2014 Indiana Code TITLE 28. FINANCIAL INSTITUTIONS ARTICLE 11. DEPARTMENT OF FINANCIAL INSTITUTIONS CHAPTER 1. ESTABLISHMENT OF THE DEPARTMENT OF FINANCIAL INSTITUTIONS
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IC 28-11
ARTICLE 11. DEPARTMENT OF FINANCIAL
INSTITUTIONS
IC 28-11-1
Chapter 1. Establishment of the Department of Financial
Institutions
IC 28-11-1-1
Department of financial institutions; establishment; expenses paid
by fees; not subject to oversight; examination of funds, accounts,
and financial affairs
Sec. 1. (a) The department of financial institutions is established.
(b) The department:
(1) is an independent agency in the executive branch of state
government; and
(2) exercises essential public functions.
(c) The expenses of the department in administering the financial
institutions subject to the department's oversight are paid by financial
institutions through fees established by the department under
IC 28-11-3-5.
(d) Subject to subsection (e), the department's regulatory and
budgetary functions are not subject to oversight by the following:
(1) The office of management and budget (notwithstanding
IC 4-3-22-14).
(2) The budget agency (notwithstanding IC 4-12-1).
(3) The state personnel department (notwithstanding
IC 4-15-2.2).
(4) The Indiana department of administration (notwithstanding
IC 4-13-1).
(5) The office of technology (notwithstanding IC 4-13.1).
(e) The department's funds, accounts, and financial affairs shall be
examined biennially by the state board of accounts under
IC 5-11-1-9(c).
As added by P.L.33-1991, SEC.56. Amended by P.L.213-2007,
SEC.91; P.L.217-2007, SEC.89; P.L.6-2012, SEC.200.
IC 28-11-1-2
Administration of Title 28
Sec. 2. The department shall administer this title.
As added by P.L.33-1991, SEC.56.
IC 28-11-1-3
Members of department
Sec. 3. (a) The ultimate authority for and the powers, duties,
management, and control of the department are vested in the
following seven (7) members:
(1) The director of the department, who serves as an ex officio,
voting member.
(2) The following six (6) members appointed by the governor as
follows:
(A) Three (3) members must have practical experience at the
executive level of a:
(i) state chartered bank;
(ii) state chartered savings association; or
(iii) state chartered savings bank.
(B) One (1) member must have practical experience at the
executive level as a lender licensed under IC 24-4.5.
(C) One (1) member must have practical experience at the
executive level of a state chartered credit union.
(D) One (1) member must be appointed with due regard for
the consumer, agricultural, industrial, and commercial
interests of Indiana.
(b) Not more than three (3) members appointed by the governor
under subsection (a)(2) after June 30, 2006, may be affiliated with the
same political party.
As added by P.L.33-1991, SEC.56. Amended by P.L.262-1995,
SEC.73; P.L.79-1998, SEC.85; P.L.10-2006, SEC.68 and
P.L.57-2006, SEC.68; P.L.213-2007, SEC.92; P.L.217-2007,
SEC.90.
IC 28-11-1-4
Oath of office; necessity
Sec. 4. An individual must take an oath of office before assuming
office as a member.
As added by P.L.33-1991, SEC.56.
IC 28-11-1-5
Term of office; reappointment of a member; service to continue
until successor appointed
Sec. 5. (a) A member appointed by the governor under section
3(a)(2) of this chapter serves a term of four (4) years but at the
pleasure of the governor.
(b) The governor may reappoint a member appointed under
section 3(a)(2) of this chapter.
(c) Notwithstanding the expiration of a member's term, the
member continues to serve until a successor is appointed and
qualified.
As added by P.L.33-1991, SEC.56. Amended by P.L.10-2006, SEC.69
and P.L.57-2006, SEC.69; P.L.35-2010, SEC.193.
IC 28-11-1-6
Chairman
Sec. 6. (a) The governor shall designate one (1) of the members as
chairman. The governor may appoint the director as chairman under
this section.
(b) The chairman has one (1) vote on all matters voted on by the
members.
As added by P.L.33-1991, SEC.56. Amended by P.L.10-2006, SEC.70
and P.L.57-2006, SEC.70.
IC 28-11-1-7
Salary; expenses
Sec. 7. (a) Each member who is not a state officer or employee is
entitled to receive an annual salary of four thousand dollars ($4,000).
(b) Each member is entitled to receive actual and necessary travel
and other expenses incurred in the performance of the member's
duties.
As added by P.L.33-1991, SEC.56. Amended by P.L.10-2006, SEC.71
and P.L.57-2006, SEC.71.
IC 28-11-1-8
Officers; election; term of office
Sec. 8. (a) During the first meeting after June 30 of each year, the
members shall elect the following officers:
(1) One (1) member as vice chairman.
(2) One (1) individual, who need not be a member, as secretary.
(3) Other officers considered necessary by the members.
(b) The officers elected under subsection (a) hold office for one
(1) year and until their successors are elected and qualified.
As added by P.L.33-1991, SEC.56.
IC 28-11-1-9
Meetings
Sec. 9. Each year the members shall hold the following:
(1) Regular meetings at times specified by resolution of the
members.
(2) Special meetings at the call of the chairman.
As added by P.L.33-1991, SEC.56.
IC 28-11-1-9.1
Repealed
(Repealed by P.L.134-2012, SEC.32.)
IC 28-11-1-10
Quorum; action by majority
Sec. 10. (a) Four (4) members constitute a quorum.
(b) Unless otherwise provided for in this title, if a quorum is
present, a majority of the members present is sufficient for the
department to take action.
As added by P.L.33-1991, SEC.56.
IC 28-11-1-11
Delegation of power
Sec. 11. The members may delegate a power or duty to:
(1) the director;
(2) an agent of the department; or
(3) an employee of the department;
by a rule of the department adopted under IC 4-22-2 or by a
resolution of the members.
As added by P.L.33-1991, SEC.56.
IC 28-11-1-12
Adoption of rules
Sec. 12. The department may, by a majority vote of the members,
adopt rules under IC 4-22-2 to implement this title.
As added by P.L.33-1991, SEC.56.
IC 28-11-1-13
Policies and procedures
Sec. 13. The members may by resolution establish policies and
procedures in order to facilitate:
(1) the supervision of financial institutions by the department;
and
(2) the licensing and regulation of persons and entities by the
department under:
(A) this title; and
(B) IC 24.
As added by P.L.33-1991, SEC.56. Amended by P.L.262-1995,
SEC.74; P.L.213-2007, SEC.93; P.L.217-2007, SEC.91.
IC 28-11-1-13.5
Payments by credit card, debit card, or charge card; discharge of
liability; department's authority to contract with vendor; vendor
transaction charge or discount fee
Sec. 13.5. (a) The department may accept payment of any of the
following by credit card, debit card, charge card, or similar method:
(1) A fee established by the department under IC 28-11-3-5.
(2) A penalty assessed by the department under this title or
IC 24-4.5.
(3) A fee assessed:
(A) in connection with the director's designation of an
automated central licensing system and repository under
IC 24-4.5-3-503(10); and
(B) for:
(i) processing applications and renewals for licenses under
IC 24-4.5-3; or
(ii) performing other services that the director determines
are necessary for the orderly administration of the
department's licensing system under IC 24-4.5-3.
(b) If a fee or penalty described in subsection (a) is paid by credit
card, debit card, charge card, or similar method, the liability is not
finally discharged until the department receives payment or credit
from the institution responsible for making the payment or credit.
(c) The department may contract with a bank or credit card vendor
for acceptance of bank or credit cards. If there is a vendor transaction
charge or discount fee, whether billed to the department or charged
directly to the department's account, the department or the bank or
credit card vendor may collect from the person using the bank or
credit card a uniform fee that is determined by the department.
As added by P.L.90-2008, SEC.67.
IC 28-11-1-14
Assignments, deeds, and other documents; execution
Sec. 14. All assignments, deeds, instruments, notices, orders,
rules, and other documents of the department shall be executed in the
name of "The Department of Financial Institutions" by the director
or, in case of the director's absence or disability, by:
(1) the chairman;
(2) an officer elected by the members; or
(3) an employee of the department designated in writing by the
director or the chairman.
As added by P.L.33-1991, SEC.56. Amended by P.L.213-2007,
SEC.94; P.L.217-2007, SEC.92.
IC 28-11-1-15
Director's powers; state of emergency or governor's approval
Sec. 15. If the governor:
(1) declares, under IC 10-14-3-12, a state of emergency in all or
part of Indiana; or
(2) in the absence of a declaration under subdivision (1), gives
prior approval to the director;
the director is authorized to take necessary and appropriate action to
establish or preserve safe and sound methods of banking and other
action the director considers necessary under the circumstances to
promote and safeguard the interests of depositors, debtors,
consumers, creditors, or the public.
As added by P.L.213-2007, SEC.95; P.L.217-2007, SEC.93.
Amended by P.L.35-2010, SEC.195.
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