reglab/statecodes huggingface dataset:
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 187 - Multistate Trust Business › Subchapter C. Out-of-State Trust Institution Representative Trust Office › Section 187.202. Registration of Representative Trust Office

Sec. 187.202.  REGISTRATION OF REPRESENTATIVE TRUST OFFICE.  (a)  Except as provided by Subsection (e) with respect to a credit union, a savings association, or a savings bank, an out-of-state trust institution that does not maintain a branch or trust office in this state and that desires to establish or acquire and maintain a representative trust office shall:
(1)  file a notice on a form prescribed by the banking commissioner, setting forth:
(A)  the name of the out-of-state trust institution;
(B)  the location of the proposed office;  and
(C)  satisfactory evidence that the notificant is a trust institution;
(2)  pay the filing fee, if any, prescribed by law;  and
(3)  submit a copy of the resolution adopted by the board authorizing the representative trust office and a copy of the trust institution's registration filed with the secretary of state pursuant to Section 201.102.
(b)  The notificant may commence business at the representative trust office on the 31st day after the date the banking commissioner receives the notice unless the banking commissioner specifies an earlier or later date.
(c)  The 30-day period of review may be extended by the banking commissioner on a determination that the written notice raises issues that require additional information or additional time for analysis.  If the period of review is extended, the out-of-state trust institution may establish the representative trust office only on prior written approval by the banking commissioner.
(d)  The banking commissioner may deny approval of the representative trust office if the banking commissioner finds that the notificant lacks sufficient financial resources to undertake the proposed expansion without adversely affecting its safety or soundness or that the proposed office would be contrary to the public interests.  In acting on the notice, the banking commissioner shall consider the views of the appropriate supervisory agencies.
(e)  A credit union, savings association, or savings bank that does not maintain a branch in this state and desires to establish or acquire and maintain a representative trust office shall comply with this section, except that the notice required by Subsection (a) must be filed with, and the duties and responsibilities of the banking commissioner under Subsections (b)-(d) shall be performed by:
(1)  the Texas credit union commissioner, with respect to a credit union; or
(2)  the Texas savings and mortgage lending commissioner, with respect to a savings association or savings bank.
(f)  An out-of-state trust institution that fails to register as required by this section is subject to Subchapter C, Chapter 185.
Added by Acts 2001, 77th Leg., ch. 1420, Sec. 6.001(a), eff. Sept. 1, 2001.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 6.056, eff. September 1, 2007.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 187 - Multistate Trust Business › Subchapter D. Supervision of Out-of-State Trust Company › Section 187.301. Cooperative Agreements; Fees

Sec. 187.301.  COOPERATIVE AGREEMENTS;  FEES.  (a)  To carry out the purposes of this subtitle, the banking commissioner may:
(1)  enter into cooperative, coordinating, or information sharing agreements with another supervisory agency or an organization affiliated with or representing one or more supervisory agencies;
(2)  with respect to periodic examination or other supervision or investigation, accept reports of examination or investigation by, and reports submitted to, another supervisory agency in lieu of conducting examinations or investigations or receiving reports as might otherwise be required or permissible under this subtitle;
(3)  enter into contracts with another supervisory agency having concurrent regulatory or supervisory jurisdiction to engage the services of the agency for reasonable compensation to assist with the banking commissioner's performance of official duties under this subtitle or other law, or to provide services to the agency for reasonable compensation in connection with the agency's performance of official duties under law, except that Chapter 2254, Government Code, does not apply to those contracts;
(4)  enter into joint examinations or joint enforcement actions with another supervisory agency having concurrent regulatory or supervisory jurisdiction, except that the banking commissioner may independently take action under Section 187.305 if the banking commissioner determines that the action is necessary to carry out the banking commissioner's responsibilities under this subtitle or to enforce compliance with the laws of this state;  and
(5)  assess supervisory and examination fees to be paid by an out-of-state trust company that maintains one or more offices in this state in connection with the banking commissioner's performance of duties under this subtitle.
(b)  Supervisory or examination fees assessed by the banking commissioner in accordance with this subtitle may be shared with another supervisory agency or an organization affiliated with or representing one or more supervisory agencies in accordance with an agreement between the banking commissioner and the agency or organization.  The banking commissioner may also receive a portion of supervisory or examination fees assessed by another supervisory agency in accordance with an agreement between the banking commissioner and the agency.
Added by Acts 2001, 77th Leg., ch. 1420, Sec. 6.001(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 187 - Multistate Trust Business › Subchapter D. Supervision of Out-of-State Trust Company › Section 187.302. Examinations; Periodic Reports

Sec. 187.302.  EXAMINATIONS;  PERIODIC REPORTS.  (a)  To the extent consistent with Section 187.301, the banking commissioner may make examinations of a trust office or trust representative office established and maintained in this state by an out-of-state trust company pursuant to this chapter as the banking commissioner considers necessary to determine whether the office is being operated in compliance with the laws of this state and in accordance with safe and sound fiduciary practices.  Sections 181.104-181.106 apply to the examinations.
(b)  The finance commission may by rule prescribe requirements for periodic reports regarding a trust office or trust representative office in this state.  The required reports must be provided by the trust institution maintaining the office.  Reporting requirements under this subsection must be appropriate for the purpose of enabling the banking commissioner to discharge the responsibilities of the banking commissioner under this chapter.
Added by Acts 2001, 77th Leg., ch. 1420, Sec. 6.001(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 187 - Multistate Trust Business › Subchapter D. Supervision of Out-of-State Trust Company › Section 187.303. Interpretive Statements and Opinions

Sec. 187.303.  INTERPRETIVE STATEMENTS AND OPINIONS.  (a)  Subject to Subsection (b), to encourage the effective coordination and implementation of home state laws and host state laws with respect to interstate trust business, the banking commissioner, directly or through a deputy banking commissioner or department attorney in the manner provided by Sections 181.101 and 181.102, and with the effect provided by Section 181.103, may issue:
(1)  an interpretive statement for the general guidance of trust institutions in this state and the public;  or
(2)  an opinion interpreting or determining the applicability of the laws of this state to the trust business and the operation of a branch, trust office, or another office in this state of an out-of-state trust institution, or in other states by state trust companies.
(b)  With respect to the trust business of a credit union, savings association, or savings bank, the duties and responsibilities of the banking commissioner under Subsection (a) shall be performed by:
(1)  the Texas credit union commissioner, with respect to a credit union; or
(2)  the Texas savings and mortgage lending commissioner, with respect to a savings association or savings bank.
Added by Acts 2001, 77th Leg., ch. 1420, Sec. 6.001(a), eff. Sept. 1, 2001.  Amended by Acts 2001, 77th Leg., ch. 412, Sec. 3.14, eff. Sept. 1, 2001.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 6.057, eff. September 1, 2007.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 187 - Multistate Trust Business › Subchapter D. Supervision of Out-of-State Trust Company › Section 187.304. Confidential Information

Sec. 187.304.  CONFIDENTIAL INFORMATION.  Information obtained directly or indirectly by the banking commissioner relative to the financial condition or business affairs of a trust institution, other than the public portions of a report of condition or income statement, or a present, former, or prospective shareholder, participant, officer, director, manager, affiliate, or service provider of the trust institution, whether obtained through application, examination, or otherwise, and each related file or record of the department is confidential and may not be disclosed by the banking commissioner or an employee of the department except as expressly provided by Subchapter D, Chapter 181.
Added by Acts 2001, 77th Leg., ch. 1420, Sec. 6.001(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 187 - Multistate Trust Business › Subchapter D. Supervision of Out-of-State Trust Company › Section 187.305. Enforcement; Appeals

Sec. 187.305.  ENFORCEMENT;  APPEALS.  (a)  If the banking commissioner determines that an out-of-state trust company has violated this subtitle or other applicable law of this state, the banking commissioner may take all enforcement actions the banking commissioner would be empowered to take if the out-of-state trust company were a state trust company, except that the banking commissioner shall promptly give notice to the home state regulator of each enforcement action to be taken against an out-of-state trust company and, to the extent practicable, shall consult and cooperate with the home state regulator in pursuing and resolving the enforcement action.  An out-of-state trust company may appeal a final order or other decision of the banking commissioner under this subtitle as provided by Sections 181.202 and 181.204.
(b)  Notwithstanding Subsection (a), the banking commissioner may enforce this subtitle against a trust institution by appropriate action in the courts, including an action for injunctive relief, if the banking commissioner concludes the action is necessary or desirable.
Added by Acts 2001, 77th Leg., ch. 1420, Sec. 6.001(a), eff. Sept. 1, 2001.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 20 (S.B. 614), Sec. 29, eff. September 1, 2019.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 187 - Multistate Trust Business › Subchapter D. Supervision of Out-of-State Trust Company › Section 187.306. Notice of Subsequent Event

Sec. 187.306.  NOTICE OF SUBSEQUENT EVENT.  Each out-of-state trust company that has established and maintains an office in this state pursuant to this subtitle shall give written notice, at least 30 days before the effective date of the event, or, in the case of an emergency transaction, a shorter period before the effective date consistent with applicable state or federal law, to the banking commissioner of:
(1)  a merger or other transaction that would cause a change of control with respect to the trust company, with the result that an application would be required to be filed with the home state regulator or a federal supervisory agency;
(2)  a transfer of all or substantially all of the trust accounts or trust assets of the out-of-state trust company to another person;  or
(3)  the closing or disposition of an office in this state.
Added by Acts 2001, 77th Leg., ch. 1420, Sec. 6.001(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 199 - Miscellaneous Provisions › Section 199.001. Slander or Libel of State Trust Company

Sec. 199.001.  SLANDER OR LIBEL OF STATE TRUST COMPANY.  (a)  A person commits an offense if the person:
(1)  knowingly makes, circulates, or transmits to another person an untrue statement that is derogatory to the financial condition of a state trust company located in this state;  or
(2)  intentionally, to injure the state trust company, counsels, aids, procures, or induces another person to knowingly make, circulate, or transmit to another person an untrue statement that is derogatory to the financial condition of a state trust company located in this state.
(b)  An offense under this section is a state jail felony.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.16(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 199 - Miscellaneous Provisions › Section 199.002. Authority to Act as Notary Public

Sec. 199.002.  AUTHORITY TO ACT AS NOTARY PUBLIC.  A notary public is not disqualified from taking an acknowledgment or proof of a written instrument as provided by Section 406.016, Government Code, solely because of the person's ownership of stock or participation interest in or employment by a trust institution that is an interested party in the underlying transaction, including a state trust company or a trust institution organized under the laws of another state that lawfully maintains an office in this state.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.16(a), eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 6.023(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 199 - Miscellaneous Provisions › Section 199.003. Succession of Trust Powers

Sec. 199.003.  SUCCESSION OF TRUST POWERS.  (a)  If, at the time of a merger, reorganization, conversion, sale of substantially all of its assets under Chapter 182 or 187 or other applicable law, or sale of substantially all of its trust accounts and related activities at a separate branch or trust office, a reorganizing or selling state trust company is acting as trustee, guardian, executor, or administrator, or in another fiduciary capacity, a successor or purchasing trust institution with sufficient fiduciary authority may continue the office, trust, or fiduciary relationship:
(1)  without the necessity of judicial action or action by the creator of the office, trust, or fiduciary relationship;  and
(2)  without regard to whether the successor or purchasing trust institution meets qualification requirements specified in an instrument creating the office, trust, or fiduciary relationship other than a requirement related to geographic locale of account administration, including requirements as to jurisdiction of incorporation, location of principal office, or type of financial institution.
(b)  The successor or purchasing trust institution may perform all the duties and exercise all the powers connected with or incidental to the fiduciary relationship in the same manner as if the successor or purchasing trust institution had been originally designated as the fiduciary.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.16(a), eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 6.024(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 199 - Miscellaneous Provisions › Section 199.004. Discovery of Client Records

Sec. 199.004.  DISCOVERY OF CLIENT RECORDS.  Civil discovery of a client record maintained by a trust institution, including a state trust company or a trust institution organized under the laws of another state that lawfully maintains an office in this state, is governed by Section 59.006.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.16(a), eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 6.025(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle F - Trust Companies › Chapter 199 - Miscellaneous Provisions › Section 199.005. Compliance Review Committee

Sec. 199.005.  COMPLIANCE REVIEW COMMITTEE.  A trust company may establish a compliance review committee as provided by Section 59.009.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.16(a), eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 6.026(a), eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter A. General Provisions › Section 201.001. Scope of Subtitle

Sec. 201.001.  SCOPE OF SUBTITLE.  (a)  This subtitle:
(1)  sets forth the conditions under which a company may acquire a Texas bank or a Texas bank holding company, pursuant to the provisions of Chapter 202;
(2)  permits interstate branching under the Interstate Banking and Branching Efficiency Act pursuant to the provisions of Chapter 203;  and
(3)  provides for state regulation of the participation by foreign banks in the financial markets of this state, pursuant to the provisions of Chapter 204.
(b)  This subtitle is not intended to discriminate against out-of-state banks and bank holding companies in a manner that would violate the Interstate Banking and Branching Efficiency Act.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter A. General Provisions › Section 201.003. Rules

Sec. 201.003.  RULES.  (a)  The finance commission may adopt rules to accomplish the purposes of this subtitle, including rules necessary or reasonable to:
(1)  implement and clarify this subtitle in a manner consistent with and to the extent permitted by applicable federal law;
(2)  preserve or protect the safety and soundness of banking in this state;
(3)  grant at least the same rights and privileges to Texas state banks that are or may be granted to other depository institutions;
(4)  recover the cost of maintaining and operating the department and the cost of enforcing this subtitle by imposing and collecting ratable and equitable fees for supervision and regulation, including fees for notices, applications, and examinations;  and
(5)  facilitate the fair hearing and adjudication of matters before the commissioner and the finance commission.
(b)  In adopting rules, the finance commission shall consider the need to:
(1)  coordinate with applicable federal law;
(2)  promote a stable banking environment;
(3)  provide the public with convenient, safe, and competitive banking services;
(4)  preserve and promote the competitive position of Texas state banks with regard to other depository institutions consistent with the safety and soundness of Texas state banks and the Texas state bank system;  and
(5)  allow for economic development in this state.
(c)  The presence or absence in this subtitle of a specific reference to rules regarding a particular subject does not enlarge or diminish the rulemaking authority provided by this section.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 528, Sec. 28, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter A. General Provisions › Section 201.004. Law Applicable to Interstate Branches

Sec. 201.004.  LAW APPLICABLE TO INTERSTATE BRANCHES.  (a)  The laws of this state, including laws regarding community reinvestment, consumer protection, fair lending, and establishment of intrastate branches, apply to an interstate branch located in this state to the same extent the laws of this state would apply if the branch in this state were a branch of an out-of-state national bank in this state, except to the extent otherwise provided under federal law.  An out-of-state state bank that establishes an interstate branch in this state under this subtitle may conduct any activity at the branch in this state that is permissible under the laws of the bank's home state, to the extent the activity is permissible for a Texas state bank or for a branch of an out-of-state national bank in this state.
(b)  To the extent provided by Section 4.102(c), Business & Commerce Code, the laws of this state govern a deposit contract between a bank and a consumer account holder if the branch or separate office of the bank that accepts the deposit contract is located in this state.
(c)  Without limiting Subsection (a), for purposes of the laws of this state relating to authority to act as a fiduciary, depository of public funds, or custodian of securities pledged to secure public funds, or authority to engage in repurchase transactions with public entities, a legally operating interstate branch in this state is considered to be in, within, located in, authorized to do business in, domiciled in, and chartered in this state.
(d)  This subtitle does not limit or affect the authority of:
(1)  the home state regulator of a bank's home state to enforce any law applicable to a branch of an out-of-state state bank;
(2)  a law enforcement officer, a regulatory supervisor, other than the commissioner, or another official of this state to enforce the laws of this state applicable to a branch of an out-of-state state bank; or
(3)  this state to adopt, apply, or administer any tax or method of taxation to a bank, bank holding company, or foreign bank, or any affiliate of a bank, bank holding company, or foreign bank, to the extent that the tax or tax method is otherwise permissible by or under the United States Constitution or other federal law.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 940 (H.B. 1664), Sec. 20, eff. June 14, 2013.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter A. General Provisions › Section 201.007. Confidentiality

Sec. 201.007.  CONFIDENTIALITY.  Except as expressly provided otherwise in this subtitle, confidentiality of information obtained by the commissioner under this subtitle is governed by Subchapter D, Chapter 31, or, with respect to a state savings bank, Subtitle C, and may not be disclosed by the commissioner or an employee of the commissioner's department except as provided by Subchapter D, Chapter 31, or, with respect to a state savings bank, Subtitle C.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
Sec. 201.008.  NOTICE OF SUBSEQUENT EVENT.  Each out-of-state state bank that has established and maintains an interstate branch in this state pursuant to this subtitle shall give written notice to the commissioner, at least 30 days before the effective date of the event, or in the case of an emergency transaction, within a shorter period consistent with applicable state or federal law, of a merger or other transaction that would cause a change of control with respect to the bank or a bank holding company that controls the bank, with the result that an application would be required to be filed with the bank's home state regulator or a federal bank supervisory agency, including an application filed pursuant to the Change in Bank Control Act of 1978 (12 U.S.C. Section 1817(j)), as amended, or the Bank Holding Company Act (12 U.S.C. Section 1841 et seq.).
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter A. General Provisions › Section 201.009. Enforcement; Appeals

Sec. 201.009.  ENFORCEMENT; APPEALS.  (a)  If the commissioner determines that a bank holding company or a foreign bank has violated this subtitle or other applicable law of this state, the commissioner may take any enforcement action the commissioner would be empowered to take if the bank holding company or foreign bank were a Texas state bank, except that the commissioner shall promptly give notice to the home state regulator of each enforcement action taken against an out-of-state bank holding company or foreign bank and, to the extent practicable, shall consult and cooperate with the home state regulator in pursuing and resolving the enforcement action.  A bank holding company or foreign bank may appeal a final order or other decision of the commissioner under this subtitle as provided by Sections 31.202 and 31.204.
(b)  If the commissioner determines that an interstate branch maintained by an out-of-state state bank in this state is being operated in violation of a law of this state that is applicable to the branch under Section 24(j), Federal Deposit Insurance Act (12 U.S.C. Section 1831a(j)), including a law that governs community reinvestment, fair lending, or consumer protection, the commissioner, with written notice to the home state regulator and subject to the terms of any applicable cooperative agreement with the home state regulator, may take any enforcement action the commissioner would be empowered to take if the branch were a Texas state bank or state savings bank, as the case may be.  An out-of-state state bank may appeal a final order or other decision of the commissioner under this subtitle as provided by Sections 31.202 and 31.204, or as provided under Subtitle C with respect to a state savings bank.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 940 (H.B. 1664), Sec. 22, eff. June 14, 2013.
Acts 2013, 83rd Leg., R.S., Ch. 940 (H.B. 1664), Sec. 26, eff. June 14, 2013.
Acts 2019, 86th Leg., R.S., Ch. 20 (S.B. 614), Sec. 30, eff. September 1, 2019.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter A. General Provisions › Section 201.010. Taxation

Sec. 201.010.  TAXATION.  A bank subject to this subtitle is subject to the franchise tax to the extent provided by Chapter 171, Tax Code.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter A. General Provisions › Section 201.011. Severability

Sec. 201.011.  SEVERABILITY.  The provisions of this subtitle or the applications of those provisions are severable as provided by Section 311.032(c), Government Code.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter B. Registration of Financial Institutions › Section 201.101. Definitions

Sec. 201.101.  DEFINITIONS.  In this subchapter:
(1)  "Financial institution" means:
(A)  a bank as defined for any purpose by Section 201.002(a)(4), whether chartered under the laws of this state, another state, the United States, or another country, including a state savings bank;
(B)  a savings and loan association chartered under Chapter 62 or similar laws of another state;
(C)  a federal savings and loan association, federal savings bank, or federal credit union;
(D)  a credit union chartered under Chapter 122 or similar laws of another state;  or
(E)  a trust company chartered under the laws of this state or another state.
(2)  "Out-of-state financial institution" means a financial institution that:
(A)  is not chartered under the laws of this state;  and
(B)  has its main or principal office in another state or country.
(3)  "Texas financial institution" means a financial institution that:
(A)  is chartered under the laws of this state or under federal law;  and
(B)  has its main or principal office in this state.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 201 - General Provisions › Subchapter B. Registration of Financial Institutions › Section 201.102. Registration to Do Business

Sec. 201.102.  REGISTRATION TO DO BUSINESS.  An out-of-state financial institution must file an application for registration with the secretary of state, before operating a branch or other office in this state, by complying with the law of this state relating to foreign corporations doing business in this state, notwithstanding a provision in that law that purports to limit or prohibit its applicability to financial institutions.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 202 - Bank Holding Companies › Section 202.002. Limitation on Control of Deposits

Sec. 202.002.  LIMITATION ON CONTROL OF DEPOSITS.  (a)  The commissioner may not approve an acquisition if, on consummation of the transaction, the applicant, including all depository institution affiliates of the applicant, would control 20 percent or more of the total amount of deposits in this state held by depository institutions in this state.
(b)  The commissioner may request and the applicant shall provide supplemental information to the commissioner to aid in a determination under this section, including information that is more current than or in addition to information in the most recently available summary of deposits, reports of condition, or similar reports filed with or produced by state or federal authorities.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 202 - Bank Holding Companies › Section 202.003. Required Age of Acquired Bank

Sec. 202.003.  REQUIRED AGE OF ACQUIRED BANK.  (a)  An out-of-state bank holding company may not make an acquisition under this chapter if the Texas bank to be acquired, or any Texas bank subsidiary of the bank holding company to be acquired, has not been in existence and in continuous operation for at least five years as of the effective date of acquisition.
(b)  For purposes of this section:
(1)  a bank that is the successor as a result of merger or acquisition of all or substantially all of the assets of a prior bank is considered to have been in existence and continuously operated during the period of its existence and continuous operation as a bank and during the period of existence and continuous operation of the prior bank;  and
(2)  a bank effecting a purchase and assumption, merger, or similar transaction with or supervised by the Federal Deposit Insurance Corporation or its successor is considered to have been in existence and continuously operated during the existence and continuous operation of the bank with respect to which the transaction was consummated.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 202 - Bank Holding Companies › Section 202.004. Nonbanking Acquisition, Election, or Activity

Sec. 202.004.  NONBANKING ACQUISITION, ELECTION, OR ACTIVITY.  (a)  A bank holding company doing business in this state that submits an application, election, or notice to the Board of Governors of the Federal Reserve System under Section 4, Bank Holding Company Act (12 U.S.C. Section 1843), that involves or will involve an office location in this state shall submit to the commissioner a copy of the application, election, or notice when the application, election, or notice is submitted to the board of governors, including a notice or application to acquire a nonbanking institution, an election to be treated as a financial holding company, or a request, proposal, or application to engage in an activity that is or may be a financial activity or an activity incidental or complementary to a financial activity.  The bank holding company shall submit other information reasonably requested by the commissioner to determine the manner in which the acquisition, election, or activity will directly or indirectly affect residents of this state.
(b)  To assist in determining whether to disapprove the proposed acquisition, election, or activity, the commissioner may hold a public hearing as provided by Section 31.201, regardless of whether requested to do so by a person, regarding the proposed acquisition, election, or activity and its effect on this state.  The commissioner shall convene a hearing if the bank holding company requests a hearing in writing when it submits the application, election, or notice to the commissioner.
(c)  The commissioner shall disapprove the proposed acquisition, election, or activity if the commissioner determines that the acquisition, election, or activity would be detrimental to the public interest as a result of probable adverse effects, including undue concentration of resources, decreased or unfair competition, conflicts of interest, or unsound banking practices.
(d)  If the commissioner determines to disapprove the proposed acquisition, election, or activity, the commissioner may prepare and file a response to the application, election, or notice with the board of governors and may request that a hearing be held.  If the board of governors grants the request, the commissioner shall appear and present evidence at the hearing regarding the reasons the proposed acquisition, election, or activity should be denied.
(e)  If the board of governors approves a proposed acquisition, election, or activity that the commissioner disapproved, the commissioner may accept the decision or seek to overturn the decision on appeal as provided by Section 9, Bank Holding Company Act (12 U.S.C. Section 1848).
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 528, Sec. 30, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 202 - Bank Holding Companies › Section 202.005. Applicable Laws

Sec. 202.005.  APPLICABLE LAWS.  (a)  The commissioner may:
(1)  examine a bank holding company that controls a Texas bank to the same extent as if the bank holding company were a Texas state bank; and
(2)  bring an enforcement proceeding under Chapter 35 against a bank holding company or other person that violates or participates in a violation of Subtitle A, an agreement filed with the commissioner under this chapter, or a rule adopted by the finance commission or order issued by the commissioner under Subtitle A, as if the bank holding company were a Texas state bank.
(a-1)  The grounds, procedures, and effects of an enforcement proceeding brought under this section apply to a bank holding company, an officer, director, or employee of a bank holding company, or a controlling shareholder or other person participating in the affairs of a bank holding company in the same manner as the grounds, procedures, and effects apply to a state bank, an officer, director, or employee of a state bank, or a controlling shareholder or other person participating in the affairs of a state bank.
(b)  A Texas bank that is controlled by a bank holding company that is not a Texas bank holding company shall be subject to all laws of this state that are applicable to Texas banks that are controlled by Texas bank holding companies.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 867, Sec. 94, eff. Sept. 1, 2001.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 237 (H.B. 1962), Sec. 77, eff. September 1, 2007.
Acts 2011, 82nd Leg., R.S., Ch. 183 (S.B. 1165), Sec. 17, eff. May 28, 2011.
Acts 2015, 84th Leg., R.S., Ch. 422 (H.B. 3555), Sec. 14, eff. September 1, 2015.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 202 - Bank Holding Companies › Section 202.006. Financial Activities

Sec. 202.006.  FINANCIAL ACTIVITIES.  (a)  A financial holding company may engage in a financial activity or an activity incidental or complementary to a financial activity if the activity has been authorized by:
(1)  the Board of Governors of the Federal Reserve System under 12 U.S.C. Section 1843(k);  or
(2)  a rule adopted by the finance commission under Subsection (b).
(b)  The finance commission by rule may determine that an activity not otherwise approved or authorized under this chapter, federal law, or other law is:
(1)  a financial activity;
(2)  incidental to a financial activity;  or
(3)  complementary to a financial activity.
(c)  In adopting a rule under Subsection (b), the finance commission shall consider:
(1)  the purposes of this subtitle and the Gramm-Leach-Bliley Act (Pub.  L. No. 106-102);
(2)  changes or reasonably expected changes in the marketplace in which financial holding companies compete;
(3)  changes or reasonably expected changes in the technology for delivering financial services;
(4)  whether the activity is necessary or appropriate to allow a financial holding company to:
(A)  compete effectively with another company seeking to provide financial services;
(B)  efficiently deliver information and services that are financial in nature through the use of technological means, including an application necessary to protect the security or efficacy of systems for the transmission of data or financial transactions;  or
(C)  offer customers available or emerging technological means for using financial services or for the document imaging of data;  and
(5)  if otherwise determined to be permissible, whether the conduct of the activity by a financial holding company should be qualified through the imposition of reasonable and necessary conditions to protect the public and require appropriate regard for safety and soundness of the holding company's subsidiary banks and the financial system generally.
(d)  A determination by the board of governors under federal law or by a rule of the finance commission under this section does not alter or negate applicable licensing and regulatory requirements administered by a functional regulatory agency of this state.
Added by Acts 2001, 77th Leg., ch. 528, Sec. 31, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 203 - Interstate Bank Mergers and Branching › Section 203.001. Interstate Branching by Texas State Banks

Sec. 203.001.  INTERSTATE BRANCHING BY TEXAS STATE BANKS.  (a)  With the prior approval of the commissioner, a Texas state bank may establish and maintain a de novo branch or acquire a branch in a state other than Texas pursuant to Section 32.203.
(b)  With the prior approval of the commissioner, a Texas state bank may establish, maintain, and operate one or more branches in another state pursuant to an interstate merger transaction in which the Texas state bank is the resulting bank.  Not later than the date on which the required application for the interstate merger transaction is filed with the responsible federal bank supervisory agency, the applicant Texas state bank shall file an application on a form prescribed by the commissioner and pay the fee prescribed by law.  The applicant shall also comply with the applicable provisions of Sections 32.301-32.303.  The commissioner shall approve the interstate merger transaction and the operation of branches outside of this state by the Texas state bank if the commissioner makes the findings required by Section 32.302(b).  An interstate merger transaction may be consummated only after the applicant has received the commissioner's written approval.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 203 - Interstate Bank Mergers and Branching › Section 203.002. Conditions for Entry by De Novo Branching

Sec. 203.002.  CONDITIONS FOR ENTRY BY DE NOVO BRANCHING.  (a)  An out-of-state bank may establish a de novo branch in this state if:
(1)   the out-of-state bank confirms in writing to the commissioner that as long as it maintains a branch in this state, it will comply with all applicable laws of this state;
(2)  the applicant provides satisfactory evidence to the commissioner of compliance with the applicable requirements of Section 201.102; and
(3)  the commissioner, acting on or before the 30th day after the date the commissioner receives notice of an application under Subsection (b), certifies to the responsible federal bank supervisory agency that the requirements of this subchapter have been met.
(b)  An out-of-state bank desiring to establish and maintain a de novo branch shall provide written notice of the proposed transaction to the commissioner not later than the date on which the bank applies to the responsible federal bank supervisory agency for approval to establish the branch.  The filing of the notice must be accompanied by the filing fee, if any, prescribed by the commissioner.
(c)  A de novo branch may be established in this state through the acquisition of a branch of an existing Texas bank if the acquiring out-of-state bank complies with this section.
(d)  A depository institution may not establish or maintain a branch in this state on the premises or property of an affiliate if the affiliate engages in commercial activities, except as provided by Section 92.063(d).
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 217 (H.B. 944), Sec. 4, eff. May 25, 2007.
Acts 2013, 83rd Leg., R.S., Ch. 940 (H.B. 1664), Sec. 23, eff. June 14, 2013.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 203 - Interstate Bank Mergers and Branching › Section 203.003. Entry by Interstate Merger Transaction

Sec. 203.003.  ENTRY BY INTERSTATE MERGER TRANSACTION.  (a)  Subject to Section 203.004, one or more Texas banks may enter into an interstate merger transaction with one or more out-of-state banks under this chapter, and an out-of-state bank resulting from the transaction may maintain and operate the branches in this state of a Texas bank that participated in the transaction.  An out-of-state bank that will be the resulting bank in the interstate merger transaction shall comply with Section 201.102.
(b)  An out-of-state bank that will be the resulting bank pursuant to an interstate merger transaction involving a Texas state bank shall notify the commissioner of the proposed merger not later than the date on which it files an application for an interstate merger transaction with the responsible federal bank supervisory agency, and shall submit a copy of that application to the commissioner and pay the filing fee, if any, required by the commissioner.  A Texas state bank that is a party to the interstate merger transaction shall comply with Chapter 32 and with other applicable state and federal laws.  An out-of-state bank that will be the resulting bank in the interstate merger transaction shall provide satisfactory evidence to the commissioner of compliance with Section 201.102.
(c)  Repealed by Acts 2013, 83rd Leg., R.S., Ch. 940, Sec. 26, eff. June 14, 2013.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 940 (H.B. 1664), Sec. 24, eff. June 14, 2013.
Acts 2013, 83rd Leg., R.S., Ch. 940 (H.B. 1664), Sec. 26, eff. June 14, 2013.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 203 - Interstate Bank Mergers and Branching › Section 203.004. Limitation on Control of Deposits

Sec. 203.004.  LIMITATION ON CONTROL OF DEPOSITS.  (a)  An interstate merger transaction is not permitted if, on consummation of the transaction, the resulting bank, including all depository institution affiliates of the resulting bank, would control 20 percent or more of the total amount of deposits in this state held by all depository institutions in this state.
(b)  The commissioner may request and the applicant shall provide supplemental information to the commissioner to aid in a determination under this section, including information that is more current than or in addition to information in the most recently available summary of deposits, reports of condition, or similar reports filed with or produced by state or federal authorities.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle G - Bank Holding Companies; Interstate Bank Operations › Chapter 203 - Interstate Bank Mergers and Branching › Section 203.006. Additional Branches

Sec. 203.006.  ADDITIONAL BRANCHES.  An out-of-state bank that has established or acquired a branch in this state under this chapter may establish or acquire additional branches in this state to the same extent that a Texas state bank may establish or acquire a branch in this state under applicable state and federal law.
Added by Acts 1999, 76th Leg., ch. 344, Sec. 1.001, eff. Sept. 1, 1999.