reglab/statecodes huggingface dataset:
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-911. Investment in certain securities -- rulemaking

32-2-911. Investment in certain securities -- rulemaking.
(1) A mutual association may purchase, sell, underwrite, and hold investment securities that are obligations in the form of bonds, notes, or debentures, as provided in rules adopted by the department. In addition, unless limited by the department by rule, a mutual association may purchase, sell, underwrite, and hold those investment securities that are derivative transactions that federal savings associations are expressly authorized to purchase, sell, underwrite, and hold. A mutual association may hold without limit investment securities that are general obligations of the United States, obligations that are guaranteed fully as to principal and interest by the United States, or general obligations of any state.
(2) The department may adopt rules to implement this section.
History: En. Sec. 52, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-912. Mutual associations authorized to obtain insurance and make loans when approved by federal housing administrator

32-2-912. Mutual associations authorized to obtain insurance and make loans when approved by federal housing administrator.
Notwithstanding any other provisions of the law of this state restricting the amount of any loan in relation to the value of the real estate or restricting the term of any such loan or restricting the rate of such loan, it is lawful for any mutual association that has been approved as a mortgagee by the federal housing administrator to obtain insurance and to make loans secured by real estate as the federal housing administrator insures or makes a commitment to insure.
History: En. Sec. 53, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-913. Federal housing securities eligible collateral

32-2-913. Federal housing securities eligible collateral.
If collateral must or may be furnished by any state mutual association as security for the deposit of any funds and the collateral must or may be deposited with any official of the state pursuant to state law, mortgages insured and debentures issued by the federal housing administrator are considered eligible collateral for these purposes.
History: En. Sec. 54, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-914. Acceptance and issuance of drafts -- rulemaking

32-2-914. Acceptance and issuance of drafts -- rulemaking.
(1) A mutual association organized and existing under state law may accept for payment at a future date drafts drawn on it by its customers authorizing the holders of the drafts to draw drafts on it or its correspondents at sight or on time of the total amount of drafts accepted for any one person, firm, or corporation that does not at any one time exceed 20% of the capital of the accepting or issuing financial institution.
(2) The department may adopt rules to implement this section.
History: En. Sec. 55, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-915. Mutual association's responsibility to provide notice when funds become available for withdrawal

32-2-915. Mutual association's responsibility to provide notice when funds become available for withdrawal.
(1) A mutual association shall provide clear and conspicuous written notice of the time periods and exceptions to the periods concerning when funds become available for withdrawal as of right on deposit by check or similar instrument in the customer's deposit account. The notice must state the cutoff hour, if any, fixed by the mutual association after which an item is treated as being received at the opening of the next business day.
(2) This notice must be:
(a) provided to a potential customer prior to opening a deposit account; and
(b) posted in a conspicuous manner at each financial institution, automated teller machine location, and other device that accepts deposits.
(3) A deposit slip, envelope, or any other printed form furnished by the mutual association for use in connection with deposits must contain the following notice, printed in a conspicuous manner: "Your deposit may not be available for immediate withdrawal. Consult posted notices for further information."
History: En. Sec. 56, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-916. Certified checks

32-2-916. Certified checks.
(1) Whenever a check drawn on a mutual association is certified by any officer or employee of the mutual association, the amount of the check must be immediately charged against the account of the person, firm, or corporation drawing the check.
(2) It is unlawful for an officer or employee of a mutual association to certify a check drawn on the mutual association, unless at the time the check is certified the person, firm, or corporation drawing the check has on deposit with the mutual association an amount of money subject to the payment of the check equal to the amount specified in the check.
(3) An officer or employee who willfully violates the provisions of this section, reports to any device, or receives any fictitious obligation, directly or indirectly, in order to evade the provisions of this section is subject to the penalties set forth in 32-2-607(5).
History: En. Sec. 57, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-917. Deposit in name of minor

32-2-917. Deposit in name of minor.
Whenever a deposit is made in a mutual association by or in the name of a minor, the deposit must be held for the exclusive right and benefit of the minor and free from the control or lien of all other persons, except creditors, and must be paid, with any interest due, to the person in whose name the deposit was made. The receipt of the minor is a sufficient release or discharge for the deposit to the mutual association.
History: En. Sec. 58, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-918. Demand or time deposits

32-2-918. Demand or time deposits.
Demand deposits, within the meaning of this chapter, comprise all deposits payable within 7 days and all savings accounts and certificates of deposit that are subject to not less than 7 days' notice before payment.
History: En. Sec. 59, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-919. Safe deposit department

32-2-919. Safe deposit department.
A mutual association may conduct a safe deposit department. The liability of any mutual association for the safekeeping and protection of the contents of safety deposit boxes is determined by the contract endorsed on the receipt delivered to the renter of a box at the time of the rental. However, the obligation of the mutual association is limited to the exercise of ordinary diligence and care to protect the contents of the box from loss or damage by fire, theft, or other causes.
History: En. Sec. 60, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-920. Giving security for deposit prohibited -- exceptions

32-2-920. Giving security for deposit prohibited -- exceptions.
(1) It is unlawful for a mutual association to pledge, mortgage, or hypothecate to a depositor any of its real or personal property as security for a deposit, and any pledge, mortgage, or hypothecation made in violation of this section is unenforceable.
(2) This section does not apply to deposits of the money of the United States, public funds deposited in accordance with the provision of a depository act of this state or the United States, or bankruptcy estate funds or deposits, including deposits of receivers or trustees in bankruptcy, deposited under the discretion and supervision of a court of record of Montana or of the United States.
History: En. Sec. 61, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-921. Payments to foreign administrator

32-2-921. Payments to foreign administrator.
A mutual association doing business in this state may pay any money remaining to the credit of a deceased depositor or deliver any personal property in its possession belonging to the deceased depositor to an administrator or executor of the depositor duly appointed and qualified in another state, provided that no demand has been previously made by an administrator or executor appointed in any county of this state and the payment discharges the mutual association to make the same from its liability on account of the deposit.
History: En. Sec. 62, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-922. Calculation of profits

32-2-922. Calculation of profits.
Interest or commissions unpaid, although due or accrued, on debts owing to any mutual association may not be included in calculation of its profits, unless the mutual association keeps its books on a complete accrual basis. A mutual association that keeps it books on a complete accrual basis shall show on its books accrued interest receivable on notes, bonds, and other investments, unless the accrued interest is past due, and shall carry on its books accrued interest, taxes, and expenses payable.
History: En. Sec. 63, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-923. Past-due and doubtful paper

32-2-923. Past-due and doubtful paper.
A savings association carrying any bad debt or a debt of doubtful value as an asset shall, upon the request or demand of the department, collect the debt, put in in good bankable condition, or charge it out of its books.
History: En. Sec. 64, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-924. Reserve requirements

32-2-924. Reserve requirements.
(1) A mutual association shall maintain at all times a reserve of that percentage of its deposit liabilities as required by the appropriate federal regulator.
(2) The department may establish reserve requirements if the federal regulator discontinues reserve requirements.
(3) A mutual association whose reserve drops below the legal requirements shall report the matter to the department immediately and as often as the department asks for a report.
(4) When the reserve of a mutual association falls below the legal requirements, the mutual association may not increase its loans or discounts except by discounting or purchasing bill of exchange payable at sight or on demand, and the department shall notify a mutual association whose reserve is below the amount required to make good the reserve.
(5) In arriving at deposit liabilities with regard to mutual association deposits, the net balance of amounts due to and from other financial institutions must be used as the basis for ascertaining the deposit liability to mutual associations against which reserves are carried.
History: En. Sec. 65, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-925. Limitations on loans -- rulemaking

32-2-925. Limitations on loans -- rulemaking.
(1) The total loans or extensions of credit to a person, partnership, or corporation by a mutual association, including loans to a partnership and to the members of the partnership, may not exceed 15% of the mutual association's capital, plus an additional 10% of the mutual association's capital, if the amount that exceeds the mutual association's 15% general limit is fully secured by readily marketable collateral, as defined in 12 C.F.R. 32.2(v). To qualify for the additional 10% limit, the mutual association must perfect a security interest in the collateral under applicable law and the collateral must have a current market value at all times of at least 100% of the amount of the loan or extension of credit that exceeds the mutual association's 15% general limit.
(2) To the extent specified in regulations of the office of the comptroller of the currency, a mutual association may invest in, sell, or otherwise deal in the following loans and other investments without percentage of assets limitation:
(a) account loans -- loans on the security of its savings accounts and loans specifically related to transaction accounts;
(b) residential real property loans -- loans on the security of liens on residential real property;
(c) United States government securities -- investments in obligations of, or fully guaranteed as to principal interest by, the United States;
(d) federal home loan bank and federal national mortgage -- investments in the stock or bonds of a federal home loan bank or in the stock of the federal national mortgage association;
(e) federal home loan mortgage corporation instruments -- investments in mortgages, obligations, or other securities that are or have been sold by the federal home loan mortgage corporation pursuant to section 305 or 306 of the federal home loan mortgage corporation act; and
(f) other government securities -- investments in obligations, participations, securities, or other instruments issued by or fully guaranteed as to principal and interest by the federal national mortgage association, the student loan marketing association, the government national mortgage association, or any agency of the United States. A savings association may issue and sell securities that are guaranteed pursuant to section 306(g) of the National Housing Act.
(3) The commissioner may adopt rules to implement this section.
History: En. Sec. 66, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-930. Bonding of employees

32-2-930. Bonding of employees.
(1) The board of directors of a mutual association shall require bonding for all officers and employees of the mutual association whose duty includes the handling of money, notes, bonds, credits, and cash items and whose duties include bookkeeping or the making of entries in relation to the business of the mutual association and its customers.
(2) The board of directors shall, by order entered on the minute books of the board, designate the officers and employees to be bonded and the amount of bonds to be given. Action related to the personnel, the amount of bonds, and the surety company or sureties is subject to approval by the department, and the bonds must be in a form provided or approved by the department.
(3) The bonds must be approved by the president of the mutual association, and the president's or executive officer's action must be reported to the board of directors.
(4) All bonds required by this section must be kept in the custody of the mutual association subject to inspection by examiners from the department. However, as far as possible, they may not be placed in the custody of the officer or employee for whom the bond is given.
History: En. Sec. 67, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-931. Persons previously convicted -- rulemaking

32-2-931. Persons previously convicted -- rulemaking.
(1) Unless the commissioner provides written consent:
(a) a person who has been convicted of a criminal offense involving dishonesty or a breach of trust or money laundering or who has agreed to enter into a pretrial diversion or similar program in connection with a prosecution for such an offense may not:
(i) become or continue as an institution-affiliated party with respect to any mutual association;
(ii) own or control, directly or indirectly, any mutual association; or
(iii) otherwise participate, directly or indirectly, in the conduct of the affairs of any mutual association; and
(b) a mutual association may not permit any person referred to in subsection (1)(a) to engage in any conduct or continue any relationship prohibited under subsection (1)(a).
(2) A person who knowingly violates subsection (1)(a) is subject to the penalties in 32-2-607(5).
(3) The commissioner may adopt rules to implement this section.
History: En. Sec. 68, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-932. Sale of securities by officer to mutual association

32-2-932. Sale of securities by officer to mutual association.
(1) A director, officer, or employee of a mutual association may not, directly or indirectly, for the person's account, for the person, or as the partner or agent of others sell or transfer or cause to be sold or transferred to the mutual association of which the person is a director or officer any note or bond secured by any mortgage or trust deed on real estate or any contract arising from the sale of real estate, in which the director, officer, or employee is personally or financially interested, without a vote of the majority of the board of the mutual association, duly noted on the minutes of the meeting at which the transaction is decided on. The minutes must be signed by a majority of the board.
(2) Any director, officer, or employee of any mutual association who knowingly violates or consents to the violation of this provision is subject to the penalties in 32-2-607(5).
History: En. Sec. 69, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-933. Real estate that mutual associations may purchase, hold, or convey

32-2-933. Real estate that mutual associations may purchase, hold, or convey.
(1) A mutual association organized under the provisions of this chapter may purchase, hold, or convey real estate that:
(a) is for its accommodation in the transaction of its business, but the mutual association may not invest an amount exceeding 100% of its paid-up capital in the lot and building in which the business of the company is or is projected to be carried on, furniture, equipment and fixtures, vaults and safety vaults, and boxes necessary or proper to carry on its mutual association business if property held for future use as a mutual association office site is held pursuant to a detailed written business plan formally adopted by the directors of the mutual association;
(b) is mortgaged to in good faith by way of security for loans previously made or money due to the mutual association;
(c) is conveyed to the mutual association in satisfaction of debts previously contracted in the course of its business; or
(d) it purchases at sales under judgments, decrees, or mortgages held by the mutual association.
(2) The detailed written business plan required by subsection (1)(a) must include information outlining the manner in which the acquired real estate will be developed for future use as a mutual association office site, including but not limited to the costs of projected construction, furniture, and equipment and fixtures.
History: En. Sec. 70, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-934. Purchase of obligation of mutual association by officer

32-2-934. Purchase of obligation of mutual association by officer.
A director, officer, agent, or other employee of a mutual association may not, directly or indirectly for the person's own benefit, purchase, sell, or be interested in the purchase or sale of any obligation of the mutual association or of any assets of the mutual association for a sum less than the amount that appears on the face of the obligation or obligations purchased or sold. A person violating the provisions of this section shall, in addition to the general penalties of this chapter, forfeit to the state twice the nominal amount or face value of the obligations or assets purchased or sold.
History: En. Sec. 71, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-935. Fraud by director, officer, agent, or employee

32-2-935. Fraud by director, officer, agent, or employee.
A director, executive officer, agent, or employee of a mutual association is guilty of a felony if that person:
(1) knowingly receives or takes possession of any mutual association property, except in payment for a just demand, and with intent to defraud:
(a) fails to make or fails to cause or direct to be made a full and true entry of the receipt or possession in its books and account; or
(b) concurs in failing to make any material entry in its books and account;
(2) knowingly concurs in making or publishing any written report, exhibit, or statement of its affairs or pecuniary condition containing any material statement that is false; or
(3) having the custody of control of its books, willfully refuses or neglects to make a proper entry in the books of that mutual association as required by law, to exhibit the books, or to allow the books to be inspected and extracts to be taken from them by the department.
History: En. Sec. 72, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-936. Removal of directors, officers, or employees -- hearing

32-2-936. Removal of directors, officers, or employees -- hearing.
(1) A director, officer, or employee of a mutual association who is found by the department, after examination, to be negligent, dishonest, reckless, or incompetent or to have violated 32-2-821, 32-2-935, 32-2-938, or 32-2-939 must be removed from office by the board of directors of the mutual association on the written order of the department. If the directors neglect or refuse to remove the director, officer, or employee and any losses accrue to the mutual association by reason of the negligence, dishonesty, recklessness, or incompetency of the director, officer, or employee, the written order of the department is conclusive evidence of the negligence of the failure of the directors to act as provided in this section in any action brought against the board of directors by a depositor or creditor for recovery of losses.
(2) If the board of directors refuses to remove the director, officer, or employee in response to an order of the department, the board of directors may file a request for hearing pursuant to the Montana Administrative Procedure Act.
History: En. Sec. 73, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-937. Penalty for unlawful hypothecation of property received

32-2-937. Penalty for unlawful hypothecation of property received.
An officer or employee of a mutual association doing business in this state who, except in the manner authorized by law or the contract of the parties, pledges or in any way alienates any notes, stocks, bonds, mortgages, securities, or any other property coming into the officer's or employee's hands or into the possession of the mutual association as collateral, for safekeeping or in any other manner, and to which the mutual association has not acquitted full title, is guilty of theft and upon conviction must be punished as for other felonies.
History: En. Sec. 74, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-938. Concealing actions from directors

32-2-938. Concealing actions from directors.
An officer or employee of a mutual association who intentionally conceals from the directors of the association, or from a committee of the mutual association when the directors have delegated authority, any discount or loan made by the corporation or from its assets between the regular meetings of its board of directors or committee, the purchase of any security, the sale of any of its securities, or any guarantee, repurchase agreement, or any other agreement through which the corporation is obligated, during the same period, is subject to the penalties set forth in 32-2-607(5).
History: En. Sec. 75, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-939. Theft of funds by directors, officers, or employees

32-2-939. Theft of funds by directors, officers, or employees.
A director, officer, or employee of a mutual association who fraudulently appropriates or abstracts or misapplies any of the money, funds, credits, or property of the mutual association when owned by it or held in trust or who issues or puts forth any certificate of deposit, draws any order or bill of exchange, makes any acceptance, assigns any note, bond, draft, bill of exchange, mortgage, judgment, or decree with intent to injure or defraud the mutual association or any person or corporation or to deceive any officer of the mutual association, or any other person, or anyone appointed to examine the affairs of the mutual association or any other person who with like intent aids or abets any director, officer, or employee in the violation of this section is guilty of theft and upon conviction shall be imprisoned in the state prison for a period not to exceed 20 years or be fined an amount not to exceed $50,000, or both.
History: En. Sec. 76, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-940. False statement to obtain loan

32-2-940. False statement to obtain loan.
A person who makes a statement, knowing it to be false, for the purpose of obtaining for that person or for any other person, firm, corporation, or association a loan of money from a mutual association or for the purpose of gaining an extension of time for the payment of any debt due the mutual association shall be punished by a fine of not more than $1,000 or by imprisonment in the county jail for not more than 1 year, or both.
History: En. Sec. 77, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-941. Mutual association holidays

32-2-941. Mutual association holidays.
In addition to emergency closings authorized by 32-2-1030 through 32-2-1034, a mutual association in the state may remain closed and refrain from doing business on those legal holidays designated in 1-1-216.
History: En. Sec. 78, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-942. Transaction on holiday

32-2-942. Transaction on holiday.
No law of this state may affect the validity of, or render void or voidable, the payment, certification, or acceptance of a check or other negotiable instrument or any other transaction by a mutual association in this state because it was done or performed during any time other than regular banking hours or on a legal holiday. A mutual association in this state, which by law or custom is entitled to close at 12 noon on any Saturday or for the whole or part of any legal holiday, may not be compelled to remain open for transaction of business or to perform any of the acts or transactions in this section on any Saturday after 12 noon or any legal holiday except at its option.
History: En. Sec. 79, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-943. Closing on Saturdays authorized -- Saturday treated as holiday

32-2-943. Closing on Saturdays authorized -- Saturday treated as holiday.
A mutual association and a federal savings association incorporated or organized under the laws of the United States or a federal reserve bank may, at its election, remain closed and refrain from the transaction of business on Saturdays. Any Saturday on which a mutual association remains closed is, with respect to the mutual association, a holiday and not a business day. Any act authorized, required, or permitted to be performed on a Saturday at or by or with respect to a mutual association, including any federal savings association or federal reserve bank, may be performed on the next succeeding business days, and no liability or loss of any rights of any kind will result from such closing on Saturday or from the nonopening of any mutual association for the transaction of business on any Saturday under the authority of 32-2-943 through 32-2-945.
History: En. Sec. 80, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-944. Mutual association hours and business days

32-2-944. Mutual association hours and business days.
A mutual association may provide for its business hours or business days by giving reasonable notice to the public and providing a copy of the notice to the department.
History: En. Sec. 81, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-945. Interest payable at mutual association on Saturday -- how paid

32-2-945. Interest payable at mutual association on Saturday -- how paid.
When, by the terms of any note or obligation, interest is payable to a mutual association on any Saturday on which a mutual association is closed pursuant to the authority of 32-2-943 through 32-2-945, interest payable to the mutual association on that Saturday may be paid in the amount due on that Saturday on the next succeeding business day with the same effect as if paid to the mutual association on Saturday.
History: En. Sec. 82, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-950. Destruction of records -- rulemaking

32-2-950. Destruction of records -- rulemaking.
(1) Mutual associations are required to preserve or keep their records of customer accounts for at least 8 years after January 1 of the year following the time that the records are made. However, records showing unpaid balances in favor of depositors of a mutual association may not be destroyed. Liability may not accrue against a mutual association destroying any records, except records for which destruction is forbidden by this section, after the expiration of the time provided in this section.
(2) The department shall adopt rules providing for retention schedules for mutual association records other than those records listed in subsection (1).
History: En. Sec. 83, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-952. Admissibility of copies in evidence -- exception when original available

32-2-952. Admissibility of copies in evidence -- exception when original available.
Any photostatic, photographic, or microfilm reproductions, including enlargements, of any original records or files of a mutual association, whether in the form of an entry or entries in a book or any other form of record, are admissible in evidence in any court of competent jurisdiction in proof of an act, transaction, occurrence, or event if shown to be made in the regular course of business of the mutual association. Nothing in 32-2-950 through 32-2-954 may be construed to authorize the use of secondary evidence in administrative or court proceedings if original records are in existence and available for use in accord with the rules of evidence.
History: En. Sec. 85, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-953. Destruction or reproduction

32-2-953. Destruction or reproduction.
Destruction in the regular course of business includes destruction at any time after making reproductions. Reproductions made in the regular course of business include reproductions made at any time prior to the destruction of the original, in each case, if done in good faith and without intent to defraud.
History: En. Sec. 86, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 9. Operation and Regulation › 32-2-954. Application

32-2-954. Application.
The provisions of 32-2-950 through 32-2-954 are applicable to all records in existence on February 23, 1951, and to all records originating after that date and apply to all mutual associations organized under the laws of the state and to all federal savings associations located in the state, as far as applicable to the federal savings associations.
History: En. Sec. 87, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1001. Dissolution and disincorporation

32-2-1001. Dissolution and disincorporation.
(1) Mutual associations may be dissolved in the manner provided by the laws of this state applicable to the dissolution of other corporations. However, a mutual association may, on a vote of two-thirds of its members at a special meeting called for that purpose in accordance with its bylaws, voluntarily quit business and liquidate upon the payment of its debts or upon agreement with all of its creditors to a plan of liquidation.
(2) A mutual association that wishes to voluntarily liquidate shall apply to the department for permission to liquidate and, in addition to complying with the laws of this state governing the liquidation of corporations, shall comply in all respects with the requirements or rules of the department governing voluntary dissolution.
(3) The board of directors of a mutual association whose members have voted to place it in voluntary liquidation shall appoint a liquidating agent to wind up the affairs of the mutual association. The liquidating agent, on authority of the board of directors, may execute deeds for the transfer of real property and do all things necessary to carry out the proper liquidation of the mutual association.
(4) Nothing in this section prevents the department from taking charge at any time when in its opinion the interest of creditors is not being protected. The decision of the department in these matters is controlling.
History: En. Sec. 88, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1002. Grounds for closing mutual association

32-2-1002. Grounds for closing mutual association.
(1) If it appears to the department that any of the following situations have occurred, the department may, in its discretion, close the mutual association and take possession of all of the books, records, assets, and business of every description of the mutual association and hold and retain possession of them until the mutual association is authorized by the department to resume business or until its affairs are liquidated as provided in this chapter, and it shall do so in cases in which a mutual association comes into its possession voluntarily or in the manner provided by law. The situations are as follows:
(a) a mutual association has willfully violated its charter or a law of this state;
(b) a mutual association has willfully violated a general rule of the department, made in accordance with law;
(c) the capital of a mutual association is impaired or for any reason is below the amount required by state or federal law and has not been made good after notice, as provided by law, or, without that notice, in the event a majority of the board of directors of the mutual association notifies the department in writing that the impairment cannot be made good;
(d) a mutual association cannot meet or has failed to meet its liabilities as they become due in the regular course of business;
(e) a mutual association's reserve has fallen below the amount required by state or federal law and it has failed to make good that reserve within 30 days after being requested to do so by the department, without that notice, if a majority of the directors, in writing, notifies the department that the reserve cannot be made good within 30 days or if is continually allowing its reserve to fall below the required amount;
(f) a mutual association is conducting business in an unsafe and unauthorized manner or is in an unsafe and unsound condition;
(g) a mutual association has refused to submit its papers, books, and concerns to the inspection of the department; or
(h) an officer of a mutual association has refused to be examined under oath regarding the affairs, business, or concerns of any mutual association as they relate to solvency or matters having to do with the supervision by the department.
(2) The powers and authority conferred on the department by this section, except in cases of voluntary surrender, are discretionary and not mandatory. As long as the department acts in good faith, the department and its employees and agents may not be held liable civilly or criminally or on their official bonds for action taken under this section or for any failure to act under it.
History: En. Sec. 89, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1003. When mutual association insolvent

32-2-1003. When mutual association insolvent.
A mutual association is insolvent within the meaning of this chapter when its capital is absorbed in losses and the remaining assets are not sufficient to pay and discharge its contracts, debts, and engagements.
History: En. Sec. 90, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1004. Deposits in insolvent mutual associations

32-2-1004. Deposits in insolvent mutual associations.
(1) Except as otherwise provided by the Uniform Commercial Code, whenever a mutual association is insolvent in the manner set forth in this chapter, the mutual association may not accept or receive on deposit any money, financial bills or notes, United States treasury notes or currency, or other notes, bills, or drafts circulating as money or currency or transact any other business in connection with its operations, except as trustee for the depositors and parties transacting business with them, and it shall keep all such deposits of money, bills or notes, United States treasury notes or currency, or other notes, bills, or drafts circulating as money or currency separate and apart from the general assets of the mutual association from and after the date of the accrual of the insolvency. When the impairment or insolvency has been made good, the deposits received in trust may be transferred to the general assets of the mutual association on and by written consent of the department.
(2) If the insolvency is not made good, then all trust deposits must be returned to the depositors making them.
(3) An officer, director, cashier, manager, member, partner, or managing partner who knowingly accepts or receives, is accessory to, or permits or connives at the receiving or accepting of the trust deposits, except in the manner set forth in this section, is guilty of a felony and upon conviction shall be punished by a fine not exceeding $10,000 or imprisonment in the state prison for a term not exceeding 5 years, or both.
History: En. Sec. 91, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1005. Penalty for receiving deposits when insolvent or for making false statement

32-2-1005. Penalty for receiving deposits when insolvent or for making false statement.
(1) Any officer, agent, or clerk of a mutual association, knowing the mutual association to be insolvent, who receives money, bank bills, notes of the United States, or currency or other bills or drafts circulating as money or currency, except in the manner set forth in 32-2-1004, who subscribes or makes any false statements or entries in the books of the mutual association, who knowingly subscribes or exhibits any false paper with the intent to deceive any person authorized to examine as to the condition of the mutual association, or who willfully subscribes or makes false reports is subject to the penalties set forth in 32-2-607(5).
(2) Any person or the members of any partnership or mutual association who willfully or knowingly receive deposits, money, or commercial papers circulating as money, when the person, partnership, or mutual association is insolvent, or who subscribe or make any false statement or entries in the books of any such mutual association, who knowingly subscribe or exhibit any false papers with the intention of deceiving any person authorized to examine the condition of any mutual association provided for in this chapter, or who willfully subscribe or make false reports to the department are subject to the penalties set forth in 32-2-607(5).
History: En. Sec. 92, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1006. Power of closed mutual associations to borrow money from governmental agencies

32-2-1006. Power of closed mutual associations to borrow money from governmental agencies.
(1) Except as provided in subsection (2), after applying to and obtaining the approval of the department and the district court of the county in which the mutual association is located, the liquidating agents of closed mutual associations may borrow money from an agency of the federal government on behalf of mutual associations closed and in liquidation. As security for the loan, the liquidating agent may pledge or mortgage assets and properties for the purpose of paying depositors or creditors in part or in full.
(2) If the federal deposit insurance corporation is appointed as the liquidating agent, the reporting and district court approval requirements of subsection (1) do not apply.
History: En. Sec. 93, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1007. Corporate existence -- cessation

32-2-1007. Corporate existence -- cessation.
(1) The charters and the corporate existence of mutual associations cease automatically and become nonexistent upon the completion of liquidation of the affairs of the mutual association, whether accomplished voluntarily or through a legal process.
(2) For the purposes of this section, a mutual association's affairs are considered liquidated and completed when all of its property of every kind has been sold or applied toward the payment of its obligations and the corporation is left without property in existence or in reasonable expectancy.
History: En. Sec. 94, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1008. Taxes on mutual associations that have ceased to do business

32-2-1008. Taxes on mutual associations that have ceased to do business.
Whenever a mutual association ceases to do business as a mutual association, taxes may not be levied or collected in accordance with the laws governing the assessment of mutual associations but its property must be assessed in accordance with the laws governing the assessment of similar property of private corporations.
History: En. Sec. 95, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1009. Penalty for maliciously declaring mutual association insolvent

32-2-1009. Penalty for maliciously declaring mutual association insolvent.
If, as a result of malice or for personal gain, an employee or agent of the department declares a mutual association insolvent, the employee or agent forfeits the employee's or agent's office.
History: En. Sec. 96, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1010. Resumption after closing

32-2-1010. Resumption after closing.
After the department has taken possession of a mutual association, it may permit the mutual association to resume business following conditions approved by the department.
History: En. Sec. 97, Ch. 431, L. 2021.
2023 Montana Code Annotated › Title 32. Financial Institutions › Chapter 2. Mutual Savings and Loan Associations › Part 10. Dissolution, Closing, and Liquidation › 32-2-1011. Powers of department on closing mutual association -- court proceedings

32-2-1011. Powers of department on closing mutual association -- court proceedings.
(1) After taking the assets and business of a mutual association into its possession, the department is authorized to collect all money due to the mutual association and to do other acts necessary to conserve the mutual association's assets and business. The department shall proceed to liquidate the affairs of the mutual association.
(2) The department may, except as limited by the terms of this chapter, do any acts necessary or desirable for the protection of the property and assets of the mutual association, the speedy and economical liquidation of the assets and affairs of the mutual association, the payment of creditors, or the reopening and resumption of business when that is practicable or desirable.
(3) The department may institute, in its own name or in the name of the mutual association, legal proceedings it considers expedient for the purposes of subsection (1).
(4) (a) By applying to the district court of the county in which the mutual association is located or to the judge of that court, the department may obtain an order to sell, compromise, or compound any bad or doubtful debt or claim and to sell and dispose of any assets. The sale may be made to officers, directors, or others interested in the mutual association on the consent of the court.
(b) In the court proceedings, the mutual association must be made a party by notice issued on order of the court or judge, in place of summons, and served on an officer of the mutual association if there is an officer in the county.
(5) If the federal deposit insurance corporation is appointed as the liquidating agent, subsection (4) does not apply.
History: En. Sec. 98, Ch. 431, L. 2021.