2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 9 - Trust Companies › Section 58-9-11 - Discontinuing business; reorganization; continuing jurisdiction.

A. Whenever any corporation desires to discontinue doing a trust business and surrenders its certificate or if its certificate is suspended or revoked, the company shall continue to be subject to the Trust Company Act for so long as it acts as a fiduciary with respect to any trust business previously undertaken.
B. A trust company seeking to relinquish its certificate by liquidation shall file an application for dissolution with the director. The application shall include a comprehensive plan for dissolution setting forth the proposed disposition of all assets and liabilities in reasonable detail to effect a liquidation. The plan of dissolution shall provide for the discharge or assumption of all the trust company's known and unknown claims and liabilities and for the transfer of all its responsibilities as a trustee to a successor trustee or trustees. Additionally, the application for dissolution shall include other evidence, certifications, affidavits, documents or information as the director may require demonstrating how assets and liabilities will be disposed of, the timetable for effecting disposition of the assets and liabilities and the trust company's proposal for addressing any claims that are asserted after the dissolution has been completed. The director shall examine the application for completeness and compliance with the requirements of this section, the business entity laws applicable to the required type of dissolution and applicable rules. The director may conduct a special examination of the trust company for purposes of evaluating the application.
C. A trust company seeking to reorganize, including any change in ownership of the corporation of ten percent or greater, shall file an application for reorganization with the director. The application shall include a comprehensive plan for reorganization setting forth the proposed disposition of all assets and liabilities in reasonable detail to effect a reorganization. The plan of reorganization shall provide for the assumption of all the trust company's known and unknown claims and liabilities and for the transfer of all its responsibilities as a trustee to a successor trustee or trustees. Additionally, the application for reorganization shall include other evidence, certifications, affidavits, documents or information as the director may require demonstrating how assets and liabilities will be treated and the trust company's proposal for addressing any claims that are asserted after the reorganization has been completed. The director shall examine the application for completeness and compliance with the requirements of this section, the business entity laws applicable to the required type of reorganization and applicable rules. The director may conduct a special examination of the trust company for purposes of evaluating the application.
History:
1953 Comp., § 48-24-11, enacted by Laws 1973, ch. 191, § 11; 2018, ch. 64, § 10.
ANNOTATIONS
The 2018 amendment,
effective July 1, 2018, required any certified trust company seeking to cease doing business or to seeking to reorganize the trust company to submit filings with the financial institutions division detailing all aspects of the proposed shutdown or reorganization, provided that a trust company seeking to cease business operations or to reorganize shall be subject to a full examination by the financial institutions division, and made stylistic changes; in the catchline, added "reorganization"; and added new subsection designation "A.", and added Subsections B and C.