reglab/statecodes huggingface dataset:
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 102: MUTUAL TRUST INVESTMENT COMPANIES › 9-B §1025. Purchase of stock by fiduciaries; authority and restrictions

§1025. Purchase of stock by fiduciaries; authority and restrictions
1.  Investment in shares of stock.
State banks with trust powers, trust companies and national banks with trust powers located in this State, acting in a fiduciary capacity and for true fiduciary purposes, either alone or with one or more individual cofiduciaries, may, if exercising the care of a prudent investor and with the consent of such individual cofiduciary or cofiduciaries, if any, invest and reinvest funds held in such fiduciary capacity in the shares of stock of a mutual trust investment company except where the will, trust indenture or other instrument under which such fiduciary is acting prohibits such investment. No investment in the stock of a mutual trust investment company may be made by any bank or trust company which operates its own common trust fund under the laws of this State. The stock shall not be subject to Title 32, chapter 13.
[PL 1975, c. 500, §1 (NEW).]
2.  Limitation.
No funds of any estate, trust or fund shall be invested in the stock of a mutual trust investment company in an amount which would result in any bank or trust company having an aggregate holding in excess of 25% of the total issued and outstanding stock of such mutual trust investment company, as increased by the amount of the proposed investment. In the event that by reason of reduction of the holdings of stock by other banks or trust companies, mergers of banks or trust companies, or for other reasons, the aggregate holding of stock in the mutual trust investment company by any bank or trust company shall become greater than 25% of the total issued and outstanding stock, such bank or trust company may retain the stock then held by it but may not make further investments in such stock until its aggregate holdings have become less than such 25%.
[PL 1975, c. 500, §1 (NEW).]
3.  Responsibility.
A mutual trust investment company shall be permitted to rely on the written statement of any bank or trust company purchasing its stock that the purchase complies with the foregoing requirements, except that the mutual trust investment company shall be responsible to see that the limit on the holding of stock by any one bank or trust company as provided in subsection 2 is not exceeded.
[PL 1975, c. 500, §1 (NEW).]
SECTION HISTORY
PL 1975, c. 500, §1 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 102: MUTUAL TRUST INVESTMENT COMPANIES › 9-B §1026. Powers of the superintendent

§1026. Powers of the superintendent
1.  Rules and regulations.
The superintendent shall have authority to adopt and issue regulations to govern the conduct and management of all mutual trust investment companies formed pursuant to this chapter, and to prescribe, among other things:
A. The records and accounts to be kept by the mutual trust investment company;   [PL 1975, c. 500, §1 (NEW).]
B. The methods and standards to be employed in establishing the value of the shares of stock in the mutual trust investment company and of its assets; and   [PL 1975, c. 500, §1 (NEW).]
C. The procedure to be followed in the sale and redemption of its stock.   [PL 1975, c. 500, §1 (NEW).]
[PL 1975, c. 500, §1 (NEW).]
2.  Examination.
The superintendent shall at least once in each calendar year, and whenever the superintendent deems it necessary or expedient, examine every such mutual trust investment company. On every such examination of a mutual trust investment company, the superintendent shall make inquiry as to its financial condition, the policies of its management, whether it is complying with the laws of this State and such other matters as the superintendent may prescribe. The reasonable expenses of each examination of a mutual trust investment company pursuant to this section must be charged to the company in accordance with the provision of section 214.
[RR 2009, c. 2, §9 (COR).]
3.  Power and authority.
In the enforcement of this chapter and the fulfillment of his responsibilities hereunder, the superintendent shall have the same power and authority over and with respect to mutual trust investment companies and their directors, officers and employees, including the power to compel the attendance of witnesses and the production of books, records, documents and testimony, the power to require the submission to him of reports and information in such form and at such times as he may prescribe, the power to direct the discontinuation of any practice which he may consider illegal, unauthorized or unsafe; and all other powers and authorities, whether or not specifically mentioned herein, as are given the superintendent by the laws of this State with respect to financial institutions in the same manner and with like effect as if mutual trust investment companies were expressly named therein.
[PL 1975, c. 500, §1 (NEW).]
SECTION HISTORY
PL 1975, c. 500, §1 (NEW). RR 2009, c. 2, §9 (COR).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 105: MUTUAL HOLDING COMPANY › 9-B §1051. Purpose

§1051. Purpose
This chapter authorizes mutual financial institutions to reorganize into mutual holding companies.   [PL 1985, c. 558 (NEW).]
SECTION HISTORY
PL 1985, c. 558 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 105: MUTUAL HOLDING COMPANY › 9-B §1052. Definitions

§1052. Definitions
As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings.   [PL 1985, c. 558 (NEW).]
1.  Mutual financial institution.
"Mutual financial institution" means any institution as defined in section 131, subsection 27.
[PL 1985, c. 558 (NEW).]
2.  Mutual holding company.
"Mutual holding company" means any corporation organized pursuant to this chapter.
[PL 1985, c. 558 (NEW).]
3.  Subsidiary universal bank.
"Subsidiary universal bank" means any universal bank organized under the laws of this State, at least 51% of the voting stock of which is wholly owned by a mutual holding company.
[PL 2009, c. 228, §10 (AMD).]
SECTION HISTORY
PL 1985, c. 558 (NEW). PL 1993, c. 257, §4 (AMD). PL 2009, c. 228, §10 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 105: MUTUAL HOLDING COMPANY › 9-B §1054. Corporate existence and powers

§1054. Corporate existence and powers
1.  Legal existence.
Upon the reorganization of a mutual financial institution pursuant to this chapter, the legal existence of the mutual financial institution shall not terminate, but shall continue, not as a deposit-taking institution, but as a mutual holding company.
[PL 1985, c. 558 (NEW).]
2.  Governance.
A mutual holding company must be governed by a board of corporators in accordance with the charter and bylaws of the mutual holding company, as adopted or amended, in connection with a reorganization authorized under this chapter or as amended by the corporators thereafter. The corporators shall elect a board of directors provided that the superintendent has the authority to comment upon the composition of the board. The corporators and the board of directors are governed by and authorized to undertake the activities as set forth in sections 325 and 326. With respect to a mutual holding company that has been formed through the reorganization of a savings bank, the board of corporators initially consists of the board of corporators of the savings bank as constituted pursuant to section 325. The corporators, after the formation of the mutual holding company, continue to serve as corporators for the balance of the terms to which they are elected under section 325.
[RR 2013, c. 2, §10 (COR).]
3.  Powers.
A mutual holding company may:
A. Invest in the stock of a financial institution, subject to section 1013;   [PL 1985, c. 558 (NEW).]
B. Acquire a mutual financial institution or a mutual federal association through merger into a subsidiary universal bank or an interim subsidiary universal bank of the mutual holding company;   [PL 2021, c. 5, §3 (AMD).]
C. Merge with or acquire a mutual holding company, one of whose subsidiaries is a savings bank or savings and loan association;   [PL 1985, c. 558 (NEW).]
D. Exercise any power, right or privilege, with the exception of deposit taking, granted to mutual financial institutions under the laws of the State, and, unless specifically noted otherwise, any reference to "savings bank" or "savings and loan association" in any other law of this State also applies to a subsidiary universal bank chartered pursuant to this chapter;   [PL 2009, c. 228, §15 (AMD).]
E. Invest in the capital stock of a company, which is a legal investment for a savings bank under the laws of the State;   [PL 1985, c. 558 (NEW).]
F. Exercise any power or engage in any activity authorized for a bank holding company or savings and loan holding company under federal law or rule or chapter 101; and   [PL 1985, c. 558 (NEW).]
G. Exercise any other power or engage in any other activity authorized by the superintendent.   [PL 1985, c. 558 (NEW).]
[PL 2021, c. 5, §3 (AMD).]
SECTION HISTORY
PL 1985, c. 558 (NEW). PL 1993, c. 257, §§7,8 (AMD). PL 2009, c. 228, §15 (AMD). RR 2013, c. 2, §10 (COR). PL 2021, c. 5, §3 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 105: MUTUAL HOLDING COMPANY › 9-B §1055. Rules

§1055. Rules
The superintendent shall adopt such rules as necessary to effectuate the purposes of this chapter and to ensure that the reorganization of a mutual financial institution is conducted in a fair and equitable manner to ensure the safety and soundness of the subsidiary universal bank and the protection of the subsidiary universal bank's net worth.   [PL 2009, c. 228, §16 (AMD).]
SECTION HISTORY
PL 1985, c. 558 (NEW). PL 1993, c. 257, §9 (AMD). PL 2009, c. 228, §16 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 105: MUTUAL HOLDING COMPANY › 9-B §1056. Reports and examinations

§1056. Reports and examinations
All mutual financial institution holding companies shall be subject to section 1016.   [PL 1985, c. 558 (NEW).]
SECTION HISTORY
PL 1985, c. 558 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 107: MERCHANT BANKING (REPEALED) › 9-B §1101. Organization and structure of merchant banks (REPEALED)

§1101. Organization and structure of merchant banks
(REPEALED)
SECTION HISTORY
PL 1997, c. 66, §6 (NEW). PL 1997, c. 398, §J1 (RP).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 10: OTHER FINANCIAL ENTITIES › Chapter 107: MERCHANT BANKING (REPEALED) › 9-B §1102. Business of merchant banks; powers; limitations (REPEALED)

§1102. Business of merchant banks; powers; limitations
(REPEALED)
SECTION HISTORY
PL 1997, c. 66, §6 (NEW). PL 1997, c. 398, §J1 (RP).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 121: NONDEPOSITORY TRUST COMPANIES › 9-B §1211. General purpose and authority

§1211. General purpose and authority
A nondepository trust company is a financial institution organized under the provisions of this Title whose activities are generally limited to trust or fiduciary matters. Unless otherwise indicated in this chapter or to the extent inconsistent with this chapter or with the general purpose of a nondepository trust company, a nondepository trust company has all the powers, duties and obligations of a financial institution under this Title.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 121: NONDEPOSITORY TRUST COMPANIES › 9-B §1212. Organization of nondepository trust companies

§1212. Organization of nondepository trust companies
1.  Organization.
A nondepository trust company must be organized pursuant to chapter 31.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
1-A.  Principal office in State.
Except for a nondepository trust company organized prior to the effective date of this subsection, a nondepository trust company shall locate its principal office in this State, have at least one resident of this State on its governing board and hold at least one of its governing board meetings in this State each year.
[PL 2021, c. 5, §4 (NEW).]
2.  Organizational documents.
The organizational documents of a nondepository trust company that are filed with the Secretary of State must contain the following statement: "This corporation, limited liability company, limited partnership or limited liability partnership is subject to the Maine Revised Statutes, Title 9‑B, chapter 121 and does not have the power to solicit, receive or accept money or its equivalent on deposit or to lend money except for lending reasonably related to and deriving from its service as fiduciary or its conduct of trust business." This statement in the organizational documents of a nondepository trust company may not be amended.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
3.  Conversion.
A nondepository trust company may convert to any other type of investor-owned financial institution pursuant to chapter 34.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 2021, c. 5, §4 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 121: NONDEPOSITORY TRUST COMPANIES › 9-B §1213. Capital

§1213. Capital
A nondepository trust company must have initial paid-in capital in accordance with chapter 31 and shall maintain capital in accordance with section 412-A and any rules adopted under section 412-A, except the superintendent may establish different capital maintenance requirements for nondepository trust companies than those required for other financial institutions organized under this Title.   [PL 1999, c. 539, §1 (AMD).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 1999, c. 539, §1 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 121: NONDEPOSITORY TRUST COMPANIES › 9-B §1213-A. Asset pledge

§1213-A. Asset pledge
1.  Pledge requirement.
The superintendent may require a nondepository trust company to pledge readily marketable assets to the superintendent if the superintendent believes that circumstances warrant the action. The pledged assets must be United States dollar denominated, investment grade and subject to the prior written approval of the superintendent. The pledged assets must be held on deposit or in safekeeping by an FDIC-insured depository institution approved by the superintendent. The pledged assets may be released to the superintendent only upon certification that a receiver or conservator of the nondepository trust company has been appointed. The asset pledge requirement may be lifted by the superintendent if the superintendent determines that the condition of the nondepository trust company so warrants that action.
[PL 2005, c. 83, §12 (NEW).]
2.  Amount of pledge.
The aggregate amount of pledged assets is determined by the superintendent but may not exceed the greater of $1,000,000 or 50% of the minimum required capital of the nondepository trust company at the time the asset pledge is imposed.
[PL 2005, c. 83, §12 (NEW).]
3.  Pledge agreement.
The asset pledge must be maintained pursuant to an asset pledge agreement in the form and containing any limitations and conditions the superintendent requires. As long as the nondepository trust company continues business in the ordinary course, the nondepository trust company may be permitted to collect income on the pledged assets and examine and exchange those assets. The aggregate amount of assets pledged may not be less than required under subsection 2 without the superintendent's approval.
[PL 2005, c. 83, §12 (NEW).]
4.  Noncompliance.
If a nondepository trust company fails to maintain the minimum required asset pledge, the superintendent may determine that the nondepository trust company does not meet the capital requirements under section 412‑A and any rules adopted pursuant to section 412‑A.
[PL 2005, c. 83, §12 (NEW).]
5.  Rulemaking.
The superintendent may adopt rules to implement this section. Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2‑A.
[PL 2005, c. 83, §12 (NEW).]
SECTION HISTORY
PL 2005, c. 83, §12 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 121: NONDEPOSITORY TRUST COMPANIES › 9-B §1214. Business of nondepository trust companies

§1214. Business of nondepository trust companies
1.  General powers.
A nondepository trust company has all of the powers of and is entitled to engage in the business of a financial institution, including, without limitation, powers with respect to fiduciary and trust functions and transactions except that a nondepository trust company does not have the power to solicit, receive or accept money or its equivalent on deposit as a regular business within the meaning of section 131, subsection 5 and does not have the power to lend money except in transactions reasonably related to and deriving from its service as fiduciary or its conduct of trust business.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
2.  Closely related activities.
A nondepository trust company may conduct closely related activities, as defined in section 131, subsection 6‑A and provided for in chapter 44, except that the superintendent may exclude those activities closely related to lending and taking deposits.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
3.  Cash deposits.
A nondepository trust company may deposit cash, whether constituting principal or income, in any financial institution whether within or without this State, including any affiliated financial institution, if the account is held either in the name of the trust to which the cash belongs or in the name of the nondepository trust company and is composed entirely of cash belonging to trust accounts, the respective contributions of which are reflected in the books and records of the nondepository trust company.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
4.  Name.
A nondepository trust company may not use as a part of the name or title under which its business is conducted or in designating its business the word or words "bank," "banker" or "banking" or the plural of or any abbreviation of those words. A nondepository trust company shall include as a part of its name the word "trust" unless otherwise approved by the superintendent for good cause shown.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
5.  Additional offices.
Notwithstanding chapters 33 and 37, a nondepository trust company may establish additional offices without the superintendent's approval.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 121: NONDEPOSITORY TRUST COMPANIES › 9-B §1215. Holding companies of nondepository trust companies

§1215. Holding companies of nondepository trust companies
If the holding company is not deemed to be a financial institution holding company under chapter 101 by virtue of controlling financial institutions other than nondepository trust companies or merchant banks, a holding company of a nondepository trust company is not subject to the provisions of chapter 101, except for section 1013, subsection 1 and the application requirements of section 1015 relevant to section 1013, subsection 1.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
If the holding company is not deemed to be a financial institution holding company under chapter 101 by virtue of controlling financial institutions other than nondepository trust companies, the superintendent may examine the holding company, including its subsidiaries and affiliates, to the extent necessary to determine the soundness and viability of the nondepository trust company.   [PL 2005, c. 82, §15 (AMD).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 2005, c. 82, §15 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 121: NONDEPOSITORY TRUST COMPANIES › 9-B §1216. Rules

§1216. Rules
The superintendent may prescribe rules governing the activities of nondepository trust companies and implementing this chapter. These rules must take into account the general business purpose and nondepository nature of nondepository trust companies. Rules adopted pursuant to this section are routine technical rules as defined in Title 5, chapter 375, subchapter II‑A.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1221. General purpose and authority

§1221. General purpose and authority
A merchant bank is a financial institution organized under the provisions of this Title whose activities are generally limited to lending and investing as well as trust or fiduciary matters. Deposit activity is prohibited. Unless otherwise indicated in this chapter, a merchant bank has all the powers, duties and obligations of a financial institution under this Title. As one of the purposes of merchant banks is to provide needed capital or investments to businesses that may be impermissible or imprudent for depository financial institutions, its lending and investment activities are less restricted.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1222. Organization of merchant banks

§1222. Organization of merchant banks
1.  Organization.
A merchant bank must be organized pursuant to chapter 31 and must be managed and governed pursuant to this Title and the applicable provisions of Title 13‑C and Title 31, chapters 15, 19 and 21, depending upon the organizational form selected.
[PL 2009, c. 629, Pt. A, §3 (AFF); PL 2009, c. 629, Pt. B, §5 (AMD).]
1-A.  Principal office in State.
Except for a merchant bank organized prior to the effective date of this subsection, a merchant bank shall locate its principal office in this State, have at least one resident of this State on its governing board and hold at least one of its governing board meetings in this State each year.
[PL 2021, c. 5, §5 (NEW).]
2.  Organizational documents.
The organizational documents of a merchant bank that are filed with the Secretary of State must contain the following statement: "This corporation, limited liability company, limited partnership or limited liability partnership is subject to the Maine Revised Statutes, Title 9‑B, chapter 122 and does not have the power to solicit, receive or accept money or its equivalent on deposit." This statement in the organizational documents of a merchant bank may not be amended.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
3.  Conversion.
A merchant bank may convert to any other type of investor-owned financial institution pursuant to chapter 34.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). RR 2001, c. 2, §B20 (COR). RR 2001, c. 2, §B58 (AFF). PL 2005, c. 543, §D5 (AMD). PL 2005, c. 543, §D18 (AFF). PL 2009, c. 629, Pt. A, §3 (AFF). PL 2009, c. 629, Pt. B, §5 (AMD). PL 2021, c. 5, §5 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1223. Capital

§1223. Capital
1.  Initial capital.
[PL 1999, c. 539, §2 (RP).]
2.  Capital.
A merchant bank must have initial paid-in capital in accordance with chapter 31 and shall maintain minimum capital in accordance with section 412-A or any rules adopted under section 412-A. The superintendent may establish different capital maintenance standards for merchant banks than for other financial institutions organized under this Title. The minimum capital maintenance standards for a merchant bank may not be less than a level equal to 150% of the tier 1 risk-based capital and 150% of total risk-based capital established from time to time by the Board of Governors of the Federal Reserve System for a well-capitalized bank.
[PL 1999, c. 539, §3 (AMD).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 1999, c. 539, §§2,3 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1223-A. Asset pledge

§1223-A. Asset pledge
1.  Pledge requirement.
The superintendent may require a merchant bank to pledge readily marketable assets to the superintendent if the superintendent believes that the action is necessary for the protection of the public. The pledged assets must be United States dollar denominated, investment grade and subject to the prior written approval of the superintendent. The pledged assets must be held on deposit or in safekeeping by an FDIC-insured depository institution approved by the superintendent. The pledged assets may be released to the superintendent only upon certification that a receiver or conservator of the merchant bank has been appointed. The asset pledge requirement may be lifted by the superintendent if the superintendent determines that the condition of the merchant bank so warrants that action.
[PL 2005, c. 83, §13 (NEW).]
2.  Amount of pledge.
The aggregate amount of pledged assets is determined by the superintendent but may not exceed the greater of $1,000,000 or 50% of the minimum required capital of the merchant bank at the time the asset pledge is imposed.
[PL 2005, c. 83, §13 (NEW).]
3.  Pledge agreement.
The asset pledge must be maintained pursuant to an asset pledge agreement in the form and containing any limitations and conditions the superintendent requires. As long as the merchant bank continues business in the ordinary course, the merchant bank may be permitted to collect income on the pledged assets and examine and exchange those assets. The aggregate amount of assets pledged may not be less than required under subsection 2 without the superintendent's approval.
[PL 2005, c. 83, §13 (NEW).]
4.  Noncompliance.
If a merchant bank fails to maintain the minimum required asset pledge, the superintendent may determine that the merchant bank does not meet the capital requirements under section 412‑A and any rules adopted pursuant to section 412‑A.
[PL 2005, c. 83, §13 (NEW).]
5.  Rulemaking.
The superintendent may adopt rules to implement this section. Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2‑A.
[PL 2005, c. 83, §13 (NEW).]
SECTION HISTORY
PL 2005, c. 83, §13 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1224. Business of merchant banks; power; limitations

§1224. Business of merchant banks; power; limitations
1.  Business of merchant banks.
Except as provided in this chapter, a merchant bank has all the powers of and is entitled to engage in the business of a financial institution, including, without limitation, powers with respect to investments, loans, fiduciary and trust functions and transactions.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
2.  Deposit activities.
A merchant bank may not solicit, receive or accept money or its equivalent on deposit as a regular business within the meaning of section 131, subsection 5 or engage in deposit-like activities as determined by the superintendent. A merchant bank may deposit cash, whether constituting principal or income, in any financial institution, whether within or without this State, if the account is held either in the name of the trust to which the cash belongs or in the name of the merchant bank and is composed entirely of cash belonging to trust accounts, the respective contributions of which are reflected in the books and records of the merchant bank.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
3.  Treasurer's checks.
A merchant bank may issue drafts drawn on itself in the form of treasurer's or cashier's checks.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
4.  Name.
Notwithstanding section 241, subsection 9, a merchant bank may use as a part of its name the word or words "bank," "banker" or "banking" or the plural of or any abbreviations of those words.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
5.  Offices.
At least 30 days prior to the establishment of any office or branch office for the transaction of its business, a merchant bank shall notify the superintendent.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
6.  Provisions inapplicable.
The following provisions of this Title are inapplicable to merchant banks: sections 223, 316‑A, 439‑A, 445, 446‑A and 465‑A and chapters 33, 37 and 42. The limitations on the holding of equity securities and the purchase of speculative securities, equities and venture capital investments contained in section 419, subsection 1 are also inapplicable to merchant banks.
[PL 1997, c. 660, Pt. A, §8 (AMD).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 1997, c. 660, §A8 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1225. Insider loans and investments

§1225. Insider loans and investments
The terms of any loans by a merchant bank to or investments by a merchant bank in any of the following must be disclosed to the governing body of the merchant bank:   [PL 1997, c. 398, Pt. J, §2 (NEW).]
1.  Percentage of common stock.
A person who owns 25% or more of the merchant bank's common stock or similar equity capital;
[PL 1997, c. 683, Pt. A, §3 (AMD).]
2.  Member of governing body.
A member of the governing body of the merchant bank;
[PL 1997, c. 398, Pt. J, §2 (NEW).]
3.  Policy-making officer or manager.
A policy-making officer or manager of the merchant bank; or
[PL 1997, c. 398, Pt. J, §2 (NEW).]
4.  Percentage of voting shares owned by certain person or entity.
A company 25% of the voting shares or other similar voting equity of which is owned by a person or entity listed in subsections 1 to 3.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 1997, c. 683, §A3 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1226. Holding companies of merchant banks

§1226. Holding companies of merchant banks
If the holding company is not deemed to be a financial institution holding company under chapter 101 by virtue of controlling financial institutions other than a merchant bank or a nondepository trust company, a holding company of a merchant bank is not subject to the provisions of chapter 101, except for section 1013, subsection 1 and the application requirements of section 1015 relevant to section 1013, subsection 1.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
If the holding company is not deemed to be a financial institution holding company under chapter 101 by virtue of controlling financial institutions other than a merchant bank, the superintendent may examine the holding company, including its subsidiaries and affiliates, to the extent necessary to determine the soundness and viability of the merchant bank.   [PL 2005, c. 82, §16 (AMD).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 2005, c. 82, §16 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 122: MERCHANT BANKS › 9-B §1227. Rules

§1227. Rules
The superintendent may prescribe rules governing the activities of merchant banks and implementing this chapter. These rules must take into account the objective of merchant banks to provide needed capital to businesses and the nondepository nature of merchant banks. Rules adopted pursuant to this section are routine technical rules as defined in Title 5, chapter 375, subchapter II‑A.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1231. General authority and purpose

§1231. General authority and purpose
A financial institution engaged in the business of banking that does not accept retail deposits and for which insurance of deposits by the FDIC is not required may be organized pursuant to chapter 31. Unless otherwise indicated in this chapter, an uninsured bank has all the powers, rights, duties and obligations as a financial institution under this Title. An uninsured bank is not a nondepository trust company or a merchant bank.   [PL 2023, c. 30, §7 (AMD).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 2023, c. 30, §7 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1232. Organization of uninsured banks

§1232. Organization of uninsured banks
1.  Organization.
An uninsured bank must be organized pursuant to chapter 31.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
1-A.  Principal office in State.
Except for an uninsured bank organized prior to the effective date of this subsection, an uninsured bank shall locate its principal office in this State, have at least one resident of this State on its governing board and hold at least one of its governing board meetings in this State each year.
[PL 2021, c. 5, §6 (NEW).]
2.  Organizational documents.
The organizational documents of an uninsured bank that are filed with the Secretary of State must contain the following statement: "This corporation, limited liability company, limited partnership or limited liability partnership is subject to the Maine Revised Statutes, Title 9‑B, chapter 123 and does not have the power to solicit, receive or accept retail deposits." This statement in the organizational documents of an uninsured bank may not be amended.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
3.  Conversion.
An uninsured bank may convert to any other type of investor-owned financial institution pursuant to chapter 34.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 2021, c. 5, §6 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1233. Capital

§1233. Capital
An uninsured bank must have initial paid-in capital in accordance with chapter 31 and shall maintain minimum capital in accordance with section 412-A or rules adopted under section 412-A, except that the superintendent may establish different capital maintenance requirements for uninsured banks than those required for insured financial institutions organized under this Title.   [PL 1999, c. 539, §4 (AMD).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW). PL 1999, c. 539, §4 (AMD).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1233-A. Asset pledge

§1233-A. Asset pledge
1.  Pledge requirement.
The superintendent may require an uninsured bank to pledge readily marketable assets to the superintendent if the superintendent believes that the action is necessary for the protection of the public. The pledged assets must be United States dollar denominated, investment grade and subject to the prior written approval of the superintendent. The pledged assets must be held on deposit or in safekeeping by an FDIC-insured depository institution approved by the superintendent. The pledged assets may be released to the superintendent only upon certification that a receiver or conservator of the uninsured bank has been appointed. The asset pledge requirement may be lifted by the superintendent if the superintendent determines that the condition of the uninsured bank so warrants that action.
[PL 2005, c. 83, §14 (NEW).]
2.  Amount of pledge.
The aggregate amount of pledged assets is determined by the superintendent but may not exceed the greater of $1,000,000 or 50% of the minimum required capital of the uninsured bank at the time the asset pledge is imposed.
[PL 2005, c. 83, §14 (NEW).]
3.  Pledge agreement.
The asset pledge must be maintained pursuant to an asset pledge agreement in the form and containing any limitations and conditions the superintendent requires. As long as the uninsured bank continues business in the ordinary course, the uninsured bank may be permitted to collect income on the pledged assets and examine and exchange those assets. The aggregate amount of assets pledged may not be less than required under subsection 2 without the superintendent's approval.
[PL 2005, c. 83, §14 (NEW).]
4.  Noncompliance.
If an uninsured bank fails to maintain the minimum required asset pledge, the superintendent may determine that the uninsured bank does not meet the capital requirements under section 412‑A and any rules adopted pursuant to section 412‑A.
[PL 2005, c. 83, §14 (NEW).]
5.  Rulemaking.
The superintendent may adopt rules to implement this section. Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2‑A.
[PL 2005, c. 83, §14 (NEW).]
SECTION HISTORY
PL 2005, c. 83, §14 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1234. Cash reserves on deposits and accounts

§1234. Cash reserves on deposits and accounts
An uninsured bank shall maintain reserves in accordance with section 422-A. The superintendent may establish by rule or order additional reserve requirements for uninsured banks.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1235. Lending limits

§1235. Lending limits
An uninsured bank's lending limit is governed by section 439-A or rules adopted under section 439-A, except that loans or extensions of credit to a person are limited to 15% of total capital.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1236. Deposits

§1236. Deposits
An uninsured bank may not engage in retail deposit activities. The superintendent shall define deposit activities that do not constitute retail deposit activities by rule, taking account of the size or nature of depositors and deposit accounts.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1237. Disclosure of uninsured status

§1237. Disclosure of uninsured status
1.  Sign that deposits not insured.
An uninsured bank shall display conspicuously at each window or place where deposits are usually accepted a sign stating that deposits are not insured by the FDIC.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
2.  Statement that deposits not insured.
An uninsured bank shall either include in boldface conspicuous type on each signature card, passbook and instrument evidencing a deposit the following statement: "This deposit is not insured by the FDIC" or require each depositor to execute a statement that acknowledges that the initial deposit and all future deposits at the bank are not insured by the FDIC. The bank shall retain this acknowledgment as long as the depositor maintains any deposit with the bank.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
3.  Statement on deposit-related advertising that deposits not insured.
An uninsured bank shall include on all its deposit-related advertising a statement that deposits are not insured by the FDIC.
[PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1238. Rules

§1238. Rules
The superintendent may prescribe rules governing the activities of uninsured banks and implementing this chapter. These rules must take into account the uninsured status of these banks. Rules adopted pursuant to this section are routine technical rules as defined in Title 5, chapter 375, subchapter II‑A.   [PL 1997, c. 398, Pt. J, §2 (NEW).]
SECTION HISTORY
PL 1997, c. 398, §J2 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 12: SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS › Chapter 123: UNINSURED BANKS › 9-B §1239. Holding companies of uninsured banks

§1239. Holding companies of uninsured banks
If a holding company is not a financial institution holding company under chapter 101 by virtue of controlling a financial institution other than a merchant bank, a nondepository trust company or an uninsured bank, the superintendent may grant the holding company a waiver from the provisions of chapter 101; except that, the superintendent may not waive the requirements of section 1013, subsection 1 and the application requirements of section 1015 relevant to section 1013, subsection 1.   [PL 2001, c. 211, §26 (NEW).]
If a holding company is not a financial institution holding company under chapter 101 by virtue of controlling financial institutions other than a merchant bank, nondepository trust company or uninsured bank, the superintendent may examine the holding company, including its subsidiaries and affiliates, to the extent necessary to determine the soundness and viability of the uninsured bank.   [PL 2001, c. 211, §26 (NEW).]
SECTION HISTORY
PL 2001, c. 211, §26 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 13: FOREIGN BANKS › Chapter 131: FOREIGN BRANCHES, AGENCIES AND REPRESENTATIVE OFFICES › 9-B §1311. Definitions

§1311. Definitions
As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings.   [PL 1997, c. 182, Pt. B, §3 (NEW).]
1.  Agency.
"Agency" means any office or any place of business of a foreign bank located in any state of the United States at which credit balances are maintained incidental to or arising out of the exercise of banking powers, checks are paid, or money is lent, but at which deposits may not be accepted from persons who are citizens or residents of the United States.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
2.  Branch.
"Branch" means any office or any place of business of a foreign bank located in any state of the United States at which deposits are received.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
3.  Federal agency.
"Federal agency" means an agency of a foreign bank established and operating pursuant to Section 4 of the federal International Banking Act of 1978.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
4.  Federal branch.
"Federal branch" means a branch of a foreign bank established and operating pursuant to Section 4 of the federal International Banking Act of 1978.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
5.  Maine agency.
"Maine agency" means an agency of a foreign bank located in this State and established and operating pursuant to the provisions of this chapter.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
6.  Maine branch.
"Maine branch" means a branch of a foreign bank located in this State and established and operating pursuant to the provisions of this chapter.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
7.  Maine foreign bank.
"Maine foreign bank" means a foreign bank that operates a Maine branch or Maine agency and for which Maine is the home state, in accordance with Section 5 of the federal International Banking Act of 1978.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
8.  Maine representative office.
"Maine representative office" means a representative office located in this State and established and operating pursuant to the provisions of this chapter.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
9.  Out-of-state foreign bank.
"Out-of-state foreign bank" means a foreign bank for which a state other than Maine is the home state, in accordance with Section 5 of the federal International Banking Act of 1978.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
10.  Representative office.
"Representative office" means any office of a foreign bank that is located in any state and is not a federal branch, federal agency, state branch, state agency or subsidiary of a foreign bank.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
SECTION HISTORY
PL 1997, c. 182, §B3 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 13: FOREIGN BANKS › Chapter 131: FOREIGN BRANCHES, AGENCIES AND REPRESENTATIVE OFFICES › 9-B §1312. Branches and agencies of foreign banks

§1312. Branches and agencies of foreign banks
1.  Establishment.
A foreign bank that is or will become a Maine foreign bank and engages directly in the banking business outside the United States may, with the prior approval of the superintendent, establish a branch or agency. The establishment of a branch or agency may be de novo or through merger or acquisition.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
2.  Criteria for approval.
Applications for approvals required in subsection 1 must be filed pursuant to procedures established by the superintendent. Action on those applications must be taken in accordance with the requirements of section 252 and is subject to the standards set forth in section 253. Those applications are subject to the following additional criteria:
A. The foreign bank must directly engage in the banking business outside of the United States and be subject to comprehensive supervision or regulation on a consolidated basis by the appropriate authorities in its home country, or the superintendent finds that the appropriate authorities in the home country of the foreign bank are actively working to establish arrangements for the consolidated supervision of the bank; and   [PL 1997, c. 182, Pt. B, §3 (NEW).]
B. The foreign bank has provided the superintendent with adequate assurances that it will make available to the superintendent any information on the operations or activities of the foreign bank and any of its affiliates that the superintendent considers necessary to determine and enforce compliance with this Title and other applicable state law.   [PL 1997, c. 182, Pt. B, §3 (NEW).]
[PL 1997, c. 182, Pt. B, §3 (NEW).]
3.  Application fee.
An application for approval required in subsection 1 may not be considered complete by the superintendent unless accompanied by an application fee to be credited and used as provided in section 214. The superintendent shall establish the amount of the fee, which may not exceed $7,500.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
SECTION HISTORY
PL 1997, c. 182, §B3 (NEW).
2023 Maine Revised Statutes › TITLE 9-B: FINANCIAL INSTITUTIONS › Part 13: FOREIGN BANKS › Chapter 131: FOREIGN BRANCHES, AGENCIES AND REPRESENTATIVE OFFICES › 9-B §1313. Federal branches and agencies

§1313. Federal branches and agencies
1.  Permissibility of federal branches and agencies.
Nothing in this Title may be construed to prohibit the operation of a federal branch or a federal agency in this State.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
2.  No concurrent maintenance of federal branches or agencies.
No foreign bank authorized to operate a Maine branch or Maine agency pursuant to section 1312 may maintain concurrently a federal branch or federal agency in this State.
[PL 1997, c. 182, Pt. B, §3 (NEW).]
SECTION HISTORY
PL 1997, c. 182, §B3 (NEW).