1. (a) (1) Except with the prior approval of the Commissioner, no subject institution shall, at any time before commencing business, appoint as an officer any person not named as such proposed officer in the application for authority to organize such subject institution.

   1. (2) An application by a subject institution for approval to appoint a person as an officer shall contain:

      1. (A) Name of the proposed officer.
      2. (B) Proposed title.
      3. (C) Description of duties to be performed by the proposed officer.
      4. (D) Amount of salary and description of other compensation to be paid to the proposed officer.
      5. (E) Personal financial statement in the form of Department Form 2, containing the information called for therein, dated as of a date within 90 days before the filing of the application, and signed by the proposed officer.
      6. (F) Confidential resume in the form of Department Form 3, containing the information called for therein, dated as of a date within 90 days before the filing of the application, and signed by the proposed officer.

      7. (G) Statement dated as of a date within 90 days before the filing of the application and signed by the proposed officer, stating:

         1. 1. Amount of shares of the subject institution for which the proposed officer has subscribed or intends to subscribe, the source of funds with which he intends to pay for such subscription, and, if any of such funds are to be borrowed, the amount to be borrowed and the source of funds with which he intends to repay such amount.
         2. 2. Whether or not, to the knowledge or information and belief of the proposed officer, any consociate of the proposed officer has subscribed or intends to subscribe for shares of the subject institution and, if so, the name, business address, home address, and business or occupation of the consociate, the amount of shares of the subject institution for which the consociate has subscribed or intends to subscribe, the source of funds with which he intends to pay for such subscription, and, if any of such funds are to be borrowed, the amount to be borrowed and the source of funds with which he intends to repay such amount.
         3. 3. Commercial banking, trust, other financial, and other business experience of the proposed officer, including, with respect to each position held, title, description of duties, name and address of employer, period of employment, and reason for leaving.
         4. 4. Whether or not the proposed officer has ever been discharged or requested to resign from any position, and, if so, an account of the circumstances.

2. (b) (1) Except with the prior approval of the Commissioner, no subject institution shall, at any time before commencing business, enter into any contract of employment with any officer.

   1. (2) An application by a subject institution for approval to enter into a contract of employment with an officer shall contain a copy of the proposed contract of employment.

      (c)(1) Except with the prior approval of the Commissioner, no subject institution shall, at any time before commencing business, commence to pay salary or other compensation to any officer.

   2. (2) An application by a subject institution for approval to commence to pay salary or other compensation to an officer shall contain:

      1. (A) Name and title of the officer.
      2. (B) Description of duties proposed to be performed by the officer.
      3. (C) Amount of salary and description of other compensation proposed to be paid to the officer.
      4. (D) Statement of reasons why it is necessary that the subject institution, before commencing business, pay salary or other compensation to the officer.

Note: Authority cited: Section 215, Financial Code. Reference: Chapter 3, Division 1 and Section 692, Financial Code.

History

1. Editorial correction of subsection (a)(1) printing error (Register 89, No. 8).

2. Repealer of subsections (a)(2)(G)4., subsection renumbering, amendment of subsection (c)(1), repealer of subsections (c)(3)-(c)(3)(D), and new Note filed 4-7-97; operative 4-7-97 pursuant to Government Code section 11343.4(d) (Register 97, No. 15).

3. Change without regulatory effect amending section filed 8-19-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 34).

4. Editorial correction restoring inadvertently omitted subsection (a)(2)(G)2. (Register 2022, No. 22).