6.1-194.35 - (Repealed effective October 1, 2010) How federal savings institution may convert into state association or bank.
§ 6.1-194.35. (Repealed effective October 1, 2010) How federal savingsinstitution may convert into state association or bank.
A federal savings institution doing business in the Commonwealth may become astate association, and such a federal savings institution that is a stockinstitution may become a state bank, as follows:
1. In either case, the federal savings institution shall take such action aswill under federal law and regulations terminate its existence as a federalsavings institution when the conversion is effective.
2. In the case of a conversion to a state association, the directors shallorganize a corporation under this chapter and the Virginia Stock CorporationAct (§ 13.1-601 et seq.) or the Virginia Nonstock Corporation Act (§ 13.1-801et seq.), and the new corporation shall apply for a certificate of authorityto do business under § 6.1-194.12.
3. In the case of a conversion to a state bank, the directors of the federalsavings institution shall organize a corporation under Chapter 2 (§ 6.1-3 etseq.) of this title and the Virginia Stock Corporation Act, and the newcorporation shall apply for a certificate of authority to do business under §6.1-13. If the applicant meets the standards established by § 6.1-13, theCommission may issue it a certificate of authority to begin a bankingbusiness. The order shall designate the main office of the federal savingsinstitution as the main office of the resulting bank, and the resulting bankshall be permitted to operate all branch offices of the former federalsavings institution. Within one year of the date of such a conversion, theresulting bank shall conform its assets and operations to the provisions oflaw regulating the operation of banks. The Commission may grant suchresulting bank additional one-year periods, not to exceed a total of fouradditional years, in which to conform its assets and operations to theprovisions of law regulating the operation of banks.
(Code 1950, §§ 6-201.45, 6.1-175, 6.1-195.54; 1960, c. 402; 1966, c. 584;1972, c. 796; 1975, c. 129; 1985, c. 425; 1995, c. 133.)