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The Vermont Statutes Online



Title

08

:
Banking and Insurance






Chapter

203

:
ORGANIZATION AND MANAGEMENT OF MUTUAL AND COOPERATIVE FINANCIAL INSTITUTIONS






Subchapter

001
:
ORGANIZATION AND COMMENCING BUSINESS










 

§

13107. Failure to commence business

(a) As to any

mutual or cooperative financial institution that fails to commence business as

a financial institution within two years after receiving a certificate of

general good under section 13102 of this title, its certificate of general good

and its right to do business shall lapse.

(b)

Notwithstanding the time limitation in subsection (a) of this section, the

Commissioner may extend the period in which business shall be commenced for a

period not to exceed six months upon written application by the institution

setting forth the reasons for the extension, filed before the expiration of the

time period established by subsection (a) of this section. If an extension is

granted by the Commissioner, the Commissioner shall notify the Secretary of

State.

(c) Upon the

expiration of the time periods set forth in subsections (a) and (b) of this

section, the contributors of initial capital deposits of such institution shall

be entitled to the return of any amounts which they have paid to the

institution and all expenses incurred in the organization shall be borne by the

original organizers who were named in the application for permission to

organize. (Added 1999, No. 153 (Adj. Sess.), § 2, eff. Jan. 1, 2001.)