2016 Kentucky Revised Statutes CHAPTER 286 - KENTUCKY FINANCIAL SERVICES CODE Subtitle 3 - Banks and Trust Companies 286.3-915 Bank combinations -- Operation of a combined bank as a branch of the surviving bank -- Transfer of combined bank's main office and branches -- Definitions.
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286.3-915 Bank combinations -- Operation of a combined bank as a branch of the
surviving bank -- Transfer of combined bank's main office and branches -Definitions.
(1)
(2)
(3)
Notwithstanding any other provision of Subtitle 1, 2, or 3 of KRS Chapter 286:
(a) An individual or bank holding company that controls two (2) or more banks
having their principal offices in this Commonwealth may, from time to time,
combine any or all of the commonly controlled banks in this Commonwealth
into and with any one (1) of the banks, and thereafter the surviving bank,
which shall have its principal office in this Commonwealth, shall continue to
operate its principal office and may operate the other authorized offices of the
banks so combined as branches of the surviving bank; and
(b) Any combination authorized by this section shall not require the approval of
the commissioner of financial institutions, but on or before thirty (30) days
prior to consummation of any combination, the proposed surviving bank shall
notify the commissioner of the combination, and on the effective date of any
such combination the charter of any combined bank organized under the laws
of this Commonwealth shall be surrendered.
Following any combination authorized by this section:
(a) The surviving bank may, subject to the approval of the commissioner as
provided in KRS 286.3-180(2), establish and operate additional branches in
any county where any bank involved in the combination had established a
branch or main office;
(b) The surviving bank shall maintain a record of the deposits in each of its
offices resulting from such combination or thereafter established as provided
in paragraph (a) of this subsection; and
(c) With the approval of the commissioner, all of a bank's offices in a county may
be transferred, by a purchase and assumption or other transaction, by the bank
to a newly chartered bank having its principal office in the same county, or to
an existing bank.
For purposes of this section:
(a) The term "combine" or "combination" includes a merger or the acquisition of
all or substantially all of the assets of a bank already controlled by an
individual or bank holding company;
(b) An individual or bank holding company "controls" a bank if that individual or
company, directly or indirectly, owns, controls, or has the power to vote at
least eighty percent (80%) of the issued and outstanding voting securities of
the bank;
(c) "Combined bank" means any bank participating in a combination authorized
by this section other than the surviving bank;
(d) "Surviving bank" means a bank into which a combined bank has been
combined;
(e) "Bank" includes a national bank, savings and loan association, and federal
(f)
savings bank; and
"Individual," "bank holding company," and "deposit" shall have the same
meanings attributed to them in KRS 286.3-900(1).
Effective: July 15, 2010
History: Amended 2010 Ky. Acts ch. 24, sec. 653, effective July 15, 2010; and ch 28,
sec. 18, effective July 15, 2010. -- Amended 2000 Ky. Acts ch. 135, sec. 4, effective
July 14, 2000. -- Amended 1998 Ky. Acts ch. 196, sec. 21, effective July 15, 1998. -Amended 1996 Ky. Acts ch. 254, sec. 38, effective July 15, 1996; and ch. 338, sec.
20, effective July 15, 1996. -- Created 1990 Ky. Acts ch. 181, sec. 1, effective July
13, 1990.
Formerly codified as KRS 287.915.
Legislative Research Commission Note (7/15/2010). This section was amended by
2010 Ky. Acts chs. 24 and 28, which do not appear to be in conflict and have been
codified together.
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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