reglab/statecodes huggingface dataset:
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 8 - Foreign Associations › Section 9-802 - General Prohibition; Exceptions

(a)    Except as provided under subsection (b) of this section, a foreign association or a savings and loan association that maintains its principal office outside this State may not:
(1)    Have an office for business in this State except for an office that was open for business in this State before June 1, 1955;
(2)    Have an electronic terminal in this State; or
(3)    Be admitted to do business in this State.
(b)    The prohibitions under subsection (a) of this section may not apply to any foreign association that:
(1)    (i)    In furtherance of an agreement with the State of Maryland Deposit Insurance Fund Corporation entered into on or before January 1, 1987, becomes a successor in interest to an association that:
1.    Was not federally insured on or before May 18, 1985;
2.    Was a “major association”, as defined under Title 10 of this article, on or before May 19, 1985; and
3.    Is not federally insured on or before April 1, 1986; and
(ii)    Operates the association as a federal association in this State;
(2)    Makes an acquisition in accordance with the provisions of Subtitle 10 of this title; or
(3)    Was operating an office for business in this State on July 1, 1987, in accordance with applicable State or federal law.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 8 - Foreign Associations › Section 9-803 - Relocation of Permitted Office

(a)    Subject to § 9-309 of this title and the approval of the Division Director, a foreign association or any savings and loan association that maintains its principal office outside this State may relocate an existing office in this State if:
(1)    The office was open on or before March 1, 1955; and
(2)    The relocation is within:
(i)    The same county; and
(ii)    A one-mile radius of the office to be relocated.
(b)    Any aggrieved foreign association or savings and loan association that applies to relocate its office under subsection (a) of this section may appeal a final order of the Division Director to the Circuit Court for Baltimore City.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 8 - Foreign Associations › Section 9-804 - Activities Not Considered Doing Business

(a)    For the purposes of this article and the Corporations and Associations Article, in addition to the activities listed in §§ 7–103 and 7–104 of the Corporations and Associations Article, the following activities of a foreign association do not constitute doing business or having tax situs in this State:
(1)    Making or investing in loans on property in this State;
(2)    Purchasing, acquiring, holding, selling, assigning, transferring, collecting, or enforcing by foreclosure or otherwise any whole or partial interest in any obligation secured by a mortgage or similar instrument, covering property in this State; or
(3)    Employing an attorney, surveyor, or appraiser in connection with any activity permitted by this section or the servicing and collection of any investment in this State through a corporation that is authorized to do business in this State.
(b)    Nothing in this section exempts a foreign corporation from the licensing requirements of Title 11, Subtitle 5 of this article.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-901 - Membership in Maryland Deposit Insurance Fund or Federal Savings and Loan Insurance Corporation

A savings and loan association shall become and participate as a member in and have its savings accounts insured by the Maryland Deposit Insurance Fund Corporation or the Federal Savings and Loan Insurance Corporation. If membership in both corporations ceases, the association shall be placed in receivership in accordance with § 9-708 of this title.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-903 - Mortgage Insurance Premiums

If a savings and loan association holds a first mortgage on residential property, and the mortgage is partially insured by a private mortgage insurance company, the association shall eliminate all charges to the mortgagor for mortgage insurance premiums when the mortgage is reduced to the level at which the federal Homeowners Protection Act of 1998 requires termination of the private mortgage insurance insuring the mortgage.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-904 - Exemption From Blue Sky Law

The sale of savings accounts of any savings and loan association in this State is exempt from all provisions of law of this State that provide for the supervision and regulation of the sale of securities. The sale of any accounts does not require any action by any official who supervises the sale of securities.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-908 - Termination of Certain Provisions of This Title

Subject to the evaluation and reestablishment provisions of the Program Evaluation Act, the provisions of this title that relate to the Division of Savings and Loan Associations and that relate to the regulation of savings and loan associations are of no effect and may not be enforced after July 1, 1992.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-909 - Notice

(a)    In this section, “payor institution” means a bank, credit union, or savings and loan association by which an item is payable as drawn or accepted.
(b)    As to each account of each depositor in a savings and loan association, the savings and loan association shall give to the customer, on opening of the account and on any later demand of the customer, written notice of the time after which the funds represented by an item deposited to the account shall be available for withdrawal as of right, for each of the situations where the association:
(1)    Is also the payor institution;
(2)    Is located in the same state as the payor institution; and
(3)    Is located in a different state from that in which the payor institution is located.
(c)    The notice shall also state the time after which the funds represented by an item become available for withdrawal as of right where the item is issued by:
(1)    The Maryland State Government or any agency thereof;
(2)    The United States Treasury; and
(3)    Any agency of the federal government.
(d)    The notice shall be printed in type no smaller than elite typewriter characters.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-911 - Persons Convicted of Crime

(a)    Except with the written consent of the Division Director, a person who has been convicted, or who is convicted, of any crime involving dishonesty or a breach of trust, may not ever serve as an officer or director of an association.
(b)    However, the pendency of an appeal from the conviction stays the operation of the prohibition of subsection (a) of this section until the appeal is decided or dismissed.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-912 - Civil Penalties; Directors, Officers, Employees, and Controlling Persons

(a)    (1)    Any director, officer, controlling person, or employee of a savings and loan association or related entity who is found to have violated any provision of this title or Title 8 of this article, whether willfully or as a result of gross negligence or recklessness, may be ordered to pay a civil penalty to the State of up to $10,000 for each violation.
(2)    In determining the amount of financial penalty to be imposed, the Division Director shall consider the following:
(i)    The seriousness of the violation;
(ii)    The good faith of the violator;
(iii)    The violator’s history of previous violations;
(iv)    The deleterious effect of the violation on the public and the savings and loan industry; and
(v)    The assets of the violator.
(b)    Prior to assessing a civil penalty, the Division Director shall serve by certified mail, return receipt requested, on the person to be charged, a notice containing:
(1)    The specifications of the charge; and
(2)    The time and place for a hearing to be held with respect to the charges, which may be not less than 20 days from the date of mailing the notice.
(c)    The Division Director shall conduct a hearing on the charges in accordance with the terms of § 8-402 of this article and rules adopted by the Division Director.
(d)    Following the hearing, or if the person charged does not appear, following the date of the hearing, the Division Director shall issue a final order pursuant to § 8-402 of this article.
(e)    An appeal may be taken from a final order of the Division Director to the Circuit Court for Baltimore City.
(f)    In addition to any of the other penalties and remedies set forth in this section, any person who is found to have financially gained from the violation of any provision of this title or Title 8 of this article, or regulations adopted by the Division Director, shall be required to forfeit the gain.
(g)    This section may not be construed to prevent any person damaged by a director, officer, controlling person, or employee of an association from bringing a separate cause of action in a court of competent jurisdiction.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-913 - Criminal Penalties

(a)    Except as otherwise provided in this section and in this title, any violation of any provision of this title or any regulation adopted in accordance with this title by a director, officer, controlling person, or employee of an association is punishable by a fine not to exceed $10,000, or imprisonment in the penitentiary for not more than 18 months, or both.
(b)    (1)    In addition to any of the remedies provided by this title or Title 8 of this article, the willful omission, making, or concurrence in making or publishing a written report, exhibit, or entry in a financial statement on the books of the association, which contains a material statement known to be false, upon conviction, is punishable by a fine not more than $100,000, or imprisonment in the penitentiary for not more than 10 years, or both.
(2)    For purposes of this subsection, “material” means “substantial and important as to influence a reasonable and prudent businessman or investor”.
(c)    In addition to any other remedies provided by this title or Title 8 of this article, the knowing declaration of a dividend in violation of § 9–324 of this title, upon conviction, is punishable by a fine not more than $100,000, or imprisonment in the penitentiary for not more than 10 years, or both.
(d)    Any officer, director, controlling person, agent, or employee of an association who makes a loan for his own use and benefit with an attempt to conceal that from the Division of Savings and Loan Associations, upon conviction, shall be fined not more than $100,000, or imprisoned in the penitentiary for not more than 10 years, or both.
(e)    Any officer, director, controlling person, agent, or employee connected in any capacity with an association who makes a false statement to an employee or agent of the Division of Savings and Loan Associations with the intent to deceive, upon conviction, shall be fined not more than $100,000, or imprisoned in the penitentiary for not more than 10 years, or both.
(f)    Any person who aids or abets any other person in the violation of the provisions of this title or Title 8 of this article as described in subsections (b), (c), (d), and (e) of this section, upon conviction, shall be fined not more than $10,000, or imprisoned in the penitentiary for not more than 1 year, or both.
(g)    The Division Director shall furnish to the Attorney General, or the proper prosecuting attorney, information obtained by the Division Director evidencing a violation of the laws relating to savings and loan associations and related entities.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-914 - Withdrawing Funds From Failing Institution

(a)    A controlling person, officer, or director may not withdraw funds or cause his funds or those of his immediate family or any other depositor to be withdrawn knowing that due to financial difficulties the association is about to suspend operations or go into conservatorship, receivership, reorganization, or liquidation.
(b)    Any controlling person, officer, or director who violates subsection (a) of this section, upon conviction, shall:
(1)    Be sentenced to imprisonment in the penitentiary for not more than 10 years;
(2)    Be fined not more than $100,000; and
(3)    Make full restitution.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-915 - Scope of Judicial Review

(a)    In any appeal of an order of the Division Director under this title or Title 8 of this article, the Division Director shall be considered a party and has the right to appeal any decision to the Court of Special Appeals or petition the Court of Appeals for a writ of certiorari.
(b)    Whether or not a hearing has been held on an order issued by the Division Director, the scope of judicial review of an appeal of an order of the Division Director shall be the same as provided in § 10-215 of the State Government Article.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-916 - Indemnification Prohibition

Notwithstanding any provision of law, a savings and loan association, holding company, or subsidiary may not indemnify any person who is fined under any criminal penalty provision of this title or Title 8 of this article or subject to any civil penalty under this title or Title 8 of this article.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 9 - Miscellaneous › Section 9-917 - Rules of Construction

In the interpretation and construction of this title and Title 8 of this article:
(1)    A reference to a statute or to a regulation issued by a government agency includes the statute or regulation with all amendments and supplements to the statute and any new statute or regulation substituted for such statute or regulation, as in force at the time of application of the provision in which such reference is made, unless the specific language or the context of the reference clearly includes only the statute or regulation as in force on the effective date of this section.
(2)    (i)    A power of an association provided in this title and Title 8 of this article that is subject to regulation of the Division Director may be exercised, subject to the provisions of this title and Title 8 of this article, in the absence of such regulation.
(ii)    A power of an association provided in this title and Title 8 of this article that is subject to approval of the Division Director may not be exercised in the absence of such written approval.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 10 - Regional Reciprocal Interstate Savings and Loan Acquisitions › Section 9-1002 - Scope of Subtitle

(a)    This subtitle sets forth the conditions under which an out-of-state association or out-of-state savings and loan holding company may acquire a Maryland association, a Maryland savings and loan holding company, an interstate association, or an out-of-state savings and loan holding company having a Maryland association subsidiary.
(b)    This subtitle does not authorize any acquisition other than an acquisition by an out-of-state association or an out-of-state savings and loan holding company.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 10 - Regional Reciprocal Interstate Savings and Loan Acquisitions › Section 9-1006 - Duties of Interstate Association or Out-of-State Savings and Loan Holding Company

(a)    An interstate association or an out–of–state savings and loan holding company that controls a Maryland association, a Maryland savings and loan holding company, an interstate association, or an out–of–state savings and loan holding company having a Maryland association subsidiary shall be subject to and be entitled to the benefits of those laws of this State and to the rules of its units relating to the acquisition, ownership, and operation of deposit–taking offices in Maryland, Maryland associations, and Maryland savings and loan holding companies.
(b)    An interstate association or an out–of–state savings and loan holding company that controls a Maryland association, a Maryland savings and loan holding company, an interstate association, or an out–of–state savings and loan holding company having a Maryland association subsidiary shall:
(1)    File with the Division Director copies of all regular and periodic reports that the savings and loan association or savings and loan holding company is required to file under § 13 or § 15(d) of the Securities Exchange Act of 1934, as amended, excluding any portions not required to be made available to the public;
(2)    Within 30 days of adoption, file with the Division Director a copy of its most recently adopted federal Community Reinvestment Act statement; and
(3)    File with the Division Director any other information the Division Director shall require by regulation, including the items required under the minimum reporting standards specified under § 9–1008(d) of this subtitle.
(c)    Within 30 days of receipt, the association or holding company shall submit to the Division Director a copy of the public portion of its most recent Community Reinvestment Act performance evaluation prepared by the federal regulatory agency that examines the association or holding company, together with a copy of any written response to the evaluation prepared by the association or holding company for its public Community Reinvestment Act file.
(d)    The Division Director shall promptly notify the General Assembly as provided under § 2–1257 of the State Government Article, and the Department of Legislative Services of any interstate association or out–of–state savings and loan holding company that controls a Maryland association, an interstate association, a Maryland savings and loan holding company, or an out–of–state savings and loan holding company wishing to acquire or having acquired a Maryland association subsidiary that fails to, or refuses to, submit information as required in this section.
(e)    (1)    Upon request, the Division Director shall make available to the public a copy of the documents submitted under subsections (b) and (c) of this section.
(2)    The Division Director may charge a reasonable fee to a person requesting a copy to help defray the costs of providing copies of the documents to the public.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 10 - Regional Reciprocal Interstate Savings and Loan Acquisitions › Section 9-1007 - Powers of Division Director

(a)    The Division Director may enter into cooperative agreements with any other savings and loan regulatory unit to facilitate the regulation of savings and loan associations and savings and loan holding companies doing business in this State.
(b)    The Division Director may accept reports of examinations and other records from any other unit instead of conducting its own examinations of interstate associations and associations controlled by savings and loan holding companies located in other jurisdictions.
(c)    The Division Director may take any action jointly with any other regulatory unit having concurrent jurisdiction over savings and loan associations and savings and loan holding companies in this State or may take action independently to carry out the responsibilities of the Division Director.
(d)    The Division Director may adopt regulations necessary to carry out the provisions of this subtitle.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 10 - Regional Reciprocal Interstate Savings and Loan Acquisitions › Section 9-1009 - Conversion to or From Federal or Regional Charter; Divestment by Associations Not Federally Chartered

(a)    An out-of-state association’s status as an out-of-state association shall not be affected by its conversion from a federal charter to a charter issued by a region jurisdiction, or by conversion from a charter issued by a region jurisdiction to a federal charter, so long as the out-of-state association otherwise continues to qualify as an out-of-state association in accordance with § 9-1001(i) of this subtitle.
(b)    An out-of-state association that is not a federally chartered association on and after June 30, 1992 shall divest itself of any deposit-taking offices in Maryland, in accordance with § 9-1006 of this subtitle.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1101 - "Mutual Association" Defined

In this subtitle, “mutual association” means an association that:
(1)    Is a corporation chartered under the laws of the State as a savings and loan association that does not have the authority to issue capital stock;
(2)    Is insured by the State of Maryland Deposit Insurance Corporation; and
(3)    Has assets of $15,000,000 or less or had total assets of less than $15,000,000 as of May 18, 1985.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1102 - Authority to Convert

A mutual association may convert to a credit union if:
(1)    Its members approve; and
(2)    Approval is granted by:
(i)    The Division Director; and
(ii)    The Commissioner.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1103 - Meeting of Members

(a)    If a mutual association wishes to convert to a credit union, the board of directors of the mutual association shall call a meeting of the members of the mutual association for the purpose of considering the proposal to convert.
(b)    The mutual association shall give notice of the meeting as provided in Title 2, Subtitle 5 of the Corporations and Associations Article.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1105 - Application to Convert; Examination; Audit

(a)    To convert to a credit union, the mutual association shall deliver to the Commissioner:
(1)    A written application for conversion in the form that the Maryland Department of Labor requires;
(2)    Any additional exhibits the Department may require;
(3)    Any filing fee set by the Department by regulation; and
(4)    Its proposed amended articles and bylaws.
(b)    Upon receipt of an application to convert, the Commissioner shall examine the mutual association.
(c)    The examination shall include, but not be limited to, the following:
(1)    The financial history and condition of the mutual association including:
(i)    The identification of overvalued assets, undisclosed nonperforming loans, and understated liabilities;
(ii)    The identification of assets that may become nonperforming assets upon conversion;
(iii)    The identification of loans in default and loans past due over 60 days;
(iv)    Review of material litigation affecting the mutual association, and the identification of significant judgments, orders or decrees affecting its financial status; and
(v)    Review of mortgage contracts, participating loans, and other commitments; and
(2)    The management of the association.
(d)    As a condition of approval of an application of conversion, the Commissioner may require a mutual association to have its books and records audited and certified under § 9–502 of this title.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1106 - Review and Approval of Application by Commissioner

(a)    In reviewing an application for conversion, the Commissioner shall determine:
(1)    Whether, after conversion, the credit union will be in sound financial condition and will be soundly managed; and
(2)    That no person will receive any inequitable gain or advantage by reason of the conversion.
(b)    An application for conversion may only be approved if it is found that:
(1)    The converting mutual association has met the requirements of Title 6 of this article;
(2)    The converting mutual association will qualify for share insurance by the Credit Union Insurance Corporation or the National Credit Union Administration Share Program;
(3)    The converting mutual association has credited to the reserve fund 6 percent of its risk assets; and
(4)    The public interest will be promoted by allowing the mutual association to convert to a credit union.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1107 - Effective Date of Conversion

(a)    On approval of the application for conversion, the applicant shall file an endorsed copy of the application with the State Department of Assessments and Taxation.
(b)    The mutual association becomes a credit union when the application and endorsed amended articles and bylaws by the State Department of Assessments and Taxation accepts the application for record.
(c)    The credit union shall certify the acceptance of the application and endorsed amended articles and bylaws by the State Department of Assessments and Taxation within 10 days of receiving the acceptance to the Commissioner.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1108 - Changes in Application or Exhibits; Actions of Commissioner Upon Approval or Denial of Application

(a)    The Commissioner may require any changes to the application or exhibits that the Department considers necessary.
(b)    If the application for conversion is denied, the Commissioner shall endorse and date a copy of the application “denied”, return it to the mutual association, and certify this action to the State of Maryland Deposit Insurance Fund Corporation.
(c)    If the application for conversion is approved, the Commissioner shall:
(1)    Sign, date, and endorse each copy of the application for conversion as “approved”;
(2)    Keep and record 1 copy of each endorsed application; and
(3)    Certify these actions taken to the share insurer.
2023 Maryland Statutes › Financial Institutions › Title 9 - Savings and Loan Associations › Subtitle 11 - Mutual Association Conversion to a Credit Union › Section 9-1109 - Membership

In addition to membership authorized in § 6-302 of this article, a credit union resulting from a conversion under this subtitle may permit individuals who, at the time of conversion, are members, savings account holders, directors, officers, employees, or borrowers of a mutual association, to become members of the resulting credit union.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-101 - Definitions

(a)    In this title the following words have the meanings indicated.
(b)    “Association” means a corporation or mutual association that is chartered under the laws of this State as a savings and loan association.
(c)    “Board” means the Board of Directors of the State of Maryland Deposit Insurance Fund Corporation.
(d)    “Division Director” means the Director of the Division of Savings and Loan Associations.
(e)    “Federal insurance” means insurance provided by the Federal Savings and Loan Insurance Corporation.
(f)    “Fund” means the State of Maryland Deposit Insurance Fund Corporation.
(g)    “Fund Director” means the Director of the State of Maryland Deposit Insurance Fund Corporation.
(h)    “Insured institution” means:
(1)    A national banking association, a federal savings bank, or a banking institution incorporated as a State bank, trust company, savings bank, or other similar institution, whether under the laws of this or any other state, the deposits of which are insured by the Federal Deposit Insurance Corporation; or
(2)    A federal savings and loan association, a federal savings bank, a savings and loan association, a building and loan association, or a similar institution incorporated under the laws of this or any other state, the deposits of which are insured by the Federal Savings and Loan Insurance Corporation.
(i)    “Major association” means an association with total assets of $40,000,000 or more.
(j)    “Member association” means an association that is a member of the State of Maryland Deposit Insurance Fund Corporation.
(k)    “Savings account” means a savings share account, a savings deposit account, or any other deposit in an association.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-103 - Appointment, Term, and Powers of Fund Director; Board of Directors

(a)    The Fund Director is appointed by the Governor.
(b)    The Fund Director serves at the pleasure of the Secretary of Labor.
(c)    For a period of 2 years after termination of employment with the Fund, if the Fund Director is employed by a savings and loan association that is insured by the Fund, or becomes a director, officer, attorney, or agent of a savings and loan association that is insured by the Fund, that individual may not:
(1)    Represent, formally or informally, the association in any judicial, administrative, or other proceeding in which:
(i)    The Fund is a party; and
(ii)    The former Fund Director substantially participated;
(2)    Participate in any application submitted to the Fund for the Division’s approval; or
(3)    Attempt to influence, or make any oral or written communication, on behalf of the association in any matter before the Fund relating to the association in which the individual participated personally and substantially as Fund Director.
(d)    All of the corporate powers of the Fund shall be exercised by the Fund Director.
(e)    (1)    The Board consists of 11 members.
(2)    Of the Board members:
(i)    3 shall be elected by the member associations, subject to the approval of the Secretary of Labor; and
(ii)    8 shall be appointed by the Governor.
(3)    (i)    From among its members, the Board shall elect a chairman.
(ii)    The Board may appoint officers as it considers advisable.
(4)    No officer or director of the Fund, whether appointed or elected, shall be personally liable on any contract legally entered into on behalf of the Fund unless the contract, by its terms, expressly obligates that officer or director.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-103.1 - Advisory Function of Board

(a)    The function of the Board is advisory.
(b)    The Board shall give the Fund Director sound and impartial advice on:
(1)    The approval or disapproval of applications by a member association;
(2)    The administration of the State of Maryland Deposit Insurance Fund;
(3)    Protection of the interest of the general public and of depositors in member associations; and
(4)    Any other matter concerning the business of member associations.
(c)    If the Fund Director does not follow the advice of the Board, the Fund Director shall send to the Board and the Secretary a written statement of the reason for the action.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-104 - Employees

(a)    The Fund Director may employ a staff in accordance with the State budget. The Fund Director and staff of the Fund are entitled to the salaries provided in the State budget. These salaries are not subject to the authority of the Secretary of Budget and Management.
(b)    Technical and professional employees are special appointments in the State Personnel Management System.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-108 - Conflicts of Interest -- in General

(a)    The Fund Director may not:
(1)    Be an officer or director of any State or federal savings and loan association; or
(2)    Engage in any other business relating to financial institutions.
(b)    (1)    The Fund Director may not own stock or be a depositor in any member association.
(2)    The employees of the Fund may not own stock in any member association.
(c)    Any person who violates any provision of this section is subject to dismissal.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-109 - Conflicts of Interest -- Other Prohibited Activities

(a)    Except as provided in subsection (b) of this section, the Fund Director and employees of the Fund may not:
(1)    Become indebted to any member association; or
(2)    Engage or be interested in the sale of securities of or in the negotiation of loans for others to or with any member association.
(b)    This section does not apply to a loan that a member association makes to a depositor if the loan is less than the amount of the deposit.
(c)    Any person who violates any provision of this section is subject to dismissal.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-110.1 - Final Determination of Insurable Loss

(a)    Upon final liquidation of a member association, the Fund Director shall:
(1)    Subject to subsection (b) of this section, determine the amount of insurable loss in the manner established by the rules and regulations of the Fund; and
(2)    Make provision for the payment or assumption of any insurable loss to each depositor less any payments made to, or accounts made available to, a depositor under subsection (c) of this section.
(b)    The determination of insurable loss under subsection (a)(1) of this section shall occur no later than 4 years from the date a member association is placed in receivership.
(c)    Subject to any other conditions established under law, if the Fund Director is reasonably satisfied that an insurable loss will be incurred upon final liquidation, in order to facilitate the payment of deposit insurance to depositors of a member association and to reasonably reduce the administrative costs of a liquidation, including demands on any hardship withdrawal plan, the Fund may, either upon final liquidation or earlier, and either from available moneys in the Fund or from any other State funds advanced to the Fund for that purpose:
(1)    Make a cash payment or payments or issue an obligation under a contract with one or more insured institutions with respect to the making available of insured accounts in an amount equal to all or any portion of the depositors’ savings accounts to any or all of the depositors of a member association in receivership;
(2)    Make a cash payment or payments, in an amount equal to all or any portion of the depositors’ savings accounts, to any or all of the depositors of a member association in receivership; or
(3)    Both.
(d)    Upon making a cash payment pursuant to a contract under subsection (c)(1) of this section or directly to a depositor under subsection (c)(2) of this section, or otherwise in satisfaction of its insurance obligation with respect to any depositor, the Fund shall be subrogated to all rights of the depositor, including its rights against the assets of the member association, its shareholders, directors, or officers, to the extent of the payment.
(e)    In proving its entitlement as a subrogee in any action, the Fund need only show proof of:
(1)    Reimbursement of a savings account holder, in part or in full, under this title; or
(2)    The making of payments or a capital contribution or the issuance of its obligations to an entity that assumes savings deposit or share account liabilities of a member association.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-110.2 - Advances by State to Fund; Money Recovered by Fund

(a)    Any moneys advanced by the State to the Fund from general or special funds or from the proceeds of general obligation bonds shall be maintained in a separate account and may not be subject to attachment or any other judicial process by any person.
(b)    Any moneys recovered by the Fund as insurer, subrogee, conservator, or receiver, and not required for the purposes of the Fund under this title or for the purposes of the Fund as a conservator or receiver, shall be distributed to the General Fund of the State.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-111 - Membership -- Applications; Certification by Division Director

(a)    (1)    Any association or the incorporators of a proposed association may apply to the Fund Director to become a member association.
(2)    The Fund Director shall refer each application received to the Division Director for certification of insurability.
(b)    If the Division Director approves the financial affairs, solvency, management, and board of directors of an association or proposed association for insurance of savings accounts, the Division Director shall so certify to the Fund Director.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-112 - Membership -- Effective Upon Approval; Withdrawal; Accumulated Earnings Retained

(a)    An association becomes a member when its application is approved by the Fund Director.
(b)    Subject to the terms and conditions adopted by the Fund Director, a member association may withdraw at any time from the Fund and have returned all or part of any capital advanced to the State of Maryland Savings-Share Insurance Corporation and all or part of any capital deposit required for membership in the Fund. All moneys and other assets of the former Maryland Savings-Share Insurance Corporation Central Reserve Fund shall continue to be segregated and maintained by the Fund to provide liquidity and are not subject to any insurance claim.
(c)    The net earnings of the Fund shall be accumulated for the benefit of the State and may not be returned to any member association.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-113 - Rules and Regulations; Withdrawal From Fund

(a)    The Fund Director shall adopt rules and regulations to carry out the provisions of this title.
(b)    (1)    Except as provided in subsection (c) of this section, the Fund Director may adopt rules and regulations providing for the payment of nonrefundable premiums instead of or in addition to capital deposits required for membership in the Fund and may issue instruments evidencing the interests of members in the Fund.
(2)    Except as provided in subsection (c) of this section, the total of premiums and capital deposits imposed on a member association may not be less than the comparable premiums, assessments, and capital deposits imposed for federal insurance.
(c)    If a member association withdraws from the Fund before the end of a period for which the association has been assessed or has paid an advance premium, the association shall receive a prorated credit or refund in an amount equal to the product of the premium paid or assessed multiplied by a fraction:
(1)    The numerator of which is the number of days remaining in the period after the association’s withdrawal; and
(2)    The denominator of which is the total number of days in the period.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-117 - Eligibility for Membership -- Major Associations

(a)    A major association is not eligible for new or continued membership in the Fund on or after June 1, 1985, unless it qualifies under subsection (b) of this section.
(b)    A major association may remain a member of the Fund only under the following circumstances:
(1)    If the major association has applied for federal insurance on or before June 1, 1985, it may remain a member:
(i)    For a period after June 1, 1985, of not more than 7 months, as determined by the Fund Director, if the Fund Director determines that there is a substantial likelihood that the major association will qualify for federal insurance; and
(ii)    For an extended period of not more than 3 months after its application for federal insurance has been denied, under terms and conditions as prescribed by the Fund Director, if the Fund Director determines that the interest of the savings account holders will not be jeopardized;
(2)    Whether or not the major association has applied for federal insurance, it may remain a member for a period after June 1, 1985, of not more than 1 year, as determined by the Fund Director, if it is owned or controlled, directly or indirectly, by an institution that is insured by the Federal Savings and Loan Insurance Corporation or the Federal Deposit Insurance Corporation and if that institution:
(i)    Guarantees the savings accounts of the major association; or
(ii)    Has entered into an agreement to acquire or merge with the major association; or
(3)    If the association was not a major association on the date it became a member of the Fund but later becomes a major association, for a period of not more than 1 year, as determined by the Director, from the date it became a major association.
(c)    (1)    If, at any time, the Fund Director determines that an association is being operated in an unsafe and unsound manner, or that there is not a substantial likelihood that a major association will qualify for federal insurance and that it is in the public interest, the Fund Director may exercise all of the powers of the Board of Savings and Loan Commissioners under Title 9, Subtitle 7 of this article to institute proceedings for the appointment of a conservator or a receiver.
(2)    Notwithstanding subsection (a) of this section, if proceedings have been instituted under this subsection, the association shall remain a member of the Fund until conclusion of the proceedings.
(3)    Notwithstanding subsection (a) of this section, a savings and loan association, the savings accounts of which are insured by the Maryland Savings-Share Insurance Corporation on May 16, 1985, that is a subsidiary of a corporation that owns another savings and loan association incorporated in another state, may continue to be insured by the Fund until July 1, 1987.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-118 - Eligibility for Membership -- Other Associations

(a)    (1)    An association that is not a major association and had total assets of at least $15,000,000 but less than $40,000,000 as of May 18, 1985, is not eligible for new or continued membership in the Fund on or after July 1, 1987.
(2)    An association that is not a major association and has total assets of less than $15,000,000 or had total assets of less than $15,000,000 as of May 18, 1985, is not eligible for new or continued membership in the Fund on or after July 1, 1989.
(b)    Notwithstanding subsection (a)(1) of this section, an association is eligible for continued membership in the Fund beyond its scheduled date of termination, but in no event beyond October 30, 1987, if the Fund Director and the Secretary of Labor find:
(1)    The association has made a good faith effort to obtain insurance from the Federal Savings and Loan Insurance Corporation or other federal agency;
(2)    There is a substantial likelihood that the association will qualify for federal insurance;
(3)    The failure to obtain federal insurance is not attributable to unjustified delay on the part of the association; and
(4)    The interest of the savings account holders will not be jeopardized.
(c)    Notwithstanding subsection (a) of this section, if a proceeding has been instituted under Title 9, Subtitle 7 of this article, the association shall remain a member of the Fund until conclusion of the proceedings.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-119 - Penalty for Submitting False Information

(a)    Any person who knowingly submits false information to the Fund is guilty of a misdemeanor.
(b)    A person who violates the provisions of subsection (a) of this section is subject to a fine of not more than $5,000, or imprisonment for not more than 5 years, or both.
2023 Maryland Statutes › Financial Institutions › Title 10 - State of Maryland Deposit Insurance Fund Corporation › Section 10-120 - Accrual of Certain Rights, Claims, and Liabilities of Fund to Successor Agency or Maryland Department of Labor

(a)    In addition to any other remedies available at law or equity, the Fund is vested with all claims and rights of the former Maryland Savings–Share Insurance Corporation against any person.
(b)    Notwithstanding any other provision of law, in any action of the Fund as insurer, subrogee, conservator, or receiver against a shareholder, director, officer, employee, agent, or other person contributing to a loss at a member association or to enforce the terms of a net worth certificate or similar obligation:
(1)    A judgment obtained by the Fund shall have priority over any other judgment lien on a defendant’s real or personal property without need for further perfection or execution thereon;
(2)    All attorneys’ fees, costs, and expenses of the Fund for the litigation shall be assessed as part of any judgment in favor of the Fund; and
(3)    All money recovered by the Fund as insurer or subrogee shall be first applied to repay any monetary advance by the State to the Fund, including any and all fees, costs, and expenses, to further the purposes of this title. Money so recovered shall be placed in a separate account and shall be transferred as specified under § 10–110.2 of this subtitle. The separate account is not subject to attachment or other judicial process by any person.
(c)    All rights, claims, and liabilities of the Fund accrue to any successor entity and, if a successor entity is not created by law, to the Maryland Department of Labor.