reglab/statecodes huggingface dataset:
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-600 Regular reserve.

§412:10-600 Regular reserve.
(a) At the end of each accounting period and before the payment of any dividend, each credit union shall set aside from its gross earnings the following reserve against contingencies:
(1) A credit union in operation for less than four years or having assets of less than $500,000 shall set aside ten per cent of its gross earnings until the regular reserve equals seven and a-half per cent of its total outstanding loans and risk assets, whereupon the credit union shall set aside five per cent of its gross earnings until the regular reserve equals ten per cent of its total outstanding loans and risk assets.
(2) A credit union in operation for four or more years or having assets of $500,000 or more shall set aside ten per cent of gross earnings until the balance in the regular reserve equals four per cent of its total outstanding loans and risk assets, whereupon the credit union shall set aside five per cent of its gross earnings until the regular reserve equals six per cent of its total outstanding loans and risk assets.
(b) Whenever a credit union's regular reserve account falls below the percentages required by this section, the credit union shall notify the commissioner and shall make up the deficiency by regular contributions in such amounts as may be needed to maintain the required level.
(c) The commissioner may decrease or waive entirely the reserve requirement for an individual credit union in one or more accounting periods when in the commissioner's opinion such a decrease is necessary or desirable.
(d) The regular reserve shall belong to the credit union and shall be used to meet losses on risk assets and to meet such other classes of losses as are approved by the commissioner. The regular reserve shall not be distributed except on liquidation of the credit union, or in accordance with a plan approved by the commissioner. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-601 Special reserves.

§412:10-601 Special reserves.
The board of directors may establish, or [the] commissioner may require any credit union on an individual basis to establish, and transfer funds into one or more special reserve accounts when in the board's or the commissioner's judgment such action is necessary to protect the interests of the credit union's members, including without limitation circumstances when a credit union purchases accounts, or suffers an impairment or threat of impairment that endangers the adequacy of its regular reserve account. Special reserves may include allowances for loan losses and investment losses. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-700 Insurance for members.

§412:10-700 Insurance for members.
A credit union may purchase or make available insurance for its members either on an individual or group basis. [L 1993, c 350, pt of §1]
Cross References
Group life insurance for credit union groups, see §431:10D-211.
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-701 Liability insurance for officers

§412:10-701 Liability insurance for officers
. A credit union may purchase and maintain insurance on behalf of any person who is or was a director, officer, employee, or agent of the credit union, or who is or was serving at the request of the credit union as a director, officer, employee, or agent of another corporation, partnership, joint venture, trust or other enterprise against any liability asserted against such person and incurred by such person in any such capacity or arising out of such person's status as such, whether or not the credit union would have the power to indemnify such person against such liability. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-702 Group purchasing

§412:10-702 Group purchasing
. A credit union may enter into marketing arrangements and joint ventures with other credit unions, or organizations or financial institutions to facilitate its members' voluntary purchase of goods, insurance and other services from third parties, consistent with the purposes of the credit union. A credit union may be compensated for services so provided. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-703 Money-type instruments

§412:10-703 Money-type instruments
. A credit union may collect, receive and disburse monies in connection with the providing of negotiable checks, money orders, travelers checks, and other money-type instruments, and the providing of services through automated teller machines and for such other purposes as may provide benefit or convenience to its members. A credit union may charge fees for such services. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-704 Retirement accounts

§412:10-704 Retirement accounts
. A credit union may act as trustee or custodian of any form of retirement, pension, profit-sharing, or deferred income accounts authorized under federal law or the laws of this State including but not limited to individual retirement accounts, pension funds of self-employed individuals, and pension funds of a company or organization whose employees or members are eligible for membership in the credit union. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-800 Application of part.

§412:10-800 Application of part.
Provisions of this part shall govern the formation and operations of a corporate credit union. Only one corporate credit union may be chartered under this article and as such shall have the exclusive right to use the term "corporate credit union" as part of its name. All parts of this chapter not inconsistent with this part shall apply. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-801 Purposes.

§412:10-801 Purposes.
The purposes of the corporate credit union are to:
(1) Accumulate and prudently manage the liquidity of its member credit unions through interlending and investment services;
(2) Act as an intermediary for credit union funds between members and other corporate credit unions;
(3) Obtain liquid funds from other credit union organizations, financial intermediaries, and other sources;
(4) Foster and promote in cooperation with other state, regional, and national corporate credit unions and credit union organizations or associations the economic security, growth, and development of member credit unions; and
(5) Provide payment systems and correspondent services to its members. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-802 Membership.

§412:10-802 Membership.
Membership in the corporate credit union shall consist of and be limited to the credit union subscribers to the articles of association, credit unions chartered under this article, the Federal Credit Union Act or any other credit union law, and organizations or associations of credit unions. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-803 Organization.

§412:10-803 Organization.
The application, approval and formation process for the corporate credit union shall be the same as for any other credit union, except that ten or more credit unions shall be required to file an application for a charter. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-804 Management and operation of corporate credit union.

§412:10-804 Management and operation of corporate credit union.
The corporate credit union shall be organized and operated like any other credit union, except that:
(1) Persons eligible to hold office and vote shall be designated by the board of directors of each member of the corporate credit union as the voting representative in the corporate credit union. Such voting representative shall be eligible to hold office in the corporate credit union as if such person were an individual member of the corporate credit union. Each member shall have only one vote;
(2) The corporate credit union shall be exempt from the regular reserve requirements established under this article, but shall establish and maintain an equity reserve to meet losses, in accordance with rules adopted by the commissioner;
(3) The corporate credit union shall be exempt from the share and deposit requirements of this article and from the security laws of this State; and
(4) The supervisory committee of a corporate credit union shall cause an annual opinion audit to be made by an independent, duly licensed certified public accountant and shall submit the audit report to the board of directors. A summary of the audit report shall be submitted to the membership at the next annual meeting. A copy of the audit report shall be submitted to the commissioner within thirty days after receipt by the board of directors. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-805 Powers.

§412:10-805 Powers.
The corporate credit union shall have all the rights, powers and privileges of any other credit union chartered under this article, as well as the power to:
(1) Accept funds, either as shares or deposits, from a member and from any credit union chartered by this State, by another state or territory of the United States, or by the United States, whether or not such credit union is a member of the corporate credit union, or from a similar institution incorporated under the laws of another country;
(2) Make loans to or invest in a member or in any credit union chartered by this State, by another state or territory of the United States, or by the United States, whether or not such credit union is a member of the corporate credit union;
(3) Make loans to or place deposits in a bank, savings bank, trust company, or savings and loan association chartered by this State, by another state or territory of the United States, or by the United States;
(4) Provide payment systems and correspondent services to its members;
(5) Participate with any credit union chartered by this State, another state or territory of the United States, or the United States in making loans to its members or to members of any other participating credit union, under the terms and conditions to which the participating credit unions agree;
(6) Contract for penalties for payment of loans prior to the scheduled maturity;
(7) Sell all or a part of its assets to another depository financial institution, purchase all or part of the assets of another depository financial institution and assume the liabilities of the selling depository financial institution and those of the selling depository institution's members or depositors;
(8) Act as intermediary for the funds of members, credit unions and other corporate credit unions;
(9) Act as agent for members, other credit unions and credit union organizations in paying, receiving, transferring the assets and liabilities received and invested as permitted in this article;
(10) Receive and hold in safekeeping the securities and other assets of its members and, in connection therewith, make such disposition of such assets as may be agreed to or directed by the member; and
(11) Exercise all incidental powers that are convenient, suitable or necessary to enable it to carry out the corporate credit union's purposes. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-806 Participation in central system.

§412:10-806 Participation in central system.
The corporate credit union may enter into agreements and subscribe to any required shares for the purpose of participation in the National Credit Union Administration Central Liquidity Facility created by Public Law 95-630 or any other state or federal central liquidity facility or central financial system for credit unions. The corporate credit union may also enter into agreements with any third parties to aid credit unions to obtain additional sources of liquidity. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:10-807 Collection on loans to members.

§412:10-807 Collection on loans to members.
(a) For any amounts due from a member to the corporate credit union, the corporate credit union shall have:
(1) A right of immediate setoff against the balances of the share and deposit accounts of each member; and
(2) A lien on all share and deposit accounts of each member in the total amount of the indebtedness, which shall attach to such accounts and be effective whenever the member is indebted to the corporate credit union, and which shall have priority over the interest of all members and unsecured creditors of the debtor member.
(b) The board of directors or credit committee of the corporate credit union may require and accept additional security for loans to a member in the form of a pledge, assignment, hypothecation, or mortgage of any assets of the member or a guarantor. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:11-101 Registration and reporting of financial institution holding companies.

§412:11-101
Registration and reporting of financial institution holding companies.
(a) Within one hundred eighty days after the date of enactment of this article, or within one hundred eighty days after becoming a financial institution holding company, whichever is later, and annually thereafter on dates established by the commissioner, which shall not be earlier than ninety days after the close of the fiscal year, each financial institution holding company shall register with the commissioner, on forms provided or prescribed by the commissioner. Such forms shall include information with respect to the financial condition, operation, management and inter-company relationships of the financial institution holding company and its subsidiaries and related matters as the commissioner may deem necessary or appropriate to carry out the purposes of this article. The commissioner shall, as far as possible consistent with the effective discharge of the commissioner's responsibilities, prescribe forms in current use by financial institution holding companies in discharging their registration or reporting obligations under the federal Securities Exchange Act, the federal Bank Holding Company Act and the federal Home Owners' Loan Act. The commissioner may, in the commissioner's discretion, extend the time within which a financial institution holding company shall register and file the requisite information.
(b) The commissioner is authorized to adopt rules pursuant to chapter 91 as may be necessary to enable the commissioner to administer and carry out the registration and reporting procedures and requirements of this section. [L 1993, c 350, pt of §1]
Note
Effective date of L 1993, c 350 is July 1, 1993.
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:11-102 Examination of financial institution holding company.

§412:11-102 Examination of financial institution holding company.
The commissioner may from time to time conduct reasonable examinations of any financial institution holding company that directly owns twenty-five per cent or more of any class of voting securities of a Hawaii financial institution as may be necessary or appropriate to determine whether the condition or activities of the company are jeopardizing the safety or soundness of the operations of its financial institution subsidiary. The commissioner shall not conduct an examination of any financial institution holding company that indirectly controls a Hawaii financial institution through one or more financial institution holding companies unless the commissioner has good cause to believe that the financial institution holding company indirectly controlling the Hawaii financial institution is experiencing financial adversity that will have a material negative impact on the safety and soundness of the Hawaii financial institution. The cost of the examinations shall be assessed against and paid by the financial institution holding company in the same manner as financial institutions under section 412:2-105. [L 1993, c 350, pt of §1; am L 2008, c 196, §9]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:11-103 Use of state or federal examinations.

§412:11-103 Use of state or federal examinations.
The commissioner may accept, adopt, or use in lieu of an examination prescribed by section 412:11-102 or otherwise, all or any part of the results of an examination conducted by an appropriate state or federal regulatory agency of a financial institution or a financial institution holding company for the same period or subject matter that would be covered by an examination required or permitted under this article. [L 1993, c 350, pt of §1; am L 2006, c 228, §44]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:11-104 Service of process.

§412:11-104 Service of process.
Every financial institution holding company shall designate in its registration statement the name and address of an agent in this State who is authorized to receive service of process and any notices in behalf of the holding company. Service may be made on a financial institution holding company by leaving a copy of the process at the office of the appointed agent in this State. If such person is not available or refuses to accept service or notice, the service or notice may be served upon any officer or manager of the financial institution subsidiary located in this State. [L 1993, c 350, pt of §1]
Rules of Court
Service of process, see HRCP rule 4(d)(3).
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:11-105 Sanctions for failure to register or submit reports.

§412:11-105 Sanctions for failure to register or submit reports.
Any financial institution holding company failing to register or furnish any report or information as and when required under this article, shall be subject to an administrative fine of not more than $200 for each day that it fails to register or for each day that any such report is delinquent, which fine shall be recovered pursuant to the provisions of section 412:2-611. [L 1993, c 350, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:11-106 Injunctions.

§412:11-106 Injunctions.
If it appears to the commissioner that any person has committed or is about to commit a violation of any provision of this article or any rule or order of the commissioner, the commissioner may apply to the circuit court for an order enjoining such person from violating or continuing to violate this article or any rule or order and for injunctive relief as the nature of the case or the interests of the financial institution or the financial institution holding company or its depositors, beneficiaries, creditors or shareholders may require. [L 1993, c 350, pt of §1]
Rules of Court
Injunctions, see HRCP rule 65.
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-100 Purpose.

§412:12-100 Purpose.
It is the express intent of this article to permit interstate branching under sections 102 and 103 of the Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994, Public Law No. 103-328, in accordance with the provisions set forth in this article. [L 1996, c 155, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-102 Authority of Hawaii state banks to establish interstate branches by merger.

§412:12-102 Authority of Hawaii state banks to establish interstate branches by merger.
(a) With the prior approval of the commissioner, a Hawaii state bank may establish and operate one or more branches in a state other than Hawaii, pursuant to an interstate merger transaction in which the Hawaii state bank is the resulting bank.
(b) Not later than the date on which the required application for the interstate merger transaction is filed with the responsible federal bank supervisory agency, the applicant Hawaii state bank shall comply with and the application shall be processed in accordance with all applicable provisions of part VI, article 3, of this chapter. The interstate merger transaction may be consummated and the Hawaii state bank may establish and operate the branches outside of Hawaii only after the applicant has received the commissioner's written approval. [L 1996, c 155, pt of §1; am L 1998, c 39, §9]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-103 Authority of Hawaii state banks to establish a de novo interstate branch or acquire an interstate branch.

§412:12-103 Authority of Hawaii state banks to establish a de novo interstate branch or acquire an interstate branch.
(a) With the prior approval of the commissioner, any Hawaii state bank may establish and operate a de novo branch or acquire and operate a branch in a state other than Hawaii.
(b) A Hawaii state bank desiring to establish and operate a de novo branch or acquire and operate a branch in another state under this section shall comply with, and the application shall be processed in accordance with sections 412:3-503 and 412:3-505. In acting on the application, the commissioner shall consider the views of the appropriate bank supervisory agencies. The applicant bank may establish and operate the branch when it has received the written approval of the commissioner. [L 1996, c 155, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-104 Authority of out-of-state banks to establish interstate branches in Hawaii by merger.

§412:12-104 Authority of out-of-state banks to establish interstate branches in Hawaii by merger.
(a) One or more Hawaii banks may enter into an interstate merger transaction with one or more out-of-state banks under this article, and an out-of-state bank resulting from the transaction may maintain and operate the branches in Hawaii of a Hawaii bank that participated in the transaction, if the conditions and filing requirements of this article are met.
(b) Any out-of-state bank that will be the resulting bank pursuant to an interstate merger transaction involving a Hawaii state bank shall notify the commissioner of the proposed merger not later than the date on which it files an application for an interstate merger transaction with the responsible federal bank supervisory agency, and shall submit a copy of that application to the commissioner and pay a filing fee of $9,000, or a greater amount as the commissioner may establish by rule pursuant to chapter 91. The filing fee shall be nonrefundable. Any Hawaii state bank which is a party to an interstate merger transaction shall comply with part VI, article 3, of this chapter to the extent applicable, and with other applicable state and federal laws. If the resulting bank in the interstate merger transaction is an out-of-state state bank, the director of commerce and consumer affairs shall not file the articles of merger until the out-of-state state bank has filed a confirmation in writing by the commissioner of compliance with this section. If the resulting bank in the interstate merger transaction is an out-of-state bank which is a national banking association, the resulting bank shall file with the director of commerce and consumer affairs a confirmation in writing by the commissioner of compliance with this section.
(c) Any out-of-state state bank which shall be the resulting bank in an interstate merger transaction involving a Hawaii bank shall confirm in writing to the commissioner that as long as it maintains a branch in this State, it shall comply with all applicable laws of this State and provide satisfactory evidence to the commissioner of compliance with applicable requirements of chapter 414 relating to foreign corporations. [L 1996, c 155, pt of §1; am L 1999, c 283, §1; am L 2002, c 40, §34]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-105 Authority of out-of-state banks to establish a de novo interstate branch or acquire an interstate branch.

§412:12-105 Authority of out-of-state banks to establish a de novo interstate branch or acquire an interstate branch.
(a) An out-of-state bank that does not operate a branch in this State and that meets the requirements of this article may establish and operate a branch in this State.
(b) An out-of-state bank that does not operate a branch in this State and that meets the requirements of this article may establish and operate a branch in this State through the acquisition of a branch.
(c) An out-of-state bank desiring to establish and operate a branch or to acquire and operate a branch in this State pursuant to this section shall provide to the commissioner written notice of the proposed transaction not later than the date on which the bank applies to the responsible federal bank supervisory agency for approval to establish or acquire the branch. The filing of the notice shall be accompanied by a filing fee of $9,000 or a greater amount as the commissioner may establish by rule pursuant to chapter 91. The filing fee shall be nonrefundable.
(d) No branch of an out-of-state bank may be established or acquired in this State under this section, unless:
(1) The out-of-state bank confirms in writing to the commissioner that as long as it maintains a branch in this State, it shall comply with all applicable laws of this State;
(2) The applicant provides to the commissioner satisfactory evidence of compliance with the applicable requirements of chapter 414 relating to foreign corporations; and
(3) The commissioner, acting within thirty days after receiving notice of an application under subsection (c), certifies to the responsible federal bank supervisory agency that the requirements of this article have been met. [L 1996, c 155, pt of §1; am L 1999, c 283, §2; am L 2002, c 40, §35]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-106 No concentration limit under Hawaii state law; waiver of federal concentration limits.

§412:12-106 No concentration limit under Hawaii state law; waiver of federal concentration limits.
(a) There shall be no state deposit cap or concentration limit under the law of this State.
(b) The commissioner may waive, on a case-by-case basis, the federal statewide concentration limits under section 44(b) of the Federal Deposit Insurance Act; provided that the commissioner shall apply a standard that does not discriminate against out-of-state banks. In granting a waiver, the commissioner shall consider whether the waiver promotes the availability of financial services, the marketability of Hawaii banks, or another public interest. This section shall not affect the applicability, if any, of federal or state antitrust law. [L 1996, c 155, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-107 Powers; additional branches.

§412:12-107 Powers; additional branches.
(a) An out-of-state state bank which establishes and operates a branch in Hawaii under this article may conduct any activities at the branch that are authorized under the laws of this State for Hawaii state banks chartered under article 5 of this chapter.
(b) A Hawaii state bank may conduct any activities at any branch outside Hawaii that are permissible for a bank chartered by the host state where the branch is located, except to the extent the activities are expressly prohibited by the laws of this State or by any rule or order of the commissioner applicable to the Hawaii state bank; provided that the commissioner may waive any prohibition if the commissioner determines, by order or rule, that the involvement of out-of-state branches of Hawaii state banks in particular activities would not threaten the safety or soundness of those banks.
(c) An out-of-state bank that has established or acquired a branch in Hawaii under this article may establish or acquire additional branches or other places of business as authorized pursuant to section 412:3-501 in Hawaii to the same extent that any Hawaii bank may establish or acquire a branch or other places of business in Hawaii under applicable federal and state law.
(d) If an out-of-state bank operates two or more branches in Hawaii, the out-of-state bank shall designate one of its branches as its principal office in this State. [L 1996, c 155, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-109 Enforcement.

§412:12-109 Enforcement.
If the commissioner determines that a branch maintained by an out-of-state state bank in this State is being operated in violation of any provision of the laws of this State, or that the branch is being operated in an unsafe and unsound manner, the commissioner may take all enforcement actions as the commissioner could take if the branch were a Hawaii state bank; provided that the commissioner shall promptly give notice to the home state regulator of each enforcement action taken against an out-of-state state bank and, to the extent practicable, shall consult and cooperate with the home state regulator in pursuing and resolving the enforcement action. The enforcement and supervisory powers of the commissioner contained in parts III to VI, article 2 of this chapter shall apply to an out-of-state state bank to the same extent that the provisions are applicable to a Hawaii financial institution. [L 1996, c 155, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:12-110 Notice of subsequent merger, etc.

§412:12-110 Notice of subsequent merger, etc.
Each out-of-state state bank that operates a branch in this State pursuant to this article, or the home state regulator of the bank, shall give at least thirty days' prior written notice (or, in the case of an emergency transaction, shorter notice as is consistent with applicable state or federal law) to the commissioner of any merger, consolidation, or other transaction that would cause a change of control with respect to the out-of-state state bank or any bank holding company that controls the bank, with the result that an application would be required to be filed pursuant to the federal Change in Bank Control Act of 1978, as amended, 12 U.S.C. section 1817(j), or the federal Bank Holding Company Act of 1956, as amended, 12 U.S.C. section 1841 et seq., or any successor statutes thereto. [L 1996, c 155, pt of §1]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-100 Title and purpose.

§412:13-100 Title and purpose.
(a) This article shall be known and may be cited as the Hawaii International Banking Act.
(b) This article is intended generally to provide for state regulation of the participation by foreign banks in the financial markets of this State.
(c) Consistent with the federal International Banking Act, the Bank Holding Company Act, the Federal Deposit Insurance Act, and the Interstate Banking and Branching Efficiency Act, this article is intended specifically:
(1) To authorize banking activities and operations, under state licenses issued by the commissioner, of direct branch and agency offices in this State of foreign banks, generally under terms and conditions not less favorable than the terms and conditions under which the activities and operations may be conducted by federal branch or agency offices of foreign banks in the United States, and to set forth a statutory framework for the licensing, regulation, and supervision of the State-licensed offices of foreign banks by the commissioner to assure the safe and sound operation of the offices that are licensed under the laws of this State;
(2) To authorize representative offices in this State of foreign banks, and to set forth statutory provisions governing the licensing and supervision of the representative offices by the commissioner; and
(3) To ensure that the banking laws and rules of this State otherwise apply to foreign banks in a manner consistent with the laws and policies of the United States governing the operations in this country of foreign banks. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-101 Application to existing foreign banks.

§412:13-101 Application to existing foreign banks.
(a) The licenses of foreign banks to open and maintain agency offices and representative offices in this State which were granted before and which are in effect on June 1, 1997, are not invalidated by the enactment of this article nor by any change made in the requirements for licensing of foreign bank offices, nor by the repeal of the laws under which they were licensed.
(b) The provisions of this article shall apply to all agency and representative offices of foreign banks which were licensed under previous laws of this State and which are in operation on June 1, 1997, except as provided in this section.
(c) With the enactment of this article, non-depository agency offices of foreign banks which were licensed under previous laws of this State and are in operation on June 1, 1997, shall have all of the powers and authority of a Hawaii state agency under this article, except that the non-depository agency office shall not accept any deposits pursuant to section 412:13-208, and as long as deposits are not accepted, the non-depository agency office shall not be required to comply with section 412:13-213. Notwithstanding the foregoing provision, nothing shall prohibit the foreign bank operating a non-depository agency office from filing an application under section 412:13-205 to amend its license. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-200 Purpose.

§412:13-200 Purpose.
Consistent with the federal International Banking Act, the Bank Holding Company Act, the Federal Deposit Insurance Act, and the Interstate Banking and Branching Efficiency Act, this part is intended:
(1) To authorize banking activities and operations, under state licenses issued by the commissioner, of direct branch and agency offices in this State of foreign banks, generally under terms and conditions not less favorable than the terms and conditions under which the activities and operations may be conducted by federal branch or agency offices of foreign banks in the United States, and to set forth a statutory framework for the licensing, regulation, and supervision of state-licensed offices of foreign banks by the commissioner to assure the safe and sound operation of the offices that are licensed under the laws of this State; and
(2) To authorize representative offices in this State of foreign banks, and to set forth statutory provisions governing the licensing and supervision of these offices by the commissioner. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-201 Branches and agencies of foreign banks; necessity of licensure.

§412:13-201 Branches and agencies of foreign banks; necessity of licensure.
(a) No foreign bank shall transact business in this State except at a Hawaii state branch or Hawaii state agency which it is licensed to establish and maintain pursuant to, and at which it conducts the activities as are permitted by this article.
(b) Subsection (a) shall not be deemed to prohibit:
(1) Any foreign bank that establishes and maintains a federal agency or federal branch in this State from transacting at the federal agency or federal branch any business it may be authorized to transact under applicable federal laws and regulations;
(2) Any foreign bank that does not maintain a Hawaii state branch or Hawaii state agency from making in this State loans secured by liens on real or personal property located in this State or enforcing the loans in this State; or
(3) Any foreign bank organized under the laws of a territory of the United States, Puerto Rico, Guam, American Samoa, or the Virgin Islands, the deposits of which are insured by the Federal Deposit Insurance Corporation, from establishing and operating an interstate branch in this State in its capacity as a "state bank" as defined in the Federal Deposit Insurance Act, pursuant to the authorities contained in that Act and in the laws of this State.
(c) For purposes of subsection (a), no foreign bank shall be deemed to be transacting business in this State merely because a subsidiary or affiliate transacts business in this State, including business that any depository institution subsidiary or affiliate may lawfully conduct in this State, as an agent for the foreign bank in accordance with and to the extent authorized by the laws of this State and applicable rules or orders of the commissioner. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-202 Application to establish and maintain a branch or agency; contents.

§412:13-202 Application to establish and maintain a branch or agency; contents.
A foreign bank, in order to procure a license under this article to establish and maintain a Hawaii state branch or Hawaii state agency, shall submit an application to the commissioner, together with the application fee prescribed in section 412:13-206. The application shall contain:
(1) The same information as required by the Board of Governors of the Federal Reserve System for an application to establish a branch or agency, as the case may be, in the United States;
(2) If applicable, a statement under oath appointing an agent in this State for receipt of service of process in accordance with section 414-437, if the license is granted; and
(3) Any additional information that the commissioner may require. [L 1996, c 155, pt of §2; am L 2001, c 170, §14; am L 2002, c 40, §36]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-204 Denial of license.

§412:13-204 Denial of license.
If the commissioner is not satisfied that the foreign bank meets all the criteria set forth for approval, the commissioner shall issue a written decision denying the application. A foreign bank which is denied approval may request a hearing before the commissioner in accordance with chapter 91. Any final decision of the commissioner denying a foreign bank a license may be appealed to the circuit court as provided in chapter 91. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-205 Amended license to establish and maintain a branch or agency.

§412:13-205 Amended license to establish and maintain a branch or agency.
(a) A foreign bank that is licensed to establish and maintain a Hawaii state branch or Hawaii state agency shall secure an amended license if it changes its corporate name, changes the duration of its corporate existence, or desires to pursue in this State other or additional purposes than those set forth in its prior application for a license under this article, by making application therefor to the commissioner.
(b) The requirements with respect to the form and contents of an application under subsection (a), the manner of its execution, the filing of triplicate originals thereof with the commissioner, the payment of an application fee, the issuance of an amended license, and the effect thereof shall be the same as in the case of an initial application for a license to establish and maintain a Hawaii state branch or Hawaii state agency. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-206 Application fees.

§412:13-206 Application fees.
Upon applying to the commissioner under this article for an initial license to establish and maintain a Hawaii state branch or Hawaii state agency, a foreign bank shall pay to the commissioner an application fee of $9,000 or a greater amount as the commissioner shall establish by rule pursuant to chapter 91. For an application to establish additional branches or agencies, the foreign bank shall pay an application fee of $1,500 or a greater amount as may be established by rule. For an application to amend a license, the foreign bank shall pay an application fee of $1,500 or a greater amount as may be established by rule. All application fees shall be nonrefundable. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-207 No concurrent maintenance of federal branches or agencies.

§412:13-207 No concurrent maintenance of federal branches or agencies.
(a) No foreign bank that is licensed under this article to establish and maintain a Hawaii state branch or Hawaii state agency shall concurrently maintain a federal branch or federal agency in this State.
(b) No foreign bank that maintains a federal branch or federal agency in this State shall concurrently be licensed under this article to maintain a Hawaii state branch or Hawaii state agency. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-209 Filing of amendments to articles of incorporation.

§412:13-209 Filing of amendments to articles of incorporation.
A foreign bank that is licensed to maintain a Hawaii state branch or Hawaii state agency, whenever its articles of incorporation are amended, shall forthwith file in the office of the commissioner a copy of the amendment duly authenticated by the proper officer of the country of the foreign bank's organization, but the filing thereof may not of itself enlarge or alter the purpose or purposes for which the foreign bank is authorized to pursue in the transaction of its business in this State, nor authorize the foreign bank to transact business in this State under any name other than the name set forth in its license, nor extend the duration of its corporate existence. If the amendment is in a foreign language, an English translation of the amendment under the oath of the translator shall accompany the amendment. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-210 Separate assets.

§412:13-210 Separate assets.
(a) Each foreign bank that is licensed to establish and maintain a Hawaii state branch or Hawaii state agency in this State shall keep the assets of its business in this State separate and apart from the assets of its business outside this State.
(b) The creditors of a foreign bank arising out of transactions with, and recorded on the books of, its Hawaii state branch or Hawaii state agency shall be entitled to absolute preference and priority over the creditors of the foreign bank's offices located outside this State with respect to the assets of the foreign bank in this State. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-211 Disclosure of lack of deposit insurance.

§412:13-211 Disclosure of lack of deposit insurance.
Each foreign bank that is licensed to establish and maintain a Hawaii state branch or Hawaii state agency, in a manner established by the commissioner by rule or order, shall give notice that deposits and credit balances in the branch or agency office are not insured by the Federal Deposit Insurance Corporation. The foregoing notice requirement shall not apply to an insured Hawaii state branch of a bank organized under the laws of any territory of the United States, Puerto Rico, Guam, American Samoa, or the Virgin Islands. [L 1996, c 155, pt of §2]
2023 Hawaii Revised Statutes › Title 22. Banks and Financial Institutions › 412. Code of Financial Institutions › 412:13-212 Limitations on payment of interest on deposits.

§412:13-212 Limitations on payment of interest on deposits.
A foreign bank that is licensed to establish and maintain a Hawaii state branch or Hawaii state agency shall be subject to the same limitations with respect to the payment of interest on deposits as a state bank that is a member of the Federal Reserve System. [L 1996, c 155, pt of §2]