There is a newer version of the Kentucky Revised Statutes
2009 Kentucky Revised Statutes
Subtitle 5. Savings and Loan Associations
286.5.905 Acquisition of one or more associations wherever located -- Limitations -- Acquisition by out-of-state associations -- Merger or consolidation.
Download pdfloan association holding companies wherever located, except that no individual who
on July 15, 1988, controls a savings and loan association or savings and loan
association holding company wherever located, and no savings and loan association
holding company wherever located, shall acquire, directly or indirectly, control of a
Kentucky savings and loan association if the Kentucky savings and loan association
was chartered after July 15, 1988, and if, at the time of the acquisition, the
Kentucky savings and loan association has been in existence less than five (5) years.
The provisions of this subsection shall not prohibit the organization of a one (1)
savings and loan association holding company for the purpose of acquiring control
of a savings and loan association even if the savings and loan association was
chartered after July 15, 1988, and has been in existence less than five (5) years at
the time of the acquisition. (2) No individual or savings and loan association holding company wherever located shall acquire control of any savings and loan association or savings and loan
association holding company if, upon the acquisition, the individual or savings and
loan association holding company would control Kentucky savings and loan
associations holding more than fifteen percent (15%) of the total deposits in all
Kentucky savings and loan associations as reported in the most recent year-end
reports made by Kentucky savings and loan associations to their respective
supervisory authorities which are available at the time of the acquisition. (3) (a) During the period expiring five (5) years after July 15, 1988, no individual or corporation wherever located shall, directly or indirectly, by merger,
consolidation, purchase or any other means, acquire control of a savings and
loan association or savings and loan association holding company if as a result
thereof such individual or corporation would acquire control of more than
three (3) Kentucky savings and loan associations during any twelve (12)
month period; (b) However, a savings and loan association holding company wherever located, may acquire control of a savings and loan association holding company which
has its principal place of business in this state and which controls more than
three (3) Kentucky savings and loan associations under conditions approved
by the commissioner which would require the following: 1. That an acquisition made under this subsection shall be limited to only
one (1) acquisition; 2. That the Kentucky savings and loan associations acquired in excess of
the three (3) Kentucky savings and loan associations per year limitation
included in this acquisition shall be counted against future acquisitions
during the remaining five (5) year period provided in this subsection;
and 3. That the total Kentucky savings and loan association acquisitions by a
savings and loan association holding company shall not exceed in the
aggregate five (5) Kentucky savings and loan associations during any
five (5) year period. (4) The limitations set forth in this section or any other provision of this subtitle or any regulation promulgated thereunder, as now in effect or amended after July 15, 1988,
shall not apply to the acquisition of a Kentucky savings and loan association if, in
his discretion, the commissioner, if the Kentucky savings and loan association is
organized under the laws of this state, or the Federal Home Loan Bank Board, if the
Kentucky savings and loan association is federally chartered, determines that an
emergency exists and the acquisition is appropriate in order to prevent the probable
failure of a Kentucky savings and loan association or savings and loan holding
company having its principal place of business in this state which is closed or is in
danger of closing. (5) Any savings and loan association holding company having its principal place of business in any state may acquire control of any Kentucky savings and loan
association or of any savings and loan association holding company having its
principal place of business in this state, if the state wherein the savings and loan
association holding company has its principal place of business shall authorize the
acquisition of control of a savings and loan association or savings and loan
association holding company in that state by a savings and loan association holding
company having its principal place of business in this state under conditions
substantially no more restrictive than those imposed by this section; (6) The provisions of this section shall not be construed to prohibit or restrict the merger, consolidation or other acquisition of Kentucky savings and loan
associations or of savings and loan association holding companies having their
principal places of business in this state and the operation by the merged or
consolidated corporation of the Kentucky savings and loan associations, nor to
prohibit the sale of any savings and loan association or savings and loan association
holding company to, and the purchase thereof by, any Kentucky savings and loan
association or any savings and loan association holding company with its principal
place of business in this state or the operation of the savings and loan association as
a branch. Effective: July 15, 1988
History: Created 1988 Ky. Acts ch. 156, sec. 2, effective July 15, 1988.
Formerly codified as KRS 289.905.
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.
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