Page images
PDF
EPUB

CHAPTER 111-FEDERAL DEPOSIT INSURANCE

CORPORATION

SUBCHAPTER A-PROCEDURE AND RULES OF PRACTICE

Part 300 301 302 303 304 305 306 307 308 309

[Reserved]
Introductory.
Formulation and promulgation of rules and regulations.
Applications, requests, and submittals.
Forms, instructions, and reports.
Payment of insured deposits.
Receiverships and liquidations.
Voluntary termination of insured status.
Rules of practice and procedures.
Published and unpublished records and information.

SUBCHAPTER B-REGULATIONS AND STATEMENTS OF GENERAL POLICY

325 Introductory 326 Minimum security devices and procedures for insured nonmember banks. 327 Assessments. 328 Advertisement of membership. 329 Interest on deposits. 330 Clarification and definition of deposit insurance coverage. 331 Insurance of trust funds. 332

Powers inconsistent with purposes of Federal deposit insurance law. 333 Extension of corporate powers. 334 Bank service arrangements. 335 Securities of insured State nonmember banks. 336 Employee responsibilities and conduct.

SUBCHAPTER APROCEDURE AND RULES OF PRACTICE

PART 301- INTRODUCTORY § 301.1 Scope.

The rules contained in this subchapter are promulgated pursuant to the provisions of the Administrative Procedure Act (5 U.S.C. 551-559), the Federal Deposit Insurance Act (12 U.S.C. 18111831), and other applicable laws. In accordance with the provisions of section 3(a) of the Administrative Procedure Act they state (1) the established places at which, the officers from whom, and the methods whereby, the public may secure information, make submittals or requests, or obtain decisions, (2) the general course and method by which the Corporation's functions are channeled and determined, including the nature and requirements of all formal and informal procedures available, and (3) rules of procedure, descriptions of forms available, or the places at which forms may be obtained, and instructions as to the scope and contents of all papers, reports, or examinations, except to the extent exempted by law. This subchapter also includes appropriate provisions with respect to rule making, adjudications, and hearings, as prescribed by law. A current description of the Corporation's central and field organization is separately published in the FEDERAL REGISTER. Proceedings by the Corporation within the meaning of this subchapter include:

(a) The formulation and promulgation of rules and regulations, including amendments thereto or the repeal thereof;

(b) The disposition of applications, requests, and submittals;

(c) Formal and informal hearings and adjudications. (Sec. 9, 64 Stat. 881; 12 U.S.C. 1819) [32 F.R. 9638, July 4, 1967]

SOURCE: The provisions of this Part 302 appear at 15 F.R. 8628, Dec. 6, 1950, unless otherwise noted. § 302.1 Notice.

General notice or proposed rule making, including amendments thereto or repeal thereof, will be published in the FEDERAL REGISTER, except as specified in § 302.6, or otherwise excepted by law. Such notice will include either the terms or substance of the proposed rule or a description of the subjects and issues involved, reference to the authority under which the rule is proposed, and a statement of the time, place, and nature of the public proceedings for making the rule. 8 302.2 Public participation.

Interested persons will be afforded an opportunity to participate in the making of any rule, except as specified in § 302.6, or otherwise excepted by law, through the submission of written data, views, or arguments, unless the board of directors shall specifically provide an opportunity for the oral presentation therof. § 302.3 Formulation of rules.

After consideration of all relevant matter presented, the Special Committee will submit its recommendations to the board of directors and, in collaboration with appropriate Divisions, will prepare drafts of any proposed rules or amendments. The board of directors will take such action thereon as it deems appropriate and in any rule adopted will incorporate therein a concise general statement of its basis and purpose. [15 F.R. 8628, Dec. 6, 1950, as amended at 19 F.R. 1666, Mar. 27, 1954] § 302.4 Petitions.

Any interested person may petition the Corporation for the issuance, amendment, or repeal of any rule by submitting such petition in writing together with a complete and concise statement of the petitioner's interest in the subject matter and the reasons why the petition should be granted. Such petition should be submitted to the Secretary. § 302.5 Effective date.

Any rule issued by the Corporation will be published or served not less than thirty (30) days prior to the effective

PART 302-FORMULATION AND

PROMULGATION OF RULES AND

REGULATIONS Sec. 302.1 Notice. 302.2 Public participation. 302.3 Formulation of rules. 302.4 Petitions. 302.5 Effective date. 302.6 Exceptions. 302.7 Amendment and repeal.

AUTHORITY: The provisions of this Part 302 issued under sec. 9, 64 Stat. 881; 12 U.S.C. 1819.

date thereof except as specified in § 302.6 or otherwise excepted by law. § 302.6 Exceptions.

Whenever the Corporation finds that notice of, and public participation in, rule making is impracticable, unnecessary, or contrary to the public interest, or there is good cause why the effective date of any rule should not be deferred for thirty (30) days, the provisions of $$ 302.1, 302.2, and 302.5 shall not apply; and any such rule when published will incorporate the finding and a brief statement of the reasons therefor. $ 302.7 Amendment and repeal.

The right to alter, amend, or repeal the whole or any part of any rule except as otherwise provided by law, is expressly reserved.

a

ber bank should be filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the bank or proposed bank is or will be located. Any such application by an existing bank must be accompanied by separate applications for the consent of the Corporation to the continued operation of each branch which it proposes to continue to operate. Any such application by a proposed bank must be accompanied by a separate application for the consent of the Corporation to establish and operate each proposed branch. The appropriate forms of application and instructions for completing the same may be obtained upon request from the Supervising Examiner of the District in which the application originates. (See Part 304 of this title for list of forms and instructions.) § 303.2 Application by insured State

nonmember bank to establish

branch. Application by an insured State nonmember bank (except a District bank) to establish and operate a new branch should be filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the bank is located. The appropriate form of application and instructions for completing the same may be obtained upon request from the Supervising Examiner of the District in which the application originates. (See Part 304 of this title for list of forms and instructions.) § 303.3 Application by insured State nonmember bank to

main office or branch. Application for the consent of the Corporation to move the main office or branch of an insured State nonmember bank (except a District bank) should be filed with the Supervising Examiner of the Federal Deposit Insurance Corporation District in which the bank is located. The appropriate form of application and instructions for completing the same may be obtained upon request from the Super

[ocr errors][ocr errors][ocr errors][ocr errors]

PART 303-APPLICATIONS, RE

QUESTS, AND SUBMITTALS Sec. 303.1 Application by nonmember bank for

deposit insurance. 303.2 Application by insured State non

member bank to establish a

branch. 303.3 Application by insured State non

member bank to move main office

or branch. 303.4 Application by insured State non

member bank to reduce or retire

capital. 303.5 Application for conversion, merger,

consolidation, assumption, and

sale of asset transactions. 303.6 Application by insured State non

member bank to extend its cor

porate or charter powers. 303.7 Application to continue or resume

insured status. 303.8

Application for exemption from or

exception to advertising require

ments. 303.9 Other applications. 303.10 Procedure on applications. 303.11 Notice of disposition of application.

AUTHORITY: The provisions of this Part 303 issued under secs. 5, 6, 8, 9, 18, 19, 64 Stat. 876, 879, 881, 891, 893; 12 U.S.C. 1815, 1816, 1818, 1819, 1828, 1829.

SOURCE: The provisions of this Part 303 appear at 32 F.R. 10556, July 19, 1967, unless otherwise noted. $ 303.1 Application by nonmember

bank for deposit insurance. Application for deposit insurance by an existing or proposed State nonmem

move

[merged small][ocr errors]

3 "The term 'branch' includes any branch bank, branch office, branch agency, additional office, or any branch place of business located in any State of the United States or dn any Territory of the United States, Puerto Rico, Guam, or the Virgin Islands at which deposits are received or checks paid or money lent." (Sec. 3(0) of the Federal Deposit Insurance Act, amended (12 U.S.C. 1813(0)).

1

as

1A nonmember bank is a bank which is not a member of the Federal Reserve System.

vising Examiner of the District in which such conversion-together with copies the application originates. (See Part 304 of the charter and/or articles of associaof this title for list of forms and tion of the converted bank, should be instructions.)

filed with the Supervising Examiner of

the Federal Deposit Insurance Corpora§ 303.4. Application by insured State

tion District in which the insured bank nonmember bank to reduce or retire capital.

is located. The appropriate form of ap

plication and instructions for completing Application for the consent of the

the form may be obtained upon request Corporation to the reduction in the from the office of said Supervising amount, or retirement of any part, of the Examiner. common or preferred capital stock, or (c) Merger, consolidation, asset acretirement of any of the capital notes or quisition or assumption transaction bedebentures, of an insured State nonmem- tween insured banks. Application by an ber bank (except a District bank) should insured bank for the consent of the Corbe filed with the Supervising Examiner poration to merge or consolidate with, of the Federal Deposit Insurance Corpo- acquire the assets of, or assume the liaration District in which the bank is lo- bility to pay any deposits made in, ancated. The appropriate form of applica- other insured bank—when the resulting tion and instructions for completing the or assuming bank is to be an insured same may be obtained upon request from State nonmember bank (except a Disthe Supervising Examiner of the District trict bank)-together with copies of all in which the application originates. (See agreements or proposed agreements rePart 304 of this title for list of forms and lating thereto, including the charter or instructions.)

articles of incorporation of the resulting 8 303.5 Application for conversion,

or assuming bank, should be filed with merger, consolidation, assumption

the Supervising Examiner of the Fedand sale of asset transactions.

eral Deposit Insurance Corporation Dis

trict in which the resulting or assuming (a) With noninsured bank or institu

bank is located. The appropriate form tion. Application by an insured bank for the consent of the Corporation to merge

of application and instructions for com

pleting the same may be obtained upon or consolidate with a noninsured bank or

request from the office of said Supervisinstitution, or to convert into a nonin

ing Examiner. sured institution, or to assume liability to pay any deposits made in, or similar § 303.6 Application by insured State liabilities of, any noninsured bank or

nonmember bank to extend its corinstitution, or to transfer assets to any

porate or charter powers. noninsured bank or institution in con- Application for the consent of the Corsideration of the assumption of liability poration to the extension of the corporfor any portion of the deposits made in ate or charter powers of an insured such insured bank, together with copies State nonmember bank (except a Disof all agreements or proposed agree- trict bank) should be filed with the Suments relating thereto, should be filed pervising Examiner of the Federal Dewith the Supervising Examiner of the posit Insurance Corporation District in Federal Deposit Insurance Corporation which the bank is located. The approDistrict in which the insured bank is priate form of application and instruclocated. The appropriate form of appli- tions for completing the same may be cation and instructions for completing obtained upon request from the Superthe form, as well as instructions con- vising Examiner of the District in which cerning notice to depositors, may be ob

the application originates. (See Part 304 tained upon request from the office of

of this title for list of forms and insaid Supervising Examiner.

structions.) (b) Conversion with diminution of capital or surplus. Application for the § 303.7 Application to continue or reappropriate form of application and in

sume insured status. to an insured State nonmember bank Application under $ 327.3(c) of this (except a District bank)—when the con- title by a bank whose insured status has version will result in the converted been terminated for permission to conbank's having less capital stock or sur- tinue or to resume its status as an inplus than the converted bank at the time sured bank should be filed with the Suof the shareholders' meeting approving pervising Examiner of the Federal Deposit Insurance Corporation District vision of Examination of the Corporation in which the bank is located. Such ap- will cause an investigation to be conplication should (a) be in writing, (b) be ducted and an examination to be made signed by the president, or cashier, or of the bank or proposed bank. Thereother managing officer of the bank, (c) after, the Board of Directors, in accordbe accompanied by a certified copy of ance with applicable provisions of law, the resolution of its board of directors will act upon such application after authorizing the submission of such ap- considering the report of such investigaplication, (d) contain a statement that tion and examination, the recommendathe bank's insured status has been ter- tions thereon of the examiner and Suminated (including the date thereof and pervising Examiner of the District in the basis therefor), that the insurance which the bank is or will be located, the of its deposits has not ceased, and that recommendations of the Division of Exit applies for permission to continue or amination, the recommendations of the resume its status as an insured bank, Board of Review with respect to matters and (e) state the reasons why the con- referred to it, and the legal opinion of tinuance or resumption of such status counsel for the Corporation. The applishould be permitted by the Corporation. cant bank will be duly advised of the

Board's decision upon such application. $ 303.8 Application for exemption from or exception to adv ng require

(b) With respect to all other applica

tions, requests, or submittals, the Board ments.

of Directors will cause such an investigaAny application made by an insured

tion or examination, or both, to be made bank under any of the provisions of Part

by the proper Divisions of the Corpo328 of this title should be filed with the

ration as the Board shall deem approDivision of Examination of the Corpora

priate, and upon the report of such tion at its principal office. Such appli

investigation and examination, and the cation should (a) be in writing, (b) be

recommendations thereon, will take such signed by the president, or cashier, or

action as it shall deem necessary or other managing officer of the bank, and

appropriate in the premises. (c) state, in conformity with the partic

(c) The Chief of the Division of Exular provision in respect of which the

amination and the rvising Examapplication is made, the reason for the

iner of the District in which the bank is request in detail and the reason why the

located have been authorized to take fiapplication should be granted.

nal action with respect to the approval § 303.9 Other applications.

of certain applications, such as applicaExcept as otherwise provided by rule

tions by an insured State nonmember or regulation, all applications, requests,

bank to move its main office or branch and submittals for which no form of

or to obtain an extension of time limiapplication has been prescribed by the

tation imposed in connection with a preCorporation should (a) be in writing, (b)

vious application. This delegated aube signed by the applicant or his duly

thority is subject to certain limitations authorized agent, (c) contain a state

set forth in the delegations of authority ment of the applicant's interest therein,

which are available at the office of each a complete and concise statement of the

Supervising Examiner. The Chief of the action requested and the reasons and

Division of Examination is also authorfacts relied upon as the basis for such

ized to act upon applications by insured requested action, and (d) be addressed

State nonmember banks for extensions to the Secretary at the principal office of time of 90 days or less within which to of the Corporation. The applicant shall register securities pursuant to the provifurnish such other pertinent informa- sions of section 12(g) of the Securities tion as may be required by the Corpora- Exchange Act of 1934, as amended. tion. Whenever applicable, the forms (d) For the purpose of assuring the specified in Part 304 of this title should

performance and continuity in the manbe used, the instructions issued with re

agement functions and activities of the spect thereto should be followed, and

Corporation, the Board of Directors has submission should be made as therein

delegated, to the extent deemed necesprovided.

sary, authority with respect to the man§ 303.10 Procedure on applications. agement of the Corporation's affairs to

(a) With respect to applications for certain designated officers, such authordeposit insurance under $ 303.1, the Di- ity to be exercised only in the event of

« PreviousContinue »