SB351,86,86
2. There is submitted to the commissioner by
such
the shareholders
, or a
7committee
duly selected by them, a plan for the reorganization and reinstatement
8of
such the credit union
, and.
SB351,86,109
4. The commissioner recommends that control of the business and property of
10such the credit union be returned to the shareholders
, and.
SB351,86,1411
5. The court in which
such the liquidation is pending, upon application of the
12commissioner, makes an order approving the commissioner's recommendations,
13which order shall contain a finding that
such the credit union will be in a safe and
14sound condition when control is resumed by the shareholders.
SB351, s. 273
15Section
273. 186.29 (12) of the statutes is renumbered 186.235 (11) (n) and
16amended to read:
SB351,87,317
186.235
(11) (n)
Reinstatement upon restricted basis. Such In addition to the
18procedure under par. (m), a credit union may
also resume business upon a restricted
19basis, and upon such limitations and conditions as may be prescribed by the
20commissioner when approved by the circuit court
in and for the county in which
such 21the credit union is located, upon application of the commissioner.
Such The 22restrictions and conditions may include
, among others, a prohibition against the
23selling of new shares, reasonable restrictions upon withdrawals and the payment of
24other liabilities.
Such On approval, the credit union shall
thereupon be relieved from
25the control and supervision of the commissioner
as provided in this section, but
1nothing herein shall, in any manner, the approval does not prohibit the
2commissioner from again proceeding against
such the credit union
as provided
3herein if conditions warrant the commissioner's action.
SB351, s. 274
4Section
274. 186.29 (13) of the statutes is renumbered 186.235 (11) (p) and
5amended to read:
SB351,87,176
186.235
(11) (p)
Liquidating dividends and unclaimed funds. 1. The special
7deputy commissioner shall deposit unclaimed liquidating dividends and unclaimed
8funds remaining unpaid in the hands of the special deputy commissioner for 6
9months after the order for final distribution in
one or more a corporate central credit
10unions union in the commissioner's name in trust for the shareholders and creditors
11of the liquidated credit union. The commissioner shall annually report to the
12governor and the chief clerk of each house of legislature for distribution to the
13legislature under s. 13.172 (2) the names of credit unions of which the commissioner
14has taken possession and liquidated, and the sums of unclaimed and unpaid
15liquidating dividends and unclaimed funds with respect to each of the credit unions
16respectively, including and include a statement of interest earned upon
such those 17funds.
SB351,88,218
2. The commissioner may pay over the
moneys so funds held by the
19commissioner
under subd. 1. to the persons
respectively entitled
thereto to the funds,
20upon being furnished satisfactory evidence of their right to the
same funds. In case
21of doubt or conflicting claims, the commissioner may require an order of the circuit
22court authorizing
and directing the payment
thereof. The commissioner may apply
23the interest earned by the
moneys so held by the commissioner towards funds toward 24defraying the expenses in the payment and distribution of
such unclaimed
1liquidating dividends and
unclaimed funds to the stockholders and creditors entitled
2to receive the
same dividends and funds.
SB351,88,103
3.
After one One year
from after the
time date of the order for final distribution,
4the commissioner shall report and deliver to the state treasurer all unclaimed funds
5as provided in ch. 177. All claims subsequently arising shall be presented to the
6commissioner. If the commissioner determines that any claim should be allowed,
he
7or she the commissioner shall certify to the department of administration the name
8and address of the person entitled to payment and the amount
thereof of the payment 9and shall attach the claim to the certificate. The department of administration shall
10certify the claim to the state treasurer for payment.
SB351, s. 276
12Section
276. 186.31 of the statutes is amended to read:
SB351,88,23
13186.31 (title)
Consolidation of credit unions Mergers. (1) (title)
Transfer
14of assets and liabilities. Any credit union, which is in good faith winding up its
15business for the purpose of
consolidating merging with
some other another credit
16union, may transfer its assets and liabilities to the credit union with which it is in
17the process of
consolidation merging; but no
consolidation merger may be made
18without the consent of the commissioner, and not then to defeat or defraud any of its
19creditors in the collection of debts against such credit union.
No consolidation may
20be carried out without the consent of the Wisconsin credit union savings insurance
21corporation if it protects or guarantees the accounts of any credit union participating
22in the consolidation, or the national board if it insures the shares of any credit union
23participating in the consolidation.
SB351,89,11
24(2) (title)
Approval. With the approval of the commissioner credit unions may
25consolidate. To effect a
consolidation merger, the board of directors of each
1consolidating credit union shall, by resolution, propose a specific plan for
2consolidation merger which shall be agreed to by a majority of the board of each credit
3union joining in the
consolidation and directing that the merger. The proposed
4merger plan
of consolidation shall be submitted to a vote at
a an annual or special 5meeting of members of the
merging credit
unions being absorbed which may be either
6an annual or a special meeting union. Written notice of the meeting setting forth the
7proposed plan of
consolidation merger or a summary shall be given to each member
8of the
merging credit
unions being absorbed union within the time and in the manner
9provided for the giving of notice of meetings of members of the credit union. The
10proposed plan shall be adopted upon receiving a majority of the votes entitled to be
11cast by members present at the meeting.
SB351,89,25
12(3) (title)
Rights transferred. The credit union
consolidating merging with
13another credit union
under the subs. (1) and (2) shall not be required to go into
14liquidation but its assets and liabilities shall be reported by the credit union with
15which it has
consolidated merged, and all the rights, franchises and interests of
said 16the merging credit union
so consolidated in and to any
species of property
, personal
17and mixed, and choses in action thereto belonging
,
to the credit union shall be
18deemed considered to be transferred, and the
said consolidated resulting credit
19union shall hold and enjoy the same and all rights of property, franchises and interest
20in the same manner and to the same extent as was held and enjoyed by the
merging 21credit union
so consolidated therewith; and the. The members or shareholders of
22such absorbed the merging credit union shall without any further act on their part
23be members and shareholders of
such consolidated
the resulting credit union and be
24subject to all rights, privileges and duties as provided for in the bylaws of the
25resulting credit union
which has so absorbed their credit union.
SB351, s. 277
1Section
277. 186.31 (1) of the statutes, as affected by 1995 Wisconsin Acts 27
2and .... (this act), is repealed and recreated to read:
SB351,90,83
186.31
(1) Transfer of assets and liabilities. Any credit union, which is in
4good faith winding up its business for the purpose of merging with another credit
5union, may transfer its assets and liabilities to the credit union with which it is in
6the process of merging; but no merger may be made without the consent of the office
7of credit unions, and not then to defeat or defraud any of its creditors in the collection
8of debts against such credit union.
SB351, s. 278
9Section
278. 186.31 (2) of the statutes, as affected by 1995 Wisconsin Acts 27
10and .... (this act), is repealed and recreated to read:
SB351,90,1911
186.31
(2) Approval. To effect a merger, the board of directors of each credit
12union shall, by resolution, propose a specific plan for merger which shall be agreed
13to by a majority of the board of each credit union joining in the merger. The proposed
14merger plan shall be submitted to a vote at an annual or special meeting of members
15of the merging credit union. Written notice of the meeting setting forth the proposed
16plan of merger or a summary shall be given to each member of the merging credit
17union within the time and in the manner provided for the giving of notice of meetings
18of members of the credit union. The proposed plan shall be adopted upon receiving
19a majority of the votes entitled to be cast by members present at the meeting.
SB351, s. 279
20Section
279. 186.31 (2m) of the statutes is created to read:
SB351,90,2521
186.31
(2m) Emergency merger. Notwithstanding sub. (2), if the
22commissioner determines that the merging credit union is in danger of insolvency,
23and that the proposed merger would reduce or avoid a threatened loss to federal
24share insurance, the commissioner may permit the merger to become effective
25without an affirmative vote of the membership of the merging credit union.
SB351, s. 280
1Section
280. 186.31 (2m) of the statutes, as created by 1995 Wisconsin Act ....
2(this act), is amended to read:
SB351,91,83
186.31
(2m) Emergency merger. Notwithstanding sub. (2), if the
4commissioner office of credit unions determines that the merging credit union is in
5danger of insolvency, and that the proposed merger would reduce or avoid a
6threatened loss to federal share insurance, the
commissioner office of credit unions 7may permit the merger to become effective without an affirmative vote of the
8membership of the merging credit union.
SB351, s. 281
9Section
281. 186.314 of the statutes is amended to read:
SB351,91,11
10186.314 Conversion. A credit union
chartered under this chapter may
be
11converted convert to a federal credit union by complying with the following:
SB351,91,20
12(1) The proposition for a conversion shall first be approved by unanimous
13recommendation of the directors of the credit union. The directors shall set a date
14for a vote by the members on the conversion. Written notice specifying the reason
15for conversion and the date set for the vote shall be delivered in person or mailed to
16each member at the address
for such member appearing on the records of the credit
17union, not more than
30 45 days nor less than
7 15 days
prior to such date before the
18meeting. A majority of the members voting, in person or in writing, may approve the
19proposition for conversion, provided not more than 15 members or 10% of the total
20membership, whichever is greater,
object by written notice
, object.
SB351,91,24
21(2) A statement of the results of the vote, verified by the affidavits of the
22president or vice president chairperson or the vice chairperson and the secretary,
23shall be filed with the office of the commissioner within 10 days after the vote is
24taken.
SB351,92,8
1(3) Promptly after the vote is taken and in no event later than Within 90 days
2thereafter, if after the date on which the proposition for conversion
was is approved
3by such vote, the credit union shall take
such action as may be the necessary
action 4under
the federal law 12 USC 1771 (b) to make it a federal credit union
, and within.
5Within 10 days after receipt of the federal credit union charter,
there shall be filed 6the credit union shall file a copy of the charter with the office of the commissioner
a
7copy of the charter thus issued. Upon
such filing, the credit union shall cease to be
8a state credit union.
SB351,92,14
9(4) Upon ceasing to be a state credit union,
such the credit union shall no longer
10be subject to this chapter. The successor federal credit union shall be vested with all
11the assets and shall continue to be responsible for all of the obligations of the state
12credit union, including annual and special assessments levied under s. 186.35 (5) (d)
13prior to the date a copy of the federal credit union charter is filed with the
14commissioner, to the same extent as though the conversion had not taken place.
SB351, s. 282
15Section
282. 186.314 (2), (3) and (4) of the statutes, as affected by 1995
16Wisconsin Acts 27 and .... (this act), are repealed and recreated to read:
SB351,92,1917
186.314
(2) A statement of the results of the vote, verified by the affidavits of
18the chairperson or the vice chairperson and the secretary, shall be filed with the office
19of credit unions within 10 days after the vote is taken.
SB351,92,24
20(3) Within 90 days after the date on which the proposition for conversion is
21approved, the credit union shall take the necessary action under
12 USC 1771 (b) to
22make it a federal credit union. Within 10 days after receipt of the federal credit union
23charter, the credit union shall file a copy of the charter with the office of credit
24unions. Upon filing, the credit union shall cease to be a state credit union.
SB351,93,6
1(4) Upon ceasing to be a state credit union, the credit union shall no longer be
2subject to this chapter. The successor federal credit union shall be vested with all
3the assets and shall continue to be responsible for all of the obligations of the state
4credit union, including annual and special assessments levied under s. 186.35 (5) (d)
5prior to the date a copy of the federal credit union charter is filed with the office of
6credit unions, to the same extent as though the conversion had not taken place.
SB351, s. 283
7Section
283. 186.315 of the statutes is amended to read:
SB351,93,25
8186.315 Charter cancellation. Upon completion of a voluntary liquidation
9as provided in s. 186.18, or upon completion of the liquidation in cases under s.
186.29 10186.235 (11), or after the assets and liabilities of a credit union are transferred to
11another credit union for the purpose of
consolidation
merger as provided in s. 186.31
12(3), the commissioner shall
forthwith cancel the charter of the credit union
or credit
13unions liquidated or
absorbed in consolidation
merged without any other or further
14notice to
said the credit union or to any person. A certified copy of the order or
15certificate of the commissioner shall be recorded with the register of deeds of the
16county
where said in which the credit union is located. The register of deeds shall
17note on the margin of the record of the articles of incorporation of
said the credit
18union the volume and page where
said the order or certificate canceling its charter
19is recorded
and shall be entitled to a fee of 50 cents therefor. In case of voluntary
20liquidation under s. 186.18 or
consolidation merger under s. 186.31, the credit union
21shall record the order or certificate of the commissioner and pay the fee
therefor. In
22case of liquidation under s.
186.29 186.235 (11), the commissioner or special deputy
23commissioner
as therein provided shall record the order or certificate of the
24commissioner and pay the fee
therefor out of the assets of the credit union as an
25expense of liquidation.
SB351, s. 284
1Section
284. 186.315 of the statutes, as affected by 1995 Wisconsin Acts 27 and
2.... (this act), is repealed and recreated to read:
SB351,94,18
3186.315 Charter cancellation. Upon completion of a voluntary liquidation
4as provided in s. 186.18, or upon completion of the liquidation in cases under s.
5186.235 (11), or after the assets and liabilities of a credit union are transferred to
6another credit union for the purpose of merger as provided in s. 186.31 (3), the office
7of credit unions shall cancel the charter of the credit union liquidated or merged
8without any other or further notice to the credit union or to any person. A certified
9copy of the order or certificate of the office of credit unions shall be recorded with the
10register of deeds of the county in which the credit union is located. The register of
11deeds shall note on the margin of the record of the articles of incorporation of the
12credit union the volume and page where the order or certificate canceling its charter
13is recorded. In case of voluntary liquidation under s. 186.18 or merger under s.
14186.31, the credit union shall record the order or certificate of the office of credit
15unions and pay the fee. In case of liquidation under s. 186.235 (11), the office of credit
16unions or special deputy shall record the order or certificate of the office of credit
17unions and pay the fee out of the assets of the credit union as an expense of
18liquidation.
SB351, s. 285
19Section
285. 186.32 of the statutes is amended to read:
SB351,95,6
20186.32 (title)
Central Corporate central credit unions union. (1) (title)
21Organization. Central A corporate central credit
unions union may be organized
22and operated under the conditions and provisions of this chapter and subject to all
23of the provisions of this chapter not inconsistent
herewith with this section. It shall
24be lawful for other credit unions located in this state and any other state to become
25members of
a corporate central credit
unions union. Credit unions having
1membership in a
corporate central credit union may be represented at
an annual or
2special
meetings meeting of the
corporate central credit union by one member
duly 3authorized by the board of directors of
such that member credit union and shall be
4entitled to one vote
, and such. The representative
shall may be eligible for office in
5the
corporate central credit union the same as
though if the representative were a
6member of the
corporate central credit union.
SB351,95,13
7(2) (title)
Dividends. A
corporate central credit union may pay to the accounts
8of member credit unions dividends on a basis other than that required by this
section 9subsection for other members of a
corporate central credit union. Dividends paid
10under this
section subsection shall be considered a normal operating expense of the
11corporate central credit union's operation
and rates. Rates of such dividends and
12terms of payment may be established and guaranteed in advance by action of the
13corporate central credit union's board of directors.
SB351, s. 286
14Section
286. 186.325 of the statutes is created to read:
SB351,95,17
15186.325 National corporate central credit union. (1) Criteria. A
16corporate central credit union is a national corporate central credit union if all of the
17following conditions are met:
SB351,95,1818
(a) Its membership consists of any of the following:
SB351,95,2019
1. Central or corporate central credit unions that are organized under the laws
20of this state or another state or under federal law.
SB351,95,2121
2. Officers and directors of the qualifying corporate central credit union.
SB351,95,2322
3. Organizations operated primarily to service and otherwise assist credit
23union operations.
SB351,95,2424
(b) Its membership does not include any of the following:
SB351,95,2525
1. Credit unions other than those under par. (a) 1.
SB351,96,1
12. Individuals other than those under par. (a) 2.
SB351,96,42
(c) At least 75% of its savings and deposits are derived from members under
3par. (a) 1. and the remainder of its savings and deposits are derived from members
4under par. (a) 2. and 3.
SB351,96,6
5(2) Borrowing limits. The borrowing limits under s. 186.112 do not apply to
6a national corporate central credit union.
SB351, s. 287
7Section
287. 186.33 of the statutes is renumbered 186.113 (22) and amended
8to read:
SB351,96,229
186.113
(22) (title)
Other powers Community currency exchange and seller
10of checks. Credit unions may engage
Engage in the business and functions provided
11for in s. 218.05 and ch. 217
for their members upon receiving a certificate of authority
12from the commissioner.
The certificate of authority shall be issued by the
13commissioner upon application of a credit union whenever the commissioner finds
14that the credit union has adequate clerical facilities and has provided for the keeping
15of adequate accounts and for the segregation of funds used in carrying on the
16business of issuing their own credit union money orders. The applicants
. An
17applicant shall meet the same requirements as other applicants under ch. 217, but
18no investigation fee may be charged of credit union applicants. The commissioner
19may revoke a certificate of authority following a hearing held upon 10 days' notice
20to the credit union for any reason which would have justified the rejection of an
21application or on the ground that the continued operation of the business threatens
22the solvency of the credit union.
SB351, s. 288
23Section
288. 186.34 (1) of the statutes is amended to read:
SB351,97,224
186.34
(1) (title)
Insurance required. No credit union
organized under this
25chapter on or after July 20, 1985, may accept any deposit from any person other than
1an incorporator before the credit union has received a certificate of share insurance
2issued by the national board.
SB351, s. 289
3Section
289. 186.34 (2) and (3) of the statutes are repealed.
SB351, s. 290
4Section
290. 186.34 (4) of the statutes is amended to read:
SB351,97,115
186.34
(4) (title)
Certificate filing. Every credit union that receives a
6certificate of insurance from the national board shall file a copy of the certificate with
7the commissioner within 30 days after the credit union receives the certificate.
Every
8credit union organized under this chapter prior to July 20, 1985, that receives a
9certificate of insurance from the national board shall also file a copy of the certificate
10with the Wisconsin credit union savings insurance corporation within 30 days after
11receipt of the certificate.
SB351, s. 291
12Section
291. 186.34 (4) of the statutes, as affected by 1995 Wisconsin Acts 27
13and .... (this act), is repealed and recreated to read:
SB351,97,1614
186.34
(4) Certificate filing. Every credit union that receives a certificate of
15insurance from the national board shall file a copy of the certificate with the office
16of credit unions within 30 days after the credit union receives the certificate.
SB351, s. 292
17Section
292. 186.34 (5) (title) of the statutes is created to read:
SB351,97,1818
186.34
(5) (title)
Insurance to be maintained.
SB351, s. 293
19Section
293. 186.35 (8) of the statutes is amended to read:
SB351,98,720
186.35
(8) Examinations of credit unions. The office of the commissioner shall
21promptly forward to the corporation copies of examination reports of all members.
22The cost of these copies shall be paid by the corporation. If the trustees of the
23corporation ascertain evidence of carelessness, unsound practices or
24mismanagement of any member or if the trustees determine that the activities of any
25member may jeopardize any of the corporation's assets, the trustees or their
1designees may require the member to disclose its operational policies and
2procedures, and may recommend appropriate corrective measures to the member.
3If the trustees determine that the carelessness, unsound practices or
4mismanagement is not promptly corrected or that the threat to the corporation's
5assets has not been removed, the trustees may make appropriate recommendations
6to the commissioner, including the recommendation that the member be liquidated
7or
consolidated merged.
SB351, s. 294
8Section
294. 186.35 (8) of the statutes, as affected by 1995 Wisconsin Acts 27
9and .... (this act), is repealed and recreated to read:
SB351,98,2210
186.35
(8) Examinations of credit unions. The office of credit unions shall
11promptly forward to the corporation copies of examination reports of all members.
12The cost of these copies shall be paid by the corporation. If the trustees of the
13corporation ascertain evidence of carelessness, unsound practices or
14mismanagement of any member or if the trustees determine that the activities of any
15member may jeopardize any of the corporation's assets, the trustees or their
16designees may require the member to disclose its operational policies and
17procedures, and may recommend appropriate corrective measures to the member.
18If the trustees determine that the carelessness, unsound practices or
19mismanagement is not promptly corrected or that the threat to the corporation's
20assets has not been removed, the trustees may make appropriate recommendations
21to the office of credit unions, including the recommendation that the member be
22liquidated or merged.
SB351, s. 295
23Section
295. 186.35 (10) (c) of the statutes is amended to read:
SB351,99,224
186.35
(10) (c) If a credit union which is entitled to a refund of its membership
25fee under par. (b)
consolidates merges under s. 186.31 with another credit union
1before the refund is paid, the corporation shall pay to the surviving credit union the
2membership fee paid by the absorbed credit union.
SB351, s. 296
3Section
296. 186.35 (11) of the statutes is repealed.
SB351, s. 297
4Section
297. 186.35 (12) (a) of the statutes is amended to read:
SB351,99,115
186.35
(12) (a) Except as provided in par. (c), the numerator of the fraction shall
6be the total of all annual and special assessments paid to the corporation by the
7member, reduced by any refund to the member of a prorated portion of an annual
8assessment under sub. (10) (b) and by any amounts paid to the member by the
9corporation as a protection or guaranty of any account in the member credit union,
10other than an account transferred to the member credit union as a result of a
11consolidation merger or liquidation of another credit union.
SB351, s. 298
12Section
298. 186.35 (12m) (intro.) of the statutes is amended to read:
SB351,99,1813
186.35
(12m) (title)
Computation of liquidating distributions if member
14credit unions consolidated merged. (intro.) If a member credit union
consolidates 15merges under s. 186.31 with a credit union which is a member of the corporation and
16operating under this chapter on the date that the corporation authorizes a
17distribution under sub. (11), the surviving credit union's fractional share of
18liquidating distributions under sub. (11) is calculated as follows:
SB351, s. 299
19Section
299. 186.35 (14) of the statutes is created to read:
SB351,99,2220
186.35
(14) Dissolution. Within 30 days after the dissolution of the Wisconsin
21Credit Union Savings Insurance Corporation, the commissioner shall publish a
22notice of the dissolution in the Wisconsin administrative register.
SB351, s. 300
23Section
300. 186.35 (14) of the statutes, as created by 1995 Wisconsin Act ....
24(this act), is amended to read:
SB351,100,4
1186.35
(14) Dissolution. Within 30 days after the dissolution of the Wisconsin
2Credit Union Savings Insurance Corporation, the
commissioner office of credit
3unions shall publish a notice of the dissolution in the Wisconsin administrative
4register.
SB351, s. 301
5Section
301. 186.36 of the statutes is amended to read:
SB351,100,10
6186.36 Sale of insurance in credit unions. Any
agent who is an officer or
7employe of a credit union
may pay the whole or any part of the agent's, when acting
8as an agent for the sale of insurance on behalf of the credit union, shall pay all 9commissions
received from the sale of credit life insurance or credit accident and
10sickness
insurance to the credit union.
SB351, s. 302
11Section
302. 186.37 of the statutes is renumbered 186.235 (5) and amended
12to read:
SB351,100,1713
186.235
(5) Immunity of commissioner. The commissioner
of credit unions 14shall not be subject to any civil liability or penalty,
nor or to any criminal prosecution,
15for any error in judgment or discretion made in good faith and upon reasonable
16grounds in any action taken or omitted by the commissioner in
the commissioner's 17an official capacity
under this chapter.
SB351, s. 304
19Section
304. 186.41 (1) (b) of the statutes is repealed.
SB351, s. 305
20Section
305. 186.41 (2) (a) 3. of the statutes is created to read:
SB351,100,2121
186.41
(2) (a) 3. Expand its field of membership to bordering regional states.
SB351, s. 306
22Section
306. 186.41 (5m) of the statutes is amended to read:
SB351,100,2423
186.41
(5m) Branching not limited. This section does not limit branching
24authority under s. 186.113
(1m) (1).
SB351, s. 307
25Section
307. 186.42 of the statutes is created to read:
SB351,101,5
1186.42 Out-of-state credit union, branch offices. (1) Approval. A credit
2union organized and with its principal office in another state may open an office and
3conduct business as a credit union in this state with the approval of the
4commissioner. To receive approval, the commissioner must find that all of the
5following apply to the out-of-state credit union:
SB351,101,76
(a) It is a credit union organized under laws similar to the credit union laws of
7this state.