- A. The director shall examine the condition of each state bank at least once in each twelve-month period. A report of examination shall be sent to the board of directors of the organization examined.
B. A bank may be examined within each eighteen-month period if:
- (1) the bank has total assets of less than two hundred fifty million dollars ($250,000,000);
- (2) the bank is well-capitalized;
- (3) when the bank was most recently examined, it was found to be well-managed, and its composite condition was found to be outstanding; or for a bank that has total assets of not more than one hundred million dollars ($100,000,000), it was found to be outstanding or good;
- (4) the bank is not subject to a formal enforcement proceeding or order; and
- (5) no person acquired control of the bank during the twelve-month period in which an examination would be required but for this subsection.
- C. Whenever the director deems it necessary, he may examine any corporation, the majority of the stock of which is owned by a state bank or which he finds is controlled by a state bank.
History: 1953 Comp., § 48-22-35, enacted by Laws 1963, ch. 305, § 35; 1995, ch. 190, § 9.
ANNOTATIONS
The 1995 amendment, effective June 16, 1995, substituted "director" for "commissioner" and "twelve-month period" for "calendar year" in Subsection A, added Subsection B, redesignated former Subsection B as Subsection C, and substituted "director" for "commissioner" in Subsection C.
Am. Jur. 2d, A.L.R. and C.J.S. references. — 10 Am. Jur. 2d Banks § 18.
Examination and supervision of banks by public officers as impairment of charter rights, 8 A.L.R. 898.
9 C.J.S. Banks and Banking § 10 et seq.