2006 Kentucky Revised Statutes - .440   Investigation of applicant -- Approval of articles of incorporation and application.

286.7-440 Investigation of applicant -- Approval of articles of incorporation and application. (1) Before delivering the articles of incorporation to the Secretary of State for recording, a copy of the articles shall be presented to the executive director for approval. Upon receipt of such articles, the executive director shall first determine whether or not the articles comply with the provisions of KRS 286.7-410 to 286.7- 600 and, if he so finds, he shall promptly notify the industrial loan companies in the locality in which the proposed office or offices are to be located, specifying a time within which they may file objections. The executive director shall then inquire into the advisability of approving the application by investigating: (a)  The moral character and financial responsibility of the incorporators and principals of the applicant. (b)  The public necessity for such association in the community to be served; and (c)  The reasonable probability of its usefulness and success. In so doing he shall determine whether or not the industrial loan company can be established without undue injury to properly conducted existing industrial loan companies, in connection with which the incorporators and principals shall furnish such information as they may desire and as the executive director may require. (2) After allowing the specified time for the filing of objections, the executive director shall approve the application if he finds that the moral character and financial responsibility of the incorporators and principals are sound and such as to justify public confidence and to insure the reasonable probability of the success of the corporation, that the incorporators and principals have complied with the provisions of KRS 286.7-410 to 286.7-600, that the incorporation is advisable and, after investigation, there is reason to believe that no undue injury to properly conducted existing industrial loan companies will result. Unless the application, after investigation, meets all of the above requirements, the executive director shall disapprove it. History: Created 1962 Ky. Acts ch. 166, sec. 3. Formerly codified as KRS 291.440. Legislative Research Commission Note (7/12/2006). In accordance with 2006 Ky. Acts ch. 247, secs. 38 and 39, this statute has been renumbered as a section of the Kentucky Financial Services Code, KRS Chapter 286, and KRS references within this statute have been adjusted to conform with the 2006 renumbering of that code. Legislative Research Commission Note (6/20/2005). 2005 Ky. Acts chs. 11, 85, 95, 97, 98, 99, 123, and 181 instruct the Reviser of Statutes to correct statutory references to agencies and officers whose names have been changed in 2005 legislation confirming the reorganization of the executive branch. Such a correction has been made in this section.