1. (1) Due to increased risk inherent in leveraged leasing, a depository institution may invest as a lessor in a leveraged lease provided that:

   1. (a) The aggregate of such leveraged leases does not exceed 30% of the depository institution's total capital at any point in time; and
   2. (b) The leveraged leases are separately identified.
2. (2) A depository institution shall not enter into a leveraged lease as a lessor, equity-participant unless the inherent tax benefits are useable by the depository institution.

3. (3) This rule does not preclude a depository institution from purchasing non-recourse interests in leveraged lease pools or joint ventures, provided that:

   1. (a) The aggregate of such participations or interests does not exceed 30% of the depository institution's total capital; and
   2. (b) The participations or interests are separately identified.

KEY: financial institutions, leases

Date of Last Change: March 9, 2012

Notice of Continuation: July 13, 2022

Authorizing, and Implemented or Interpreted Law: 7-1-301(4); 7-1-301(8)(a); 7-1-501