SUBCHAPTER 16D ‑ OPERATION OF SAVINGS ASSOCIATIONS

 

SECTION .0100 ‑ DIRECTORS: OFFICERS AND EMPLOYEES

 

 

04 NCAC 16D .0101          COMPOSITION OF BOARD OF DIRECTORS

(a)  Requirements for the composition of a board of

directors are as follows:

(1)           Except in the case of a savings institution

having 80 percent or more of any class of voting shares owned by a holding

company or controlling person, no more than one‑third of the Board of

Directors shall be salaried officers or employees of the savings institution,

or of any subsidiary or  any holding company or affiliate thereof or any

controlling person affiliate thereof.

(2)           In the case of a savings institution having

80 percent or more of any class of voting shares owned by a holding company or

controlling person, no more than 49 percent of the Board of Directors shall be

salaried officers or employees of the savings institution, or of any subsidiary

or any holding company or affiliate thereof or any controlling person affiliate

thereof.

(3)           No more than two directors shall be members

of the same immediate family.

(4)           No two directors who are attorneys may be

members of the same law firm.

(5)           No more than one‑third of the Board

of Directors shall be directors, officers or employees of a competing financial

institution.

(6)           The managing officer of the savings

institution shall be a member of the Board of Directors.

(b)  A director shall not vote on any matter in which he has

a personal or financial interest.

(c)  When a savings institution takes action resulting in

the establishment of a new chief executive officer or director, the savings

institution shall notify the Administrator in writing in advance of such

change, and shall provide the name of the new chief executive officer or

director, the effective date of the appointment, and a statement of the

person's past and current business and professional affiliations.  The name of

any departing chief executive officer or director shall also be provided.

 

History Note:        Authority G.S. 54B‑55;

Eff. August 31, 1981;

Amended Eff. April 15, 1993; February 15, 1992; July 1,

1990; September 1, 1984.