6.2-828 - (Effective October 1, 2010) Conversion of state bank to federal savings institution.
§ 6.2-828. (Effective October 1, 2010) Conversion of state bank to federalsavings institution.
A. A state bank may convert into a federal savings institution as follows:
1. At any meeting of the stockholders called and held in accordance with theVirginia Stock Corporation Act (§ 13.1-601 et seq.) or the Virginia NonstockCorporation Act (§ 13.1-801 et seq.) to consider such action, thestockholders, by an affirmative vote of those holding and voting two-thirdsof the votes present in person or by proxy, may resolve to convert the bankinto a federal savings institution;
2. A copy of the minutes of the meeting duly certified by the president orvice-president and the secretary or assistant secretary of the state bankshall be transmitted to the Commission;
3. Thereafter, the state bank shall take such action as is necessary underfederal law to make it a federal savings institution; and
4. The bank shall file with the Commission a certified copy of the charterissued to it by the federal chartering authority, or a certificate of thatauthority showing the organization of the bank as a federal savingsinstitution.
B. Upon the filing of the certified copy of a charter or certificate ofauthority as provided in subdivision A 4, the bank shall cease to be a statebank.
C. No state bank shall convert into a federal savings institution until ithas been in operation as a state bank for a period of at least five years.
D. When a conversion of a state bank into federal savings institution becomeseffective, the state bank shall cease to be a Virginia corporation and allits property, by operation of law and without any further act or deed, shallcontinue to be vested in it under its new name as a federal savingsinstitution and under its federal charter. The federal savings institutionshall have, hold and enjoy the same in its own right as fully and to the sameextent as the same was possessed, held and enjoyed by it as a state bank. Thefederal savings institution, at the time of the taking effect of theconversion, shall become and continue to be responsible for all of theobligations of the state bank including taxes and other liabilities createdby law or incurred by it before becoming a federal savings institution to thesame extent as though the conversion had not taken place.
(Code 1950, §§ 6-201.43; 6-201.44; 1960, c. 402; 1966, c. 584, §§ 6.1-173,6.1-174; 1972, c. 796, §§ 6.1-195.52, 6.1-195.53; 1982, c. 156; 1985, c. 425;1990, c. 3; 1995, c. 133; 2010, c. 794.)