-2610, added 1985, ch. 185, sec. 1, p. 481; am. 1995, ch. 99, sec. 21, p. 322; am. 2015, ch. 141, sec. 44, p. 414.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2611 - NO REPEAL BY IMPLICATION.

26-2611. NO REPEAL BY IMPLICATION. Nothing contained in this chapter, or any amendment thereto, shall be construed to amend or modify the provisions of any other chapter of this title governing the supervision or regulation of financial institutions and financial institution holding companies or the organization and powers of the department of finance and the director with respect thereto as may be provided in such other chapter.
History:
[26-2611, added 1985, ch. 185, sec. 1, p. 481; am. 1995, ch. 99, sec. 22, p. 323.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2612 - SEVERABILITY.

26-2612. SEVERABILITY. If any court of competent jurisdiction shall adjudge to be invalid or unconstitutional any clause, sentence, paragraph, section or part of this chapter, such judgment or decree shall not affect, impair, invalidate or nullify the remainder of this chapter, but the effect thereof shall be confined to the clause, sentence, paragraph, section or part of this chapter so adjudged to be invalid or unconstitutional.
History:
[I.C. sec. 26-2612, as added by 1985, ch. 185, sec. 1, p. 474; am. 1987, ch. 294, sec. 4, p. 625; am. 1995, ch. 99, sec. 23, p. 323.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 26 - IDAHO INTERSTATE BANKING ACT › Section 26-2613 - BANKS AS “ISSUING PUBLIC CORPORATIONS.”

26-2613. BANKS AS "ISSUING PUBLIC CORPORATIONS." Notwithstanding any other provision of law, banks chartered by the state of Idaho and bank holding companies as defined in section 26-501, Idaho Code, shall be considered "issuing public corporations" as used in chapters 16 and 17, title 30, Idaho Code.
History:
[26-2613, added 1995, ch. 99, sec. 24, p. 323.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2701 - PURPOSE OF CHAPTER.

26-2701. PURPOSE OF CHAPTER. The purposes of this chapter are to:
(1) Promote economic development by encouraging the formation of business and industrial development corporations, a new type of private institution, to help meet the financing assistance and management assistance needs of business firms.
(2) Provide for a system of licensing, regulation, and enforcement that will enable business and industrial development corporations to satisfy eligibility requirements to participate, if they so choose, in the program of the small business administration pursuant to section 7(a) of the small business act, Public Law 85-536, 15 U.S.C. section 636(a), and other programs for which they may be eligible.
(3) Provide for a system of licensing, regulation, and enforcement designed to prevent fraud, conflict of interest, and mismanagement, and to promote competent management, accurate recordkeeping, and appropriate communication with shareholders in order to provide the following:
(a) Comfort to prospective shareholders in order to facilitate equity investments in business and industrial development corporations;
(b) Comfort to prospective debt sources in order to facilitate the borrowing of money by business and industrial development corporations; and
(c) Protection of the general reputation of business and industrial development corporations as a type of institution in order to increase the confidence of prospective equity investors in and prospective debt sources for those institutions.
It is hereby further declared that all of the foregoing are public purposes and uses for which public moneys may be expended or granted and that such activities are governmental functions and serve a public purpose in improving or otherwise benefiting the people of this state; that the necessity of enacting the provisions hereinafter set forth is in the public interest and is hereby so declared as a matter of express legislative determination.
History:
[26-2701, added 1989, ch. 252, sec. 1, p. 602; am. 2002, ch. 145, sec. 1, p. 407.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2703 - POWERS OF DIRECTOR.

26-2703. POWERS OF DIRECTOR. (1) The director shall administer this chapter. The director may issue orders and promulgate rules that, in the opinion of the director, are necessary to execute, enforce, and effectuate the purposes of this chapter. Any rules promulgated shall be promulgated in accordance with chapter 52, title 67, Idaho Code. The director may promulgate rules pursuant to this chapter and chapter 52, title 67, Idaho Code, prior to the effective date of this chapter.
(2) Whenever the director issues an order or license under this chapter, the director may impose conditions that are necessary, in the opinion of the director, to carry out this chapter and the purposes of this chapter.
(3) The director may honor applications from interested persons for declaratory rulings regarding any provisions of this chapter and may seek declaratory judgments from a court of competent jurisdiction.
(4) Every final order, decision, license, or other official action of the director under this chapter is subject to judicial review in accordance with law.
(5) The director is hereby authorized to use a reasonable amount of excess funds, if the director deems them to be available, from the finance administrative account for the purpose of preparing and distributing informational materials describing the provisions of this chapter.
History:
[26-2703, added 1989, ch. 252, sec. 1, p. 605.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2704 - APPLICATIONS — INVESTIGATIONS — SERVICE OF PROCESS.

26-2704. APPLICATIONS — INVESTIGATIONS — SERVICE OF PROCESS. (1) An application filed with the director under this chapter shall be in such a form and contain such information as the director may require.
(2) The director may make public or private investigations within or outside this state that the director considers necessary to determine whether to approve an application filed with the director under the provisions of this chapter, to determine whether a person has violated or is about to violate the provisions of this chapter, to aid in the enforcement of the provisions of this chapter or to aid in issuing an order or promulgating a rule under this chapter.
(3) For purposes of an investigation, examination, or other proceeding under this chapter, the director may administer oaths and affirmations, subpoena witnesses, compel the attendance of witnesses, take evidence, and require the production of books, papers, correspondence, memoranda, agreements, or other documents or records which the director considers relevant or material to the proceeding.
(4) If a person fails to comply with a subpoena issued by the director or to testify with respect to a matter concerning which the person may be lawfully questioned, the court, on application of the director, may issue an order requiring the attendance of the person and the giving of testimony or production of evidence.
(5) Service of process authorized to be made by the director in connection with a noncriminal proceeding under this chapter may be made by registered or certified mail.
History:
[26-2704, added 1989, ch. 252, sec. 1, p. 605.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2705 - FEES.

26-2705. FEES. (1) The director shall set the fees required under this chapter at a level sufficient to cover the department’s expenses which arise due to the administration of the provisions of this chapter provided, the fees shall be set within the parameters set forth in this section.
(a) The fee for filing an application for a license shall not exceed twenty-five hundred dollars ($2,500).
(b) The fee for filing an application for approval to acquire control of a licensee shall not exceed twelve hundred and fifty dollars ($1,250).
(c) The fee for filing an application for approval for a licensee to merge with another corporation, an application for approval for a licensee to purchase all or substantially all of the business of another person, or an application for approval for a licensee to sell all or substantially all of its business or of the business of any of its offices to another licensee shall not exceed twelve hundred and fifty dollars ($1,250). If two (2) or more applications relating to the same merger, purchase, or sale are filed, the fee for filing each application shall be the quotient determined by dividing the applicable fee set by the director by the number of the applications.
(d) The annual fee for a licensee shall not exceed twenty-five hundred dollars ($2,500), payable on or before June 30 of each year.
(e) Whenever the director examines a licensee or a subsidiary of a licensee, within ten (10) days after receiving a statement from the director, the licensee shall pay a fee established by the director based on the number of examiner hours used for the examination, plus travel expenses. Examiner time shall be billed at a rate not less than twenty-five dollars ($25.00) per hour and not more than forty dollars ($40.00) per hour.
(2) A fee for filing an application with the director is nonrefundable and shall be paid at the time the application is filed with the director.
(3) A fee collected under this section shall be deposited into the finance administrative account pursuant to section 67-2702, Idaho Code. Money in this account shall be used only for the operation of the department.
History:
[26-2705, added 1989, ch. 252, sec. 1, p. 606.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2706 - REQUIRED RECORDKEEPING — INDEPENDENT AUDIT — APPLICATION TO OUTSIDE RECORDKEEPERS — REPORT REQUIRED.

26-2706. REQUIRED RECORDKEEPING — INDEPENDENT AUDIT — APPLICATION TO OUTSIDE RECORDKEEPERS — REPORT REQUIRED. (1) A licensee shall make and keep books, accounts, and other records in such a form and manner as the director may require. These records shall be kept at such a place and shall be preserved for such a length of time as the director may specify.
(2) The director may require by order that a licensee write down any asset on its books and records to a valuation which represents its then value. In addition, the director may require an appraisal of any assets of a licensee by an independent appraiser approved by the director.
(3) The director may require a licensee to file with the director, not more than ninety (90) days after the close of each calendar year or a longer period if specified by the director, an audit report containing all of the following:
(a) Financial statements, including balance sheet, statement of income or loss, statement of changes in capital accounts, and statement of changes in financial position or, for a licensee that is an Idaho nonprofit corporation, comparable financial statements for, or as of the end of, the calendar year, prepared with an audit by an independent certified public accountant or an independent public accountant subject to approval by the director in accordance with generally accepted accounting principles.
(b) An unqualified report, certificate, or opinion of the independent certified public accountant or independent public accountant subject to approval by the director who performs the audit, stating that the financial statements were prepared in accordance with generally accepted accounting principles.
(c) Other information that the director may require.
(4) If a person other than a licensee makes or keeps the books, accounts, or other records of that licensee, this chapter applies to that person with respect to the performance of those services and with respect to those books, accounts, and other records to the same extent as if that person were the licensee.
(5) If a person other than an affiliate or subsidiary of a licensee makes or keeps any of the books, accounts, or other records of that affiliate or subsidiary, this chapter applies to that person with respect to those books, accounts, and other records to the same extent as if that person were the affiliate or subsidiary.
(6) If the director considers it expedient, the director may require any particular licensee to obtain the approval of the director before permitting another person to make or keep any of the books, accounts, or other records of the licensee.
(7) Each licensee, each affiliate of a licensee, and each subsidiary of a licensee shall file with the director such reports as and when the director may require. A report shall be in such a form and shall contain such information as the director may require.
History:
[26-2706, added 1989, ch. 252, sec. 1, p. 606; am. 2001, ch. 86, sec. 1, p. 221.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2707 - ANNUAL REPORT TO LEGISLATURE REQUIRED.

26-2707. ANNUAL REPORT TO LEGISLATURE REQUIRED. (1) The director shall publish annually and provide to the house business committee and senate commerce and labor committee, or the appropriate germane legislative committees, information on the impact of this chapter in promoting economic development in this state. At a minimum, the information shall include aggregate statistics on each of the following:
(a) The number and dollar amount of provisions of financing assistance made by licensees to business firms.
(b) The number and dollar amount of provisions of financing assistance made by licensees to business firms classified in broad categories of industry such as divisions of the standard industrial classification manual.
(c) The number and dollar amount of provisions of financing assistance made by licensees to minority owned business firms and to woman owned business firms.
(d) Estimates of the number of jobs created or retained.
(e) Estimates of the number and dollar amount of any financial assistance provided to licensed BIDCOs, or investments in individual licensed BIDCOs, for the purpose of fostering economic development by any state or federal agency, or by public or quasi-public entities, including the public employee retirement system.
History:
[26-2707, added 1989, ch. 252, sec. 1, p. 607; am. 2002, ch. 145, sec. 2, p. 407.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2708 - ANNUAL LICENSE REVIEW BY DIRECTOR.

26-2708. ANNUAL LICENSE REVIEW BY DIRECTOR. (1) The director shall examine each licensee not less than once each calendar year to determine whether or not the licensee is in compliance with the provisions of this chapter.
(2) The director may at any time examine a licensee or subsidiary of a licensee.
(3) A director, officer, or employee of a licensee or of a subsidiary of a licensee being examined by the director, or a person having custody of any of the books, accounts, or records of the licensee or of the subsidiary, shall exhibit to the director, on request, any of the books, accounts, and other records of the licensee or of the subsidiary and shall otherwise facilitate the examination so far as it is in their power to do so.
(4) If in the director’s opinion it is necessary in the examination of a licensee or of a subsidiary of a licensee, the director may retain a certified public accountant, attorney, appraiser, or other person to assist the director. Within ten (10) days after receipt of a statement from the director, the licensee being examined shall pay the fees of a person retained by the director under this subsection.
History:
[26-2708, added 1989, ch. 252, sec. 1, p. 608.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2710 - PRELIMINARY APPROVAL — DENIAL IN WRITING — POSTING OF LICENSE.

26-2710. PRELIMINARY APPROVAL — DENIAL IN WRITING — POSTING OF LICENSE. (1) A person may apply to the director for preliminary approval of an application for a license. Notwithstanding that commitments to invest in the equity of the applicant have not been obtained and that all directors and officers of the applicant have not been identified, the director may grant preliminary approval. In issuing an order granting preliminary approval, the director shall indicate that, for the director to determine that the requirements of section 26-2709, Idaho Code, are satisfied, final approval is conditioned on review by the director of the applicant’s completion of fund-raising, including the controlling persons, and review by the director of the completion of the roster of directors and officers. If an application for preliminary approval has been granted, before granting final approval of the application for a license, the director may request an updated balance sheet and such other information considered relevant by the director.
(2) If a person files an application under this section, the fee required in section 26-2705(1)(a), Idaho Code, is payable at the time the application is filed with the director.
(3) If the director denies an application under this section or section 26-2709, Idaho Code, the director shall provide the applicant with a written statement explaining the basis for the denial.
(4) If an application for a license is approved and all conditions precedent to the issuance of that license are fulfilled, the director shall issue a license to the applicant. A licensee shall post the license in a conspicuous place in the licensee’s principal office. A license is not transferable or assignable.
History:
[26-2710, added 1989, ch. 252, sec. 1, p. 609.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2711 - USE OF BIDCO NAME RESTRICTED — EXCEPTION.

26-2711. USE OF BIDCO NAME RESTRICTED — EXCEPTION. (1) Except as otherwise provided in subsection (2) of this section, a person transacting business in this state, other than a licensee, shall not use a name or title which indicates that the person is a business and industrial development corporation including, but not limited to, use of the term "BIDCO," and shall not otherwise represent that the person is a business and industrial development corporation or a licensee.
(2) Before being issued a license under this chapter, an Idaho corporation that proposes to apply for a license or that applies for a license may perform, under a name that indicates that the corporation is a business and industrial development corporation, the acts necessary to apply for and obtain a license and to otherwise prepare to commence transacting business as a licensee. Such a corporation shall not represent that it is a licensee until after the license has been obtained. A licensee shall not misrepresent the meaning or effect of its license.
History:
[26-2711, added 1989, ch. 252, sec. 1, p. 610; am. 2002, ch. 145, sec. 4, p. 409.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2712 - DUAL LICENSURE — EXCEPTIONS.

26-2712. DUAL LICENSURE — EXCEPTIONS. (1) An Idaho corporation that is licensed under another law of this state or under any law of the United States may apply for and be issued a license under this chapter unless the transaction of business by that corporation as a licensee under another law of this state or a law of the United States violates this chapter or is contrary to the purposes of this chapter.
(2) An Idaho corporation that is licensed under this chapter may apply for and be issued a license under another law of this state or a law of the United States unless the transaction of business by that corporation as a licensee under another law of this state or a law of the United States would violate this chapter or would be contrary to the purposes of this chapter.
History:
[26-2712, added 1989, ch. 252, sec. 1, p. 610.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2713 - SURRENDER OF LICENSE.

26-2713. SURRENDER OF LICENSE. (1) Upon approval of a two-thirds (2/3) vote of its board of directors and after complying with subsection (2) of this section, a licensee may apply to the director to have the director accept the surrender of the licensee’s license. If the director determines that the requirements of this section have been satisfied, the director shall approve the application unless in the opinion of the director the purpose of the application is to evade a current or prospective action by the director pursuant to this chapter.
(2) Not less than sixty (60) days before filing an application with the director under subsection (1) of this section, a licensee shall notify all of its shareholders and all of its creditors of its intention to file the application. Each creditor shall be notified of the right to comment to the director. Each shareholder shall be notified of the right to file with the licensee an objection to the proposed surrender of the license within the sixty (60) day period and shall be advised that, if the shareholder files an objection, the shareholder should send a copy of the objection to the director. If shareholders representing twenty percent (20%) of the outstanding voting securities of the licensee file an objection, the licensee shall not proceed with the application under subsection (1) of this section unless the application is approved by a vote of shareholders representing two-thirds (2/3) of the outstanding voting securities of the licensee.
History:
[26-2713, added 1989, ch. 252, sec. 1, p. 610.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2714 - CORPORATE NAME — DIRECTORS — DIVIDENDS — RESTRICTION ON USE OF PUBLIC MONEYS.

26-2714. CORPORATE NAME — DIRECTORS — DIVIDENDS — RESTRICTION ON USE OF PUBLIC MONEYS. (1) The corporate name of each licensee may include the phrase "Business and Industrial Development Corporation" or may include the word "BIDCO." A licensee shall not transact business under a name other than its corporate name.
(2) The board of directors of each licensee shall consist of not less than seven (7) directors. The board of directors of each licensee shall hold a meeting not less than once each calendar quarter.
(3) Within thirty (30) days after the death, resignation, or removal of a director or officer; the election of a director; or the appointment of an officer, the licensee shall notify the director in writing of the event and shall provide any additional information which the director may require.
(4) A licensee shall not pay, or obligate itself to pay, a cash dividend or dividend in kind to its shareholders, unless that payment is consistent with a dividend policy which has been adopted by the licensee and approved by the director. In reviewing dividend policies under this section, the director shall be flexible in recognizing the special characteristics of BIDCOs and the diverse range of potentially appropriate dividend policies for BIDCOs, while at the same time protecting against unsafe or unsound acts which could threaten the viability of the licensee as an ongoing BIDCO. The director may at any time withdraw any previous approval of a dividend policy if the director determines that the withdrawal is necessary to prevent unsafe or unsound acts.
(5) Without the prior approval of the director, a licensee shall not buy back, or obligate itself to buy back a share of stock from a shareholder.
(6) Any public moneys received by a licensee shall be applied by the licensee solely to providing financing assistance or management assistance to business firms with a home office in Idaho.
History:
[26-2714, added 1989, ch. 252, sec. 1, p. 611; am. 2002, ch. 145, sec. 5, p. 409.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2715 - OFFICES — LOCATION.

26-2715. OFFICES — LOCATION. (1) A licensee shall maintain not less than one (1) office in this state.
(2) A licensee, with the approval of the director, may maintain an office at any place outside this state.
(3) Each office of a licensee shall be located in a place which is reasonably accessible to the public.
(4) A licensee shall post in a conspicuous place at each of its offices a sign which bears the corporate name of the licensee.
(5) A licensee shall maintain at each of its offices personnel who are competent to conduct the business of such an office.
(6) Upon written notice to the director, a licensee may establish, relocate, or close an office.
History:
[26-2715, added 1989, ch. 252, sec. 1, p. 612; am. 2001, ch. 86, sec. 2, p. 222.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2716 - BUSINESS ACTIVITIES — CORPORATE POWERS.

26-2716. BUSINESS ACTIVITIES — CORPORATE POWERS. (1) The business of a licensee shall be the business of providing financing assistance and management assistance to business firms. A licensee shall not engage in a business other than the business of providing financing assistance and management assistance to business firms.
(2) In addition to the powers and privileges provided to a licensee by this chapter, a licensee has all powers and privileges conferred by its incorporating statute which are not inconsistent with or limited by this chapter. The powers of a licensee include, but are not limited to, all of the following:
(a) To borrow money and otherwise incur indebtedness for its purposes, including issuance of corporate bonds, debentures, notes, or other evidence of indebtedness. A licensee’s indebtedness may be secured or unsecured, and may involve equity features including, but not limited to, provisions for conversion to stock and warrants to purchase stock.
(b) To make contracts. Such contracts may include contracts to provide management assistance to business firms, which contracts shall be in writing, and the terms of which shall govern all aspects of the relationship between the licensee and the business firm regarding the management assistance provided by the licensee.
(c) To incur and pay necessary and incidental operating expenses.
(d) To purchase, receive, hold, lease, or otherwise acquire, or to sell, convey, mortgage, lease, pledge, or otherwise dispose of, real or personal property, together with rights and privileges that are incidental and appurtenant to these transactions of real or personal property, if the real or personal property is for the licensee’s use in operating its business or if the real or personal property is acquired by the licensee from time to time in satisfaction of debts or enforcement of obligations.
(e) To make donations for charitable, educational, research, or similar purposes.
(f) To implement a reasonable and prudent policy for conserving and investing its money before the money is used to provide financing assistance to business firms or to pay the expenses of the licensee.
History:
[26-2716, added 1989, ch. 252, sec. 1, p. 612; am. 2002, ch. 145, sec. 6, p. 410.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2717 - FORMS OF FINANCIAL AND MANAGEMENT ASSISTANCE — INTEREST RATES.

26-2717. FORMS OF FINANCIAL AND MANAGEMENT ASSISTANCE — INTEREST RATES. (1) A licensee may determine the form and the terms and conditions for financing assistance provided by that licensee to a business firm including, but not limited to, forms such as loans; purchase of debt instruments; straight equity investments such as purchase of common stock or preferred stock; debt with equity features such as warrants to purchase stock, convertible debentures, or receipt of a percent of net income or sales; royalty based financing; guaranteeing of debt; or leasing of property. A licensee may purchase securities of a business firm either directly or indirectly through an underwriter. A licensee may participate in the program of the small business administration pursuant to section 7(a) of the small business act, Public Law 85-536, 15 U.S.C. 636(a) or any successor statute, or any other government program for which the licensee is eligible and which has as its function the provision or facilitation of financing assistance or management assistance to business firms. If a licensee participates in a program referred to in this subsection, the licensee shall comply with the requirements of that program.
(2) Management assistance provided by a licensee to a business firm may encompass both management or technical advice and management or technical services.
(3) Financing assistance or management assistance provided by a licensee to a business firm shall be for the business purposes of that business firm.
(4) A licensee may exercise the incidental powers that are necessary or convenient to carry on the business of, or are reasonably related to the business of, providing financing assistance and management assistance to business firms.
(5) In connection with an extension of credit by a person to a licensee or an extension of credit by a licensee to a business entity, the parties may agree to any rate of interest.
History:
[26-2717, added 1989, ch. 252, sec. 1, p. 612.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2719 - SOUND BUSINESS PRACTICES REQUIRED.

26-2719. SOUND BUSINESS PRACTICES REQUIRED. (1) A licensee shall transact its business in a safe and sound manner and shall maintain itself in a safe and sound condition.
(2) In determining whether a licensee is transacting business in a safe and sound manner or has committed an unsafe or unsound act, the director shall not consider the risk of a provision of financing assistance to a business firm, unless the director determines that the risk is so great compared with the realistically expected return as to demonstrate gross mismanagement.
(3) The provisions of subsection (2) of this section do not limit the authority of the director to do any of the following:
(a) Determine that a licensee’s financing assistance to a single business firm or a group of affiliated business firms is in violation of subsection (1) of this section or constitutes an unsafe or unsound act, if the amount of that financing assistance is unduly large in relation to the total assets or the total shareholders equity of the licensee.
(b) Require that a licensee maintain a reserve in the amount of anticipated losses.
(c) Require that a licensee have in effect a written financing assistance policy, approved by its board of directors, including credit evaluation and other matters. The director shall not require that a licensee adopt a financing assistance policy that contains standards which prevent the licensee from exercising needed flexibility in evaluating and structuring financing assistance to business firms on a deal by deal basis.
History:
[26-2719, added 1989, ch. 252, sec. 1, p. 614.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2721 - ACQUISITION OF BIDCO — APPROVAL REQUIRED.

26-2721. ACQUISITION OF BIDCO — APPROVAL REQUIRED. (1) Without the prior approval of the director, a person shall not acquire control of a licensee.
(2) With respect to an application for approval to acquire control of a licensee, if the director determines, that the applicant and the directors and officers of the applicant are of good character and sound financial standing; that it is reasonable to believe that, if the applicant acquires control of the licensee, the applicant will comply with this chapter; and that the applicant’s plans, if any, to make a major change in the business, corporate structure, or management of the licensee are not detrimental to the safety and soundness of the licensee, the director shall approve the application. If, after notice and a hearing, the director determines otherwise, the director shall deny the application.
(3) For purposes of subsection (2) of this section, the director may determine any of the following:
(a) That an applicant or a director or officer of an applicant is not of good character if that person has been convicted of, or has pleaded nolo contendere to, a crime involving fraud or dishonesty.
(b) That an applicant’s plan to make a major change in the management of a licensee is detrimental to the safety and soundness of the licensee if the plan provides for a person to become a director or officer of the licensee and that person has been convicted of, or has pleaded nolo contendere to, a crime involving fraud or dishonesty.
(4) The conditions described in subsection (3) of this section are not the only conditions upon which the director may determine that an applicant or a director or an officer of an applicant is not of good character or that an applicant’s plan to make a major change in the management of a licensee is detrimental to the safety and soundness of the licensee.
History:
[26-2721, added 1989, ch. 252, sec. 1, p. 616.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2722 - MERGER — REQUIREMENTS — APPLICATIONS.

26-2722. MERGER — REQUIREMENTS — APPLICATIONS. (1) A licensee shall not merge with another corporation unless:
(a) The licensee is the surviving corporation and the merger is approved by the director.
(b) The licensee is a disappearing corporation, the surviving corporation is a licensee and the merger is approved by the director.
(2) A licensee shall not purchase all or substantially all of the business of another person unless the purchase is approved by the director.
(3) A licensee shall not sell all or substantially all of its business or of the business of any of its offices to another person unless that other person is a licensee and the sale is approved by the director.
(4) The director shall approve an application for approval of a merger, purchase, or sale, if, and only if, the director determines all of the following:
(a) That the merger, purchase, or sale will be safe and sound with respect to the acquiring licensee.
(b) That, upon consummation of the merger, purchase, or sale, it is reasonable to believe that the acquiring licensee will comply with this chapter.
(c) That the merger, purchase, or sale will not have a major detrimental impact on competition in the providing of financial assistance or management assistance to business firms, or if there will be such a detrimental impact, the merger, purchase, or sale is necessary in the interests of the safety and soundness of any of the parties to the merger, purchase, or sale, or is otherwise, on balance, in the public interest.
History:
[26-2722, added 1989, ch. 252, sec. 1, p. 617.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2726 - DISCLOSURE TO SHAREHOLDERS — BOARD OF DIRECTORS.

26-2726. DISCLOSURE TO SHAREHOLDERS — BOARD OF DIRECTORS. (1) If, in the opinion of the director, disclosure to shareholders regarding a matter is warranted, the director may require a licensee, in such a form and manner as the director may specify, to disclose to the shareholders of a licensee the results of a communication or order from the director addressed to the licensee or to a subject person of the licensee.
(2) If the director considers it expedient, the director may call a meeting of the board of directors of a licensee by giving notice of the time, place, and purpose of the meeting not less than five (5) days before the meeting to each director either by personal service or by registered or certified mail sent to the director’s last known address as shown in the records of the director.
(3) If the director considers it expedient, the director may call a meeting of the shareholders of a licensee by giving notice of the time, place, and purpose of the meeting not less than five (5) days before the meeting to each shareholder either by personal service or by registered or certified mail sent to the shareholder’s last known address as shown by the books of the licensee. The licensee shall pay the expenses of the notice and of a meeting called under this subsection.
History:
[26-2726, added 1989, ch. 252, sec. 1, p. 621.]
2023 Idaho Code › Title 26 - BANKS AND BANKING › Chapter 27 - BUSINESS AND INDUSTRIAL DEVELOPMENT CORPORATIONS › Section 26-2728 - APPOINTMENT OF TRUSTEE — LIQUIDATION OF THE BIDCO — PROCEDURE.

26-2728. APPOINTMENT OF TRUSTEE — LIQUIDATION OF THE BIDCO — PROCEDURE. (1) If the director finds that any of the factors set forth in section 26-2727, Idaho Code, are true with respect to a licensee and that it is necessary for the protection of the interests of the licensee or for the protection of the public interest that the director take immediate possession of the property and business of the licensee, the director may appoint a conservator for the licensee. The director may appoint as conservator one (1) of the employees of the department or some other competent and disinterested person. The department shall be reimbursed out of the assets of the conservatorship for all sums expended by the department in connection with the conservatorship as expenses. Upon the approval of the director, the expenses of the conservatorship shall be paid out of the assets of the licensee. The expenses shall be a first charge upon the assets and shall be fully paid before any final distribution is made.
(2) Under the direction of the director, the conservator shall take possession of the books, records, and assets of the licensee and shall take such action with respect to employees, agents, or representatives of the licensee or any other action as may be necessary to conserve the assets of the licensee or ensure payment of obligations of the licensee pending further disposition of its business as provided by law. At any appropriate time, the director may terminate the conservatorship and permit the licensee to resume the transaction of its business subject to the terms, conditions, restrictions and limitations the director may prescribe.
(3) If in the opinion of the director it is appropriate that the licensee be liquidated, the director may apply to the district court for the county in which the principal office of the licensee is located for the appointment of a receiver for the licensee, if the director determines that any of the following are true:
(a) The licensee is insolvent.
(b) The licensee has suspended payment of its obligations, has made an assignment for the benefit of its creditors, or has admitted in writing its inability to pay its debts as they become due.
(c) The licensee has applied for an adjudication of bankruptcy, reorganization, arrangement, or other relief under a bankruptcy, reorganization, insolvency, or moratorium law.
(d) A person has applied for the relief described under paragraph (c) against any licensee and that licensee has by an affirmative act approved of or consented to the action or the relief has been granted.
(e) The licensee is in a condition that makes it unsafe or unsound for the licensee to transact business.
(4) If a receiver is appointed under subsection (3) of this section, the receiver shall liquidate the property and business of the licensee in the manner provided for in chapter 10, title 26, Idaho Code, as if the licensee were a bank.
History:
[26-2728, added 1989, ch. 252, sec. 1, p. 622.]