Section 9-630 - Approval or disapproval of plan; appeal.
§ 9-630. Approval or disapproval of plan; appeal.
(a) Filing with Division Director.- To consolidate, merge, transfer assets, effect a statutory merger, reorganize, partially liquidate, or dissolve, a savings and loan association shall deliver to the Division Director the proposed plan of the respective action.
(b) Notice.-
(1) Except as provided in paragraph (3) of this subsection, the Division Director shall publish notice of the filing of a plan of consolidation, merger, transfer of assets, statutory merger, reorganization, partial liquidation, or dissolution.
(2) The notice shall be published:
(i) In a newspaper of general circulation in the political subdivision in which the principal office of each savings and loan association named in the plan is located; and
(ii) In the Maryland Register as provided in the State Documents Law.
(3) Subject to the confirmation of the Secretary of Labor, Licensing, and Regulation, the Division Director may approve a plan of consolidation, merger, reorganization, transfer of assets, statutory merger, partial liquidation, or dissolution without the required notice if a delay of such a plan would result in economic hardship to either party to a merger.
(c) Review of plan.- The Division Director shall examine any plan submitted under subsection (a) of this section and shall determine if:
(1) (i) The successor savings and loan association, if it is an association chartered under the laws of this State, satisfies the requirements of Subtitle 2 of this title that relate to organization as a savings and loan association; or
(ii) The successor savings and loan association, if it is a savings and loan association not chartered under the laws of this State, satisfies the requirements of the laws of the jurisdiction in which it is organized that relate to the organization of savings and loan associations in that jurisdiction; and
(2) The plan would be consistent with adequate and sound savings and loan practices and in the public interest. In making the determination required by this paragraph, the Division Director shall consider:
(i) The financial history and condition of the parties to the plan;
(ii) Their prospects;
(iii) The management of the association;
(iv) The effect of the plan on competition; and
(v) The convenience and needs of the area in this State primarily to be served by the resulting association.
(d) Approval of plan; priorities among plans.-
(1) Within 60 days of the filing, the Division Director shall approve or disapprove any plan submitted under subsection (a) of this section.
(2) The Division Director shall give priority consideration to any plan for the acquisition of a savings and loan association which, on or before July 1, 1987, was not insured by the Federal Savings and Loan Insurance Corporation, had not received conditional approval for federal insurance, and was not substantially likely to qualify for federal insurance.
(3) If the Division Director approves the plan of consolidation, merger, transfer of assets, statutory merger, partial liquidation, dissolution, or reorganization, the Division Director shall certify each document that the State Department of Assessments and Taxation requires.
(e) Appeal.- Any applicant aggrieved by the action or nonaction of the Division Director may appeal to the Circuit Court for Baltimore City.
[CA § 6-227; 1980, ch. 856; 1981, ch. 2, § 3; 1986, ch. 282; 1987, ch. 544; 1995, ch. 120, § 19.]