Sec. 36a-263. Insider loans.
Sec. 36a-263. Insider loans. (a) As used in this section, "executive officer" has
the meaning given to such term in 12 CFR 215.2 of Subpart A of Federal Reserve Board
Regulation O, 12 CFR Part 215, as from time to time amended. With the exception of
Sections 215.7 and 215.13 of Subpart A of Federal Reserve Board Regulation O, 12
CFR Part 215, as from time to time amended, Connecticut banks are subject to and shall
comply with the restrictions contained in 12 CFR Sections 337.3 and 349, as from
time to time amended, and no executive officer, director or principal shareholder of a
Connecticut bank or any of its affiliates shall knowingly receive, or knowingly permit
any of such person's related interests to receive, from a Connecticut bank, directly or
indirectly, any extension of credit that violates such restrictions. No executive officer,
director, employee, agent or other person shall participate in any conduct of the affairs
of the bank that violates this subsection.
(b) If the commissioner finds it necessary in the interests of the safety and soundness
of Connecticut banks and of depositors, the commissioner may adopt regulations, in
accordance with chapter 54, providing for further requirements governing extensions
of credit to directors, executive officers, principal shareholders, and the related interests
and associates of such persons.
(c) The commissioner may require Connecticut banks to file periodic reports with
the commissioner regarding the indebtedness owing to such banks by directors, executive officers and principal shareholders of the respective banks, or any related interests
or associates of such persons. These reports shall include such information as the commissioner may require.
(d) The commissioner may take enforcement action with respect to violations of
this section.
(P.A. 94-122, S. 120, 340; P.A. 03-259, S. 19.)
History: P.A. 94-122 effective January 1, 1995; P.A. 03-259 amended Subsec. (a) by defining "executive officer" and
adding prohibitions on extension of credit that violates restrictions, and participation in conduct of affairs of bank that
violates Subsec. (a).