Indiana Code 28-2-17-23. Authorized activities; acquisition of additional branches; investigation; provisions and fees
(b) An Indiana state bank may conduct any activities at any branch located outside Indiana that are permissible for a bank organized or reorganized by the host state in which the branch is located. However, if Indiana law specifically prohibits an activity that is permitted by the host state, the department may by order waive the prohibition if the department determines that the involvement of out-of-state branches of Indiana state banks in the particular activities conducted in the host state would not threaten the safety or soundness of banks. This section does not authorize a bank located in Indiana to engage in an activity in Indiana that has been waived under this provision.
Terms Used In Indiana Code 28-2-17-23
- bank: has the meaning set forth in 12 U. See Indiana Code 28-2-17-3
- branch: has the meaning set forth in IC 28-2-13-7. See Indiana Code 28-2-17-6
- department: refers to the department of financial institutions. See Indiana Code 28-2-17-8
- director: refers to the director of the department. See Indiana Code 28-2-17-9
- host state: means a state, other than the home state of a bank, in which the bank:
Indiana Code 28-2-17-12
- Indiana bank: means a bank whose home state is Indiana. See Indiana Code 28-2-17-13
- Indiana state bank: means a bank organized or reorganized under the laws of Indiana. See Indiana Code 28-2-17-14
- interstate merger transaction: means :
Indiana Code 28-2-17-15
- out-of-state bank: means a bank whose home state is a state other than Indiana. See Indiana Code 28-2-17-16
- state: means any of the following:
Indiana Code 28-2-17-19
(d) With the prior approval of the department, an Indiana state bank that has acquired a branch or branches in a state other than Indiana through an interstate merger transaction may establish or acquire additional branches in the host state to the same extent that a host state state bank may establish or acquire a branch in the host state under the applicable host state law and federal law. An Indiana state bank desiring to establish one (1) or more branches under this section must file a written application with the director. The application must be in the form and must contain the information prescribed by the director. The department may approve or disapprove the application. Before the department approves the application, the bank must demonstrate to the satisfaction of the department that:
(1) the applicant state bank will have adequate capital, sound management, and adequate future earnings prospects after the establishment of the branch; and
(2) the establishment of the proposed branch will not violate the laws of the host state.
(e) The investigation of the department relative to any application as required by this section shall be conducted without a public hearing.
(f) The branch or branches of an out-of-state bank that are established and maintained in Indiana under this chapter shall be subject to the provisions and fees of IC 24-4.5 to the same extent as a bank located in Indiana.
As added by P.L.171-1996, SEC.36. Amended by P.L.192-1997, SEC.8.