AB150: Bill Text

AB150,1810,2 214.905 (1) (intro.) If an order under s. 214.90 specifies that the books and records of a savings bank are so incomplete and inaccurate that the commissioner department is unable to determine the financial condition of the savings bank or unable to determine the nature, details or purpose of any transaction that may have a material effect on the savings bank's financial condition, the commissioner department shall issue an order that requires all of the following:

AB150, s. 5488 Section 5488. 214.905 (1) (c) of the statutes is amended to read:

AB150,1810,5 214.905 (1) (c) Establishment of reserves for any losses that the commissioner department finds were incurred due to the condition of the books and records.

AB150, s. 5489 Section 5489. 214.905 (2) of the statutes is amended to read:

AB150,1810,9 214.905 (2) An order under sub. (1) shall be effective until the commissioner department determines through an examination that the condition has been corrected and rescinds the order.

AB150, s. 5490 Section 5490. 214.91 (1) (intro.) of the statutes is amended to read:

AB150,1810,13 214.91 (1) (intro.) The commissioner department may remove from a savings bank any employe, agent or person affiliated with the savings bank if the commissioner department finds that the person has done any of the following:

AB150, s. 5491 Section 5491. 214.91 (1) (a) of the statutes is amended to read:

AB150,1810,17 214.91 (1) (a) Directly or indirectly violated any state or federal law, regulation, rule or order or any agreement between the savings bank and the commissioner department or between the savings bank and the deposit insurance corporation.

AB150, s. 5492 Section 5492. 214.91 (2) (intro.) of the statutes is amended to read:

AB150,1811,2 214.91 (2) (intro.) The commissioner department may serve upon a savings bank employe, agent or person affiliated with the savings bank a written notice of the commissioner's department's intention to remove or suspend the person from office in the savings bank or to prohibit any further participation in any manner by that person in the conduct of the affairs of a savings bank or of a savings and loan association organized under ch. 215, if the commissioner department finds that, because of a violation permitting removal under sub. (1), any of the following conditions exists:

AB150, s. 5493 Section 5493. 214.915 (1) of the statutes is amended to read:

AB150,1811,10 214.915 (1) Except as provided in rules of the commissioner department, any person who has been removed or suspended from office in a savings bank or prohibited from participating in the conduct of the affairs of a savings bank under s. 214.90 may not, while an order is in effect, hold any office in or participate in any manner in the conduct of the affairs of another savings bank, savings bank subsidiary, affiliate, service corporation, savings bank holding company or state savings and loan association.

AB150, s. 5494 Section 5494. 214.92 of the statutes is amended to read:

AB150,1811,16 214.92 Effect of termination or resignation. The resignation, termination of employment, or separation of a person affiliated with a savings bank from the savings bank does not affect the authority of the commissioner department to issue an order under s. 214.90, 214.91 or 214.915 if the order is issued within 6 years after the person ceases to be a person affiliated with the savings bank.

AB150, s. 5495 Section 5495. 214.925 (1) of the statutes is amended to read:

AB150,1811,21 214.925 (1) Except with the prior written consent of the commissioner department, a person who has been convicted of a criminal offense involving dishonesty or a breach of trust may not participate, directly or indirectly, in any manner in the conduct of the affairs of a savings bank.

AB150, s. 5496 Section 5496. 214.93 of the statutes is amended to read:

AB150,1812,2 214.93 False statements. A person may not knowingly make, cause, or allow another person to make or cause to be made, a false statement, under oath if required by this chapter or on any report or statement required by the commissioner department or by this chapter.

AB150, s. 5497 Section 5497. 214.935 (intro.) of the statutes is amended to read:

AB150,1812,5 214.935 Civil forfeitures. (intro.) In addition to the enforcement authority granted to the commissioner department, the following forfeiture provisions apply:

AB150, s. 5498 Section 5498. 214.935 (1) of the statutes is amended to read:

AB150,1812,10 214.935 (1) Except as provided in sub. (2), any person who violates this chapter, any rule promulgated under this chapter or an order of the commissioner department may be required to forfeit not more than $10,000. Each day of continued violation constitutes a separate offense.

AB150, s. 5499 Section 5499. 215.01 (6) of the statutes is amended to read:

AB150,1812,13 215.01 (6) "Commissioner" " Department" means the commissioner of savings and loan department of financial institutions.

AB150, s. 5500 Section 5500. 215.01 (19) of the statutes is amended to read:

AB150,1812,18 215.01 (19) "Net income" means the gross income for a period less the aggregate of expenses, determined according to generally accepted accounting principles or an accounting standard or practice approved by the commissioner department.

AB150, s. 5501 Section 5501. 215.01 (20) (a) of the statutes is amended to read:

AB150,1812,24 215.01 (20) (a) In a stock association, the aggregate of capital stock, additional paid-in capital, retained earnings and other accounts designated as components of net worth by the commissioner department, determined according to generally accepted accounting principles or an accounting standard or practice approved by the commissioner department.

AB150, s. 5502 Section 5502. 215.01 (20) (b) of the statutes is amended to read:

AB150,1813,4 215.01 (20) (b) In a mutual association, the aggregate of retained earnings and other accounts designated as components of net worth by the commissioner department, determined according to generally accepted accounting principles or an accounting standard or practice approved by the commissioner department.

AB150, s. 5503 Section 5503. 215.01 (21) of the statutes is repealed.

AB150, s. 5504 Section 5504. 215.02 (title) of the statutes is repealed and recreated to read:

AB150,1813,7 215.02 (title) Department of financial institutions.

AB150, s. 5505 Section 5505. 215.02 (1), (2) and (3) of the statutes are repealed.

AB150, s. 5506 Section 5506. 215.02 (4) of the statutes is amended to read:

AB150,1813,14 215.02 (4) (title) Immunity of commissioner. The commissioner Employes of the department shall not be subject to any civil liability or penalty, nor to any criminal prosecution, for any error in judgment or discretion made in good faith and upon reasonable grounds in any action taken or omitted by the commissioner employe in the commissioner's department's official capacity.

AB150, s. 5507 Section 5507. 215.02 (5) of the statutes is amended to read:

AB150,1813,22 215.02 (5) Actions venue. Proceedings by any association to enjoin the commissioner department of financial institutions in the discharge of the commissioner's department's duties shall be had in the county where the savings and loan association is located, or in the state supreme court. All suits and proceedings arising out of this chapter, in which the state, or any of its officers or agents are parties, shall be conducted under the direction and supervision of the department of justice.

AB150, s. 5508 Section 5508. 215.02 (6) (a) (intro.) of the statutes is amended to read:

AB150,1814,4 215.02 (6) (a) (intro.) The commissioner and all All employes of the office department and members of the review board shall keep confidential all the facts and information obtained in the course of examinations by the office and all examination and other confidential information obtained from any state or federal regulatory authority, including an authority of this state or another state, for financial institutions, mortgage bankers, insurance or securities, except:

AB150, s. 5509 Section 5509. 215.02 (6) (a) 3. of the statutes is amended to read:

AB150,1814,10 215.02 (6) (a) 3. Under rules prescribed by the commissioner department, for the purpose of comparing notes as to matters affecting an association with an examiner of the federal home loan bank board or federal savings and loan insurance corporation as to any association whose savings accounts are insured by the federal savings and loan insurance corporation.

AB150, s. 5510 Section 5510. 215.02 (6) (a) 4. (intro.) of the statutes is amended to read:

AB150,1814,12 215.02 (6) (a) 4. (intro.) The commissioner department may:

AB150, s. 5511 Section 5511. 215.02 (6) (a) 4. a. of the statutes is amended to read:

AB150,1814,17 215.02 (6) (a) 4. a. Furnish to the federal home loan bank board or federal savings and loan insurance corporation or to any official or examiner thereof a copy of any examination made by the office department of any association or of any report made by such association and filed with the office department.

AB150, s. 5512 Section 5512. 215.02 (6) (a) 4. b. of the statutes is amended to read:

AB150,1814,23 215.02 (6) (a) 4. b. Give access to and disclose to the federal home loan bank board, federal savings and loan insurance corporation or to any official or examiner thereof any information possessed by the commissioner department about the conditions or affairs of any association whose savings accounts are insured by the federal savings and loan insurance corporation.

AB150, s. 5513 Section 5513. 215.02 (6) (a) 5. of the statutes is amended to read:

AB150,1815,4 215.02 (6) (a) 5. The commissioner department may give access to and disclose to an instrumentality insuring the savings accounts of an association, or to the official examiner of the instrumentality, any information possessed by the commissioner department about the conditions or affairs of the association.

AB150, s. 5514 Section 5514. 215.02 (6) (a) 6. of the statutes is amended to read:

AB150,1815,10 215.02 (6) (a) 6. The commissioner department may disclose to any regulatory authority of this state or another state for financial institutions, mortgage bankers, insurance or securities facts and information obtained in the course of examinations by the office department, if the regulatory authority agrees to keep the facts and information confidential.

AB150, s. 5515 Section 5515. 215.02 (7) (title) of the statutes is amended to read:

AB150,1815,12 215.02 (7) (title) Commissioner to issue orders; reasonable Orders and rules.

AB150, s. 5516 Section 5516. 215.02 (7) (a) of the statutes is amended to read:

AB150,1815,17 215.02 (7) (a) In addition to performing the duties prescribed in this chapter, the commissioner department shall, with the approval of the review board, issue orders prescribing reasonable rules for conducting the business of associations, subject to the requirements of ch. 227.

AB150, s. 5517 Section 5517. 215.02 (7) (c) of the statutes is amended to read:

AB150,1816,10 215.02 (7) (c) If the commissioner department, as a result of any examination or report made to the commissioner department, finds that any association is violating the provisions of the articles or bylaws of the association, or the laws of this state, or the laws of the United States, or any lawful rule or order promulgated by the commissioner department and review board or any order of the commissioner department, the commissioner department shall deliver a formal written order to the board of directors of the association in which the facts known to the commissioner department are set forth, demanding the discontinuance of the violation and, where applicable, order the association to institute corrective action thereon. The association affected by the order may within 10 days after the order has been delivered to the association request a review of the findings and order before the commissioner department, at which time any pertinent evidence may be presented. After review, the commissioner department, on the basis of the evidence presented and any matters of record in the office department's offices, shall continue, modify or set aside the order. The enforcement of any order issued under this paragraph shall be stayed pending review before the commissioner department, and during the period of any subsequent review under s. 215.04 (4).

AB150, s. 5518 Section 5518. 215.02 (7) (d) of the statutes is amended to read:

AB150,1816,17 215.02 (7) (d) Any association which wilfully violates par. (c) or any order issued thereunder shall, for each violation, forfeit not more than $250 per day for each day the violation continues. Assessment of any forfeiture shall become effective 20 days from the date of delivery of the order, 20 days from the date of review by the commissioner department, if requested, or 20 days from the date of the decision of the review board, if an appeal is taken pursuant to s. 215.04 (4).

AB150, s. 5519 Section 5519. 215.02 (8) of the statutes is amended to read:

AB150,1816,25 215.02 (8) Revocation of certificate of incorporation or license. Whenever it appears to the commissioner department of financial institutions that any association or corporation which has received a certificate of incorporation or a license to do business in this state is conducting its business in violation of this chapter, the commissioner department of financial institutions shall report the facts to the department of justice which may bring an action to revoke the certificate of incorporation or license of such association or corporation.

AB150, s. 5520 Section 5520. 215.02 (9) of the statutes is amended to read:

AB150,1817,8 215.02 (9) Approval of acts. Whenever any association requests approval of the commissioner department for any act, which by statute requires such approval, the commissioner department shall have 90 days in which to grant or deny such approval. If the commissioner department fails to act, approval shall be deemed to have been granted. In matters which require the holding of public hearings, the 90-day period shall not commence until the conclusion of the hearing and the date set by the commissioner department for receipt of briefs.

AB150, s. 5521 Section 5521. 215.02 (10) (a) 1. (intro.) of the statutes is amended to read:

AB150,1817,11 215.02 (10) (a) 1. (intro.) The commissioner department may remove an officer, director or employe of an association if either of the following applies:

AB150, s. 5522 Section 5522. 215.02 (10) (a) 1. b. of the statutes is amended to read:

AB150,1817,15 215.02 (10) (a) 1. b. The officer, director or employe violates or permits the violation of this chapter, a rule promulgated under this chapter or an order of the commissioner department.

AB150, s. 5523 Section 5523. 215.02 (10) (a) 2. of the statutes is amended to read:

AB150,1817,20 215.02 (10) (a) 2. The commissioner department may issue an order removing an officer, director or employe under subd. 1. only after the officer, director or employe is afforded a hearing before the review board and the review board approves the order.

AB150, s. 5524 Section 5524. 215.02 (10) (a) 3. of the statutes is amended to read:

AB150,1818,7 215.02 (10) (a) 3. An order of removal takes effect on the date issued. A copy of the order shall be served upon the association and upon the officer, director or employe in the manner provided by law for service of a summons in a court of record or by mailing a copy to the association and officer, director or employe at their last-known post-office addresses. Any removal under this subsection has the same effect as if made by the board of directors or the members or stockholders of the association. An officer, director or employe removed from office or employment under this subsection may not be elected as an officer or director of, or be employed by, an association without the approval of the commissioner department and the review board. An order of removal under this subsection is a final order or determination of the review board under s. 215.04 (6).

AB150, s. 5525 Section 5525. 215.02 (10) (b) of the statutes is amended to read:

AB150,1818,11 215.02 (10) (b) The commissioner department may appoint any person to fill the vacancies caused by removal of officers or directors. Any person so appointed shall hold office until the next annual meeting of the members or stockholders.

AB150, s. 5526 Section 5526. 215.02 (11) (a) of the statutes is amended to read:

AB150,1818,18 215.02 (11) (a) The commissioner department shall submit to the governor and the chief clerk of each house of the legislature for distribution to the legislature under s. 13.172 (2) an annual report on the general conduct and condition of associations doing business in this state. The report shall be based upon the individual annual reports of associations filed with the commissioner department, and shall also include the information required in ss. 215.32 (7) (a), 215.56 (7) (a) and 215.76 (7) (a).

AB150, s. 5527 Section 5527. 215.02 (11) (b) of the statutes is amended to read:

AB150,1818,22 215.02 (11) (b) The commissioner department shall designate the number of copies of the report to be made available for distribution. Each association is entitled to one copy.

AB150, s. 5528 Section 5528. 215.02 (12) of the statutes is amended to read:

AB150,1819,3 215.02 (12) Disposition of obsolete records. The commissioner department may turn over obsolete departmental records to the secretary of administration, pursuant to s. 16.61.

AB150, s. 5529 Section 5529. 215.02 (14) (title) of the statutes is amended to read:

AB150,1819,5 215.02 (14) (title) Fees for office publications.

AB150, s. 5530 Section 5530. 215.02 (14) (a) of the statutes is amended to read:

AB150,1819,12 215.02 (14) (a) Whenever extra copies of statutory reprints of this chapter, the annual report of savings and loan associations or any other publication published by the office department are requested, such extra copies shall be furnished upon payment of such fee as the commissioner department determines. All such fees shall be paid by the commissioner department into the general fund to the credit of the office department.

AB150, s. 5531 Section 5531. 215.02 (15) (a) 1. (intro.) of the statutes is amended to read:

AB150,1819,16 215.02 (15) (a) 1. (intro.) Within 10 days after any of the following petitions have been filed with the commissioner department, the commissioner department shall proceed to hear the same:

AB150, s. 5532 Section 5532. 215.02 (15) (b) of the statutes is amended to read:

AB150,1819,22 215.02 (15) (b) At the time and place so fixed, unless by stipulation some other time and place is fixed, the commissioner department shall hear all parties interested and shall cause the testimony given to be reduced to writing , or the commissioner may designate some person employed in the commissioner's office to take testimony, hear the petition and file the testimony with the commissioner.