2007 California Financial Code Article 5. California Industrial Loan Company As Agent

CA Codes (fin:18700-18707)

18700.  Notwithstanding the provisions of Sections 18147 and 18165,
a California industrial loan company may, with the prior approval of
the commissioner and subject to any rules that the commissioner may
prescribe, engage in authorized agency activities as agent for an
insured depository institution.


18701.  An application by a California industrial loan company for
approval to engage in authorized agency activities as agent for an
insured depository institution shall be in the form, shall contain
the information, shall be signed in the manner, and shall, if the
commissioner requires by rule or order, be verified in the manner
that the commissioner may, by rule or order, require.



18702.  An application by a California industrial loan company for
approval to engage in authorized agency activities as agent for an
insured depository institution shall be accompanied by a filing fee
of two hundred fifty dollars (0).


18703.  In determining whether to approve or deny an application by
a California industrial loan company for approval to engage in
authorized agency activities as agent for an insured depository
institution, the commissioner shall consider both of the following
factors:
   (a) Whether the proposed agency arrangement is consistent with the
safe and sound operation of the California industrial loan company.

   (b) Any other factors that the commissioner deems relevant.



18704.  No California industrial loan company may conduct any
activity as an agent for an insured depository institution that the
California industrial loan company would be prohibited from
conducting as a principal.



18705.  (a) No office of a California industrial loan company that
conducts authorized agency activities as agent for an insured
depository institution in accordance with this article shall, on that
account, be deemed to be an office of the insured depository
institution.
   (b) For purposes of this division, no insured depository
institution that has a California industrial loan company engaged in
authorized agency activities as its agent shall on that account be
deemed to be transacting business in this state.



18706.  If the commissioner finds that any activities performed by a
California industrial loan company as agent for an insured
depository institution are not authorized agency activities or that
the agency arrangement is inconsistent with safe and sound practices,
the commissioner may order the California industrial loan company to
terminate the agency arrangement.



18707.  This article does not apply to a California industrial loan
company's engaging in authorized agency activities as agent for an
insured depository institution in any case other than a case where,
but for Section 18705, an office of the California industrial loan
company would for regulatory purposes be considered to be an office
of the insured depository institution.