| (1) |
A bank may purchase, own and hold, and sell or otherwise dispose of:
Terms Used In Utah Code 7-3-21- Bank: means a person authorized under the laws of this state, another state, or the United States to accept deposits from the public. See Utah Code 7-1-103
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Fiduciary: A trustee, executor, or administrator.
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- United States: includes each state, district, and territory of the United States of America. See Utah Code 68-3-12.5
| (a) |
shares of the Federal Reserve Bank of the Twelfth Federal Reserve District; |
| (b) |
the stock of a corporation organized under the laws of the United States for purposes similar to those of the federal reserve banks or the Federal Deposit Insurance Corporation; |
| (c) |
shares of the Federal National Mortgage Association; |
| (d) |
the stock of a safe deposit company; |
| (e) |
the stock of a corporation owning the banking house in which any place of business of the bank is located; |
| (f) |
the stock of a bank service corporation performing services for the bank; |
| (g) |
the stock of a corporation acquired by the bank in satisfaction of or on account of debts previously contracted in the course of the bank’s business; |
| (h) |
the stock of a foreign banking corporation; |
| (i) |
the stock of a corporation authorized under Title IX of the Housing and Urban Development Act of 1968; |
| (j) |
the stock of the Government National Mortgage Association authorized under 12 U.S.C. § 1716 et seq.; |
| (k) |
the stock of a charitable foundation; |
| (l) |
the stock of a community development corporation; |
| (m) |
the stock of bankers’ banks; and |
| (n) |
the stock of an agricultural credit corporation. |
|
| (2) |
A bank may invest in a small business investment company to the same extent allowed federally chartered banks. |
| (3) |
Unless expressly authorized by this chapter, a bank may not purchase or own the stock of any other corporation except in a fiduciary capacity. |
Amended by Chapter 97, 2014 General Session
