45-2-107 - Acquisition, formation or control of banks and savings institutions.
45-2-107. Acquisition, formation or control of banks and savings institutions.
(a) (1) As used in this subsection (a), unless the context otherwise requires:
(A) Bank means any company that accepts deposits in Tennessee that are eligible for insurance under the Federal Deposit Insurance Act, 12 U.S.C. § 1811 et seq.;
(B) Bank holding company means any company that is a bank holding company under the Bank Holding Company Act of 1956, 12 U.S.C. § 1841 et seq.;
(C) Banking institution means any institution organized under this title, or under title 12, chapter 2 of the United States Code;
(D) Company has the meaning set forth in subsection 2(b) of the Bank Holding Company Act of 1956, 12 U.S.C. § 1841(b); and
(E) Control has the meaning as set forth in subdivisions 2(a)(2) and (3) of the Bank Holding Company Act of 1956, codified in 12 U.S.C. § 1841(a) (2) and (3).
(2) No bank holding company or other banking institution shall acquire, form or control a bank, as defined herein, unless the bank:
(A) Accepts deposits in Tennessee that the depositor has a legal right to withdraw on demand; and
(B) Engages in the business of making commercial loans in Tennessee.
(3) No company that is not a bank holding company shall acquire, form or control a bank.
(4) If any person has engaged or proposes to engage in a transaction that is not permitted under this section, the commissioner shall apply, and any other interested person, which shall include, but not be limited to, any Tennessee bank or Tennessee bank holding company, may apply, for equitable relief, including, but not limited to, a permanent or temporary injunction or restraining order, to the chancery court of Davidson County, or any other chancery court having jurisdiction or any court of the United States having jurisdiction.
(5) Nothing in this section shall prohibit the ownership or control of a bank by an entity that is not a bank holding company, if:
(A) The bank received a charter under this chapter, or its predecessor, prior to January 1, 1920; and
(B) The ownership or control of the bank by the entity that is not a bank holding company existed prior to July 1, 1983.
(b) (1) As used in this subsection (b), as distinguished from subsection (a) relating to banks, unless the context otherwise requires:
(A) Company has the meaning set forth in subdivision (a)(1)(C) of the Savings and Loan Holding Company Amendments of 1967, 12 U.S.C. § 1730a et seq. [repealed];
(B) Control has the meaning set forth in subdivision (a)(2) of the Savings and Loan Holding Company Amendments of 1967, 12 U.S.C. § 1730a et seq. [repealed];
(C) Savings and loan holding company means any company that is a savings and loan holding company under the Savings and Loan Holding Company Amendments of 1967, 12 U.S.C. § 1730a et seq. [repealed]; and
(D) (i) Savings institutions means any institution organized under chapter 3 of this title, or under title 12, chapter 12 of the United States Code; and
(ii) Savings institutions means a savings and loan association or a savings bank, state or federal, eligible for insurance under the Federal Savings and Loan Insurance Act, 12 U.S.C. § 1724 et seq. [repealed].
(2) No savings and loan holding company or other savings institution shall acquire, form, or control a savings institution, as defined herein, unless the savings institution:
(A) Accepts deposits in Tennessee that the depositor has a legal right to withdraw on demand; and
(B) Engages in the business of making commercial loans in Tennessee.
(3) No company that is not a savings and loan holding company shall acquire, form, or control a savings institution.
(4) If any person has or proposes to engage in a transaction that is not permitted under this section, the commissioner shall apply, and any other interested person, which shall include, but not be limited to, Tennessee savings institutions or Tennessee savings and loan holding companies, may apply, for equitable relief, including, but not limited to, a permanent or temporary injunction or restraining order, to the chancery court of Davidson County or any other chancery court having jurisdiction, or any court of the United States having jurisdiction.
[Acts 1985, ch. 262, §§ 1, 2.]