Except as provided in this section, the total loans and extensions of credit, including credit exposure to a derivative transaction, by an industrial bank to a person outstanding at any one time may not exceed 15% of the industrial bank‘s total capital.
Terms Used In Utah Code 7-8-20
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
Commissioner: means the Commissioner of Financial Institutions. See Utah Code 7-1-103
Subsection (1) does not apply to an extension of credit that is subject to, or expressly exempted from, a federal statute or federal regulation limiting the amount of total loans and credit that may be extended to any person or group of persons.
exempt from Subsection (1) a class of loans or class of extensions of credit, including credit exposure to a derivative transaction, that are adequately secured or are not otherwise a risk to the safe and sound operation of an industrial bank;
(b)
define terms and phrases necessary to interpret and implement this section;
(c)
adopt standards for aggregating or segregating loans to the same or different persons;
(d)
describe records required to be maintained;
(e)
require specific actions to be taken by an institution‘s board of directors or executive officers; and
(f)
prescribe other actions necessary to interpret and implement this section.
