AB150: Bill Text

AB150,1865,24 215.50 (6) Oath of directors. Upon election, every director shall take and subscribe an oath that the director will diligently and honestly perform the duties of such office and will not knowingly violate or willingly permit to be violated this chapter, any rule of the commissioner department, the articles of incorporation or bylaws under which the association operates, or any other law applicable to savings and loan operations.

AB150, s. 5717 Section 5717. 215.50 (7) of the statutes is amended to read:

AB150,1866,6 215.50 (7) Directors to fix compensation. The compensation of officers, directors, employes and committee members shall be fixed by a majority vote of the board of directors in accordance with the bylaws. In addition, the board of directors may, by resolution, create a fund or join a pension system or enter into deferred compensation agreements for the retirement of its officers and employes, subject to specific, prior approval of the commissioner department and the review board.

AB150, s. 5718 Section 5718. 215.50 (10) of the statutes is amended to read:

AB150,1866,11 215.50 (10) Promulgation of rules. The board of directors, may by resolution, adopt rules and regulations for the conduct of business, provided that they are consistent with this chapter, the rules of the commissioner department, and the association's articles of incorporation and bylaws.

AB150, s. 5719 Section 5719. 215.50 (11) (a) of the statutes is amended to read:

AB150,1866,17 215.50 (11) (a) The board may remove a director who violates this chapter, the rules of the commissioner department, the articles of incorporation, the bylaws, orders of the commissioner department or any other law applicable to savings and loan operations. The board may remove a director only after affording the director a hearing.

AB150, s. 5720 Section 5720. 215.53 (1) (a) (intro.) of the statutes is amended to read:

AB150,1866,22 215.53 (1) (a) (intro.) With the consent of the commissioner department and subject to any condition that the commissioner department prescribes, a mutual association organized under this chapter may, by an affirmative vote of at least two-thirds of the board of each association, do any of the following:

AB150, s. 5721 Section 5721. 215.53 (1) (a) 4. of the statutes is amended to read:

AB150,1867,5 215.53 (1) (a) 4. Absorb a mutual savings and loan holding company or mutual savings bank holding company under a plan, approved by the commissioner department, that provides that the mutual savings and loan holding company or mutual savings bank holding company ceases to engage in activities that the absorbing association may not engage in and that provides that stock in a subsidiary association that is not held by the absorbed mutual savings and loan holding company or mutual savings bank holding company is redeemed.

AB150, s. 5722 Section 5722. 215.53 (3) of the statutes is amended to read:

AB150,1867,18 215.53 (3) Withdrawal requests. Any saver in an absorbed association or savings bank or in a subsidiary of an absorbed mutual savings and loan holding company or mutual savings bank holding company, who intends to file a written withdrawal request for savings accounts within one year after the date of approval of such absorption by the commissioner department, may do so by giving 90 days' written notice of such intention, and the savings accounts shall be withdrawn as provided in s. 215.17. Any person who has filed such written withdrawal request shall remain a member and be subject to all rights, privileges and duties under this chapter and the bylaws and the rules and regulations of the absorbing association or, if the absorbing association is a subsidiary of a mutual savings and loan holding company, of the mutual savings and loan holding company, until the withdrawal value of the savings accounts has been paid to the person.

AB150, s. 5723 Section 5723. 215.56 (1) (b) 1. of the statutes is amended to read:

AB150,1867,21 215.56 (1) (b) 1. Certified to the commissioner department under the seal of the association by its president and secretary;

AB150, s. 5724 Section 5724. 215.56 (2) of the statutes is amended to read:

AB150,1867,25 215.56 (2) Period of liquidation. A mutual association so liquidating shall dispose of all its assets within 10 years from the date of liquidation, unless the commissioner department orders otherwise.

AB150, s. 5725 Section 5725. 215.56 (6) of the statutes is amended to read:

AB150,1868,4 215.56 (6) Resumption of business. Any mutual association in liquidation may with the approval of the commissioner department resume business upon conditions approved by the commissioner department.

AB150, s. 5726 Section 5726. 215.56 (7) (a) of the statutes is amended to read:

AB150,1868,17 215.56 (7) (a) Unclaimed liquidating dividends and all funds remaining unpaid in the hands of the association or its board of directors at or immediately prior to the date of final distribution, together with all final liquidating costs, shall be delivered by them to the commissioner department to be deposited by the commissioner department in one or more state banks, state savings banks or state-chartered savings and loan associations, to the credit of the commissioner in the commissioner's name department, in trust for the various members and creditors entitled thereto. The commissioner department shall include in the annual report under s. 215.02 (11) the names of the associations so liquidated and the sums of unclaimed and unpaid liquidating dividends and unclaimed funds with respect to each of them respectively, including a statement of interest or dividends earned upon the funds.

AB150, s. 5727 Section 5727. 215.56 (7) (b) (intro.) of the statutes is amended to read:

AB150,1868,19 215.56 (7) (b) (intro.) The commissioner department may:

AB150, s. 5728 Section 5728. 215.56 (7) (b) 3. of the statutes is amended to read:

AB150,1868,22 215.56 (7) (b) 3. Apply the interest and dividends earned by the moneys so held toward defraying the expenses of the office department.

AB150, s. 5729 Section 5729. 215.56 (8) of the statutes is amended to read:

AB150,1869,3 215.56 (8) (title) Reserved authority of commissioner. This section shall not prohibit the commissioner department from proceeding against any association as provided in s. 215.32.

AB150, s. 5730 Section 5730. 215.57 (1) (b) of the statutes is amended to read:

AB150,1869,11 215.57 (1) (b) At such meeting, by the affirmative vote, in person or by proxy, of not less than two-thirds of the dollar value of savings accounts of the association the members may by resolution declare to convert such association into a federal association or into a state-chartered association. A copy of the minutes of such meeting, verified by the affidavit of the chairperson and the secretary of the meeting, shall be filed in the office of the commissioner with the department within 10 days after the meeting.

AB150, s. 5731 Section 5731. 215.57 (1) (d) 1. of the statutes is amended to read:

AB150,1869,19 215.57 (1) (d) 1. Within 6 months after the adjournment of a meeting to convert into a federal association, the association shall do what is necessary to make it a federal association. Within 10 days after the receipt of the federal charter, the association shall file with the commissioner department a copy of the federal charter certified by the federal home loan bank board. Upon such filing the association shall cease to be a state-chartered association and shall thereafter be a federal association.

AB150, s. 5732 Section 5732. 215.57 (1) (d) 2. of the statutes is amended to read:

AB150,1870,2 215.57 (1) (d) 2. Within 6 months after the adjournment of a meeting of the members of a federal mutual association called for the purpose of converting the association into a state-chartered association, the commissioner department shall examine such association and shall determine the action necessary to qualify the converting federal mutual association for a state charter. Upon complying with the necessary requirements, a state charter shall be issued to such association.

AB150, s. 5733 Section 5733. 215.57 (4) of the statutes is amended to read:

AB150,1870,7 215.57 (4) (title) Commissioner's approval Approval required before conversion becomes effective. Before any such conversion of any association shall be final and in effect, the written approval of the commissioner department must be secured by such association.

AB150, s. 5734 Section 5734. 215.58 (1) (a) of the statutes is amended to read:

AB150,1870,14 215.58 (1) (a) A state chartered mutual association may convert to a stock association or a mutual savings and loan holding company may convert to a stock savings and loan holding company under this section. The board shall adopt a plan of conversion which complies with this section and the rules of the commissioner department. The plan of conversion is subject to the approval of the commissioner department.

AB150, s. 5735 Section 5735. 215.58 (1) (b) of the statutes is amended to read:

AB150,1870,23 215.58 (1) (b) Conversion of a mutual association or a mutual savings and loan holding company under this section is effective only if done according to a plan of conversion approved by the commissioner department under par. (a) and if the plan is approved by an affirmative vote of the majority of all votes entitled to be cast by members. Notice of a meeting to vote on the plan of conversion shall be sent to each member at least 10 days prior to such meeting. The notice shall state the time, place and purpose of the meeting, and provide a summary of the plan of conversion and such other information as the commissioner department requires.

AB150, s. 5736 Section 5736. 215.58 (1) (c) (intro.) of the statutes is amended to read:

AB150,1871,2 215.58 (1) (c) (intro.) Within 10 days after a meeting of members at which a plan of conversion is adopted, the board shall submit to the commissioner department:

AB150, s. 5737 Section 5737. 215.58 (1) (c) 2. of the statutes is amended to read:

AB150,1871,5 215.58 (1) (c) 2. Such additional information pertaining to the plan of conversion as the commissioner department may require.

AB150, s. 5738 Section 5738. 215.58 (2) (intro.) of the statutes is amended to read:

AB150,1871,10 215.58 (2) (title) Commissioner's approval Approval of plan of conversion; standards. (intro.) The commissioner department may approve a plan of conversion under this section if the commissioner department finds that the plan meets all of the following conditions:

AB150, s. 5739 Section 5739. 215.58 (2) (c) of the statutes is amended to read:

AB150,1871,13 215.58 (2) (c) The plan complies with any other standard which the commissioner department may promulgate by rule as in the public interest.

AB150, s. 5740 Section 5740. 215.58 (3) of the statutes is amended to read:

AB150,1871,23 215.58 (3) Certificate of conversion; effective date. The commissioner department may issue a certificate of conversion from a mutual association to a stock association or from a mutual savings and loan holding company to a stock savings and loan holding company if the commissioner department determines the plan of conversion has been implemented as approved and the association or holding company has complied with this section and any conditions to the approval. The date specified in the certificate is the effective date of conversion. The certificate shall be recorded with the register of deeds in the county where the home office of the association or the registered office of the holding company is located.

AB150, s. 5741 Section 5741. 215.58 (6) (intro.) of the statutes is amended to read:

AB150,1872,3 215.58 (6) (title) Reserved authority of commissioner. (intro.) The commissioner department may issue rules governing the conversion of a mutual association or mutual savings and loan holding company, including:

AB150, s. 5742 Section 5742. 215.59 (1) (c) of the statutes is amended to read:

AB150,1872,9 215.59 (1) (c) Capital asset retention. Subject to the approval of the commissioner department, if the net worth of the stock association chartered under the reorganization plan exceeds the minimum net worth under s. 215.24, a plan may permit a mutual savings and loan holding company to retain capital assets of the reorganizing mutual association.

AB150, s. 5743 Section 5743. 215.59 (1) (d) 3. of the statutes is amended to read:

AB150,1872,11 215.59 (1) (d) 3. The commissioner department under par. (f).

AB150, s. 5744 Section 5744. 215.59 (1) (e) 1. of the statutes is amended to read:

AB150,1872,16 215.59 (1) (e) 1. Notice of a meeting to vote on a reorganization plan shall be sent to members at least 10 days before the meeting. The notice shall state the time, place and purpose of the meeting, shall provide a summary of the reorganization plan and shall provide any other information that the commissioner department requires.

AB150, s. 5745 Section 5745. 215.59 (1) (e) 3. of the statutes is amended to read:

AB150,1872,22 215.59 (1) (e) 3. Within 10 days after a reorganization plan receives member approval, the mutual association shall submit to the commissioner department a copy of the minutes of the meeting at which the plan is approved. The secretary of the mutual association shall certify that the minutes show that the members approved the reorganization plan.

AB150, s. 5746 Section 5746. 215.59 (1) (f) (intro.) of the statutes is amended to read:

AB150,1873,3 215.59 (1) (f) (title) Commissioner Department approval. (intro.) The commissioner department may approve a reorganization plan if the commissioner department finds that all of the following conditions exist:

AB150, s. 5747 Section 5747. 215.59 (1) (f) 3. of the statutes is amended to read:

AB150,1873,8 215.59 (1) (f) 3. The reorganization plan complies with rules promulgated by the commissioner department governing the reorganization of a mutual association into a mutual savings and loan holding company and the operation of a mutual savings and loan holding company.

AB150, s. 5748 Section 5748. 215.59 (1) (g) of the statutes is amended to read:

AB150,1873,21 215.59 (1) (g) Certificate of reorganization. If the commissioner department determines that the mutual association has complied with the requirements of this subsection and has implemented the reorganization plan as approved, the commissioner department shall issue a certificate of reorganization evidencing that the mutual association has been reorganized into a mutual savings and loan holding company. The date specified in the certificate shall be the effective date of reorganization. On the date specified in the certificate, the mutual association ceases to exist but its legal existence continues as a mutual savings and loan holding company. The certificate shall be recorded with the register of deeds in the county in which the home office of the mutual association was located and in the county in which the registered office of the mutual savings and loan holding company is located.

AB150, s. 5749 Section 5749. 215.59 (3) (a) 10. of the statutes is amended to read:

AB150,1874,3 215.59 (3) (a) 10. Unless limited or prohibited by the commissioner department, engage in any activity that the federal reserve board permits a bank holding company to engage in under 12 CFR 225, subpart C, promulgated pursuant to 12 USC 1843 (c) or any activity that the federal savings and loan insurance corporation authorized a multiple savings and loan holding company to engage in directly on March 5, 1987.

AB150, s. 5750 Section 5750. 215.59 (3) (a) 12. of the statutes is amended to read:

AB150,1874,11 215.59 (3) (a) 12. Dissolve itself and the stock association chartered under sub. (1) (b) 1. and convert itself and the stock association into a mutual association or mutual savings bank under a plan, approved by the commissioner department, that provides that the converting mutual savings and loan holding company ceases to engage in activities that the converted association or savings bank may not engage in and that provides that stock in a subsidiary association or savings bank that is not held by the converting mutual savings and loan holding company is redeemed.

AB150, s. 5751 Section 5751. 215.59 (4) of the statutes is amended to read:

AB150,1874,17 215.59 (4) Stock in subsidiary. Under a plan approved by the commissioner department, a stock association that is a subsidiary of a mutual savings and loan holding company may issue any number of nonvoting shares and less than 50% of the voting shares of the stock association to persons other than the mutual savings and loan holding company.

AB150, s. 5752 Section 5752. 215.60 (1) (c) of the statutes is amended to read:

AB150,1874,22 215.60 (1) (c) An association shall include the word "savings" in its name if its name includes the word "bank". This paragraph does not apply to an association name if the association obtained approval for use of the name from the commissioner department before February 12, 1992.

AB150, s. 5753 Section 5753. 215.60 (2) (intro.) of the statutes is amended to read:

AB150,1874,25 215.60 (2) Minimum requirements. (intro.) The commissioner department by rule shall determine:

AB150, s. 5754 Section 5754. 215.60 (2) (c) of the statutes is amended to read:

AB150,1875,3 215.60 (2) (c) Such other requirements as the commissioner department deems necessary or desirable.

AB150, s. 5755 Section 5755. 215.60 (3) of the statutes is amended to read:

AB150,1875,7 215.60 (3) Who may organize. Any individual who is a resident of this state may apply to the commissioner department for authority to incorporate a stock association under this section. The individual applying is the incorporator.

AB150, s. 5756 Section 5756. 215.60 (4) (h) of the statutes is amended to read:

AB150,1875,10 215.60 (4) (h) Such other information as the commissioner department requires.

AB150, s. 5757 Section 5757. 215.60 (5) of the statutes is amended to read:

AB150,1875,16 215.60 (5) Application fee. The incorporators shall pay to the commissioner department a $500 fee, which sum shall be paid by the commissioner department into the general fund to the credit of the office department. Applicants shall also be liable for any other direct costs incurred by the commissioner department or review board for any transcripts of hearings, per diems and travel expenses.

AB150, s. 5758 Section 5758. 215.60 (6) of the statutes is amended to read:

AB150,1875,21 215.60 (6) Notice of application and hearing thereon. Upon receipt of a properly executed application, the commissioner department shall, within 30 days, assign a date and place for hearing on the application and notice thereof shall be given as provided in s. 215.40 (7).

AB150, s. 5759 Section 5759. 215.60 (7) of the statutes is amended to read:

AB150,1876,4 215.60 (7) Certificate of authority; when issued. If the application to organize a capital stock association is approved, the commissioner department shall issue to the incorporators a certificate of authority to effect a temporary organization, consisting of a chairperson, a secretary and a treasurer; to adopt articles of incorporation; to adopt bylaws; to adopt rules for the procedure of the incorporators; to conduct meetings; and to open subscription books for the sale of capital stock and also open subscription books for savings accounts.

AB150, s. 5760 Section 5760. 215.60 (10) of the statutes is amended to read:

AB150,1876,9 215.60 (10) Certificate of authority, when voided. The certificate of authority as described in sub. (7) shall be void after 180 days from its date, but the commissioner department may, for cause, extend the life of the certificate for such time as the commissioner department deems advisable.