2005 Idaho Code - 26-1101 — ADMINISTRATION -- RULES AND POWERS

                                  TITLE  26
                              BANKS AND BANKING
                                  CHAPTER 11
                     SUPERVISION BY DEPARTMENT OF FINANCE
    26-1101.  ADMINISTRATION -- RULES AND POWERS. (1) Every bank and bank
holding company shall be subject to the inspection and supervision of the
director of the department of finance as provided in this act.
    (2)  The director may from time to time promulgate, amend and rescind
rules necessary or proper to carry out the provisions of this act.  No rule
may be adopted unless the director finds that the action is necessary or
appropriate for the protection of the interests of bank depositors or for the
welfare of banks and consistent with the purpose of this act.
    (3)  Notwithstanding any other provision of the Idaho bank act, but
subject to the limitations provided for in this section:
    (a)  A bank may engage in any activity in which it could engage, exercise
    any  power it could exercise, or make any loan or investment which it
    could make if it were operating as a national bank or which has been
    approved by the responsible federal agency for any state-chartered bank in
    the United States.
    (b)  Before engaging in any activity or exercising any power afforded
    under this subsection (3), a bank shall first notify the director of its
    intent to do so. This notice shall be sent to the director by U.S. mail,
    postage prepaid, certified or registered, with return receipt requested.
    Should the director take no action on the request within  twenty (20) days
    of delivery to the director, the right to engage in the action or power so
    requested shall be deemed granted.
    (c)  Should the director deny the request, the affected bank shall have
    the right to request a hearing before the director, which hearing shall be
    held within thirty (30) days of the date of the denial.
    (d)  The director shall have the discretion to deny any request which is
    inconsistent with the purposes of the Idaho bank act.
    (e)  No such approval shall operate to deny the director of any of his
    authority under the Idaho bank act and such permitted activity shall be
    subject to supervision by the director.
    (f)  The director may, by order, waive or modify any requirement under
    this act if the corresponding federal requirement for national banks is
    eliminated or modified.
    (4)  Banks which are subsidiaries of bank holding companies may receive
deposits, renew time deposits, close loans, service loans, and receive
payments on loans as agent for other depository institutions which are
subsidiaries of the same bank holding company.
    (5)  All rules must be promulgated pursuant to the provisions of chapter
52, title 67, Idaho Code.  Unless expressly provided in the Idaho bank act,
proceedings under the Idaho bank act shall not be considered "contested cases"
under chapter 52, title 67, Idaho Code.