The TSGCU, pursuant to the Texas Credit Union Act, §11.10(e), may, in addition to the powers contained in the Texas Credit Union Act, §§4.01, 4.02, 10.01, and 10.02:

1. (1) purchase, hold, lease, receive, use, encumber, sell, exchange, transfer, lend, advance, convey, assign, give, grant, transmit, hypothecate, or dispose of property or funds of any description, nature, or kind or of any interest, rights, title, or privileges therein from or to any member credit union or any corporation, association, or person, provided that any gift, grant, or transfer of a similar nature shall be made only with the approval of the commissioner;
2. (2) declare and pay dividends on the membership investment fund;
3. (3) make any type of investment authorized by law;
4. (4) act under the order or appointment of any court of record, without giving bond, as guardian, receiver, trustee, executor, administrator, custodian, or as depository for any money paid into court for member credit unions; accept funds or money for deposit by fiduciaries, trustees, or receivers, if managing or holding funds in behalf of a member credit union; accept funds or money for deposit by building and loan associations, savings banks, and trust companies or insurance companies, if the membership or the primary ownership of the institutions, associations, or companies is confined or restricted to or for the benefit of member credit unions or organizations of member credit unions, or if the institutions, associations, or companies are designed to serve or otherwise assist operations of member credit unions; act as custodian of individual retirement accounts or of pension funds of member credit unions, or as trustee under pension and profit sharing plans of member credit unions;
5. (5) make deposits, purchase shares, and invest in legally chartered banks, trust companies, central credit unions, central-type credit union organizations, and savings and loan associations;
6. (6) impress a lien on the deposits, dividends, and interest of any member credit union to the extent of any loans made to the member credit union directly or indirectly, on which the member credit union is a surety, and for any other obligations due by the member credit union;
7. (7) make or issue, with the approval of the commissioner, a guarantee or other form of written assurance to the appropriate person, association, corporation, or other entity which is reasonably necessary to facilitate the sale, conveyance, assignment, transfer, or other disposition of all or any part of the property or assets of a member credit union, and otherwise assist in the merger, consolidation, conservation, suspension, or liquidation of a member credit union upon the request and under the instruction of the commissioner;
8. (8) advance funds, with or without interest, in accordance with agreed terms and conditions, to aid member credit unions to continue to operate and to maintain solvency or to maintain account balances with any financial institution in connection with the assumption of receivables from a member credit union, or to meet liquidity requirements;
9. (9) purchase from a member credit union any equitable or other interest in its assets at book value or at some other value mutually agreed upon by such member and the board of directors of the TSGCU, notwithstanding that either of such values may exceed the market value of the assets so purchased, and upon such terms and conditions as the board of directors of the TSGCU may determine, provided however that all such terms, conditions, agreements, and values are approved in writing by the commissioner;
10. (10) exercise any setoff or lien rights which a credit union may have when TSGCU is acting as conservator or liquidating agent for such credit union;
11. (11) exercise rights of subrogation to the extent of all rights the depositors or shareholders may have against such credit union to the extent of any payments made by TSGCU to the depositors or shareholders of such credit union including the right to receive the same dividends as would have been payable to the depositor or shareholder;
12. (12) raise any defense to the payment of a claim or an insured account which the credit union could have raised and payment of an insured account to any person by TSGCU shall discharge TSGCU to the same extent that payment to such person by the credit union would have discharged it from liability for the insured account;
13. (13) acquire a promissory note or other asset upon which a nonmember is liable, provided such acquisition is made, in the discretion of TSGCU, to protect an inferior lien held by TSGCU, a member of TSGCU, or a member of a member of TSGCU. Such acquisitions shall not be subject to the restrictions of §91.701 of this title (relating to Loans);
14. (14) exercise the powers granted corporations organized under the laws of this state and such other additional incidental powers not inconsistent with these sections and this Act, as may be necessary to enable the TSGCU to promote and carry on effectively its purposes;
15. (15) no agreement which tends to diminish or defeat the right, title, or interest of the TSGCU, in any asset acquired by it, either as security for a loan or by purchase, shall be valid against the TSGCU unless such agreement shall be in writing; shall have been executed by the credit union and the person or persons claiming an adverse interest thereunder, including the obligor, contemporaneously with the acquisition of the asset by the credit union; shall have been approved by the board of directors of the credit union, which approval shall be reflected in the minutes of said board; and shall have been, continuously, from the time of its execution, an official record of the credit union.

Source Note:The provisions of this §95.101 adopted to be effective March 8, 1984, 9 TexReg 1209; amended to be effective April 16, 1986, 11 TexReg 1648; amended to be effective February 16, 1989, 14 TexReg 691.