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Can you summarize 45 TNCO Chapter 2, Part 14?
Banking Institutions > Bank Holding CompaniesBank Structure Act of 1974
Short Summary
The Bank Holding CompaniesBank Structure Act of 1974, part of the Tennessee Code, governs bank holding companies and banking institutions in Tennessee. It provides regulations and guidelines for their structure and operations. The Act prohibits bank holding companies and out-of-state banks from acquiring control of, merging, or consolidating with a Tennessee bank that has not been in operation for at least three years, with exceptions for certain circumstances. The Act also prohibits a bank or bank holding company from acquiring any bank in Tennessee if it would control 30% or more of the total amount of deposits of insured depository institutions in Tennessee. The Act defines various terms used in the Act and includes references to relevant acts and cross-references to other sections of the Tennessee Code. The Act grants the commissioner the power to establish rules and regulations to carry out the legislative purposes of the Act. It also governs the establishment and maintenance of branches by out-of-state banks in Tennessee and requires out-of-state banks to provide prior notice of certain transactions. The Act empowers the commissioner to take enforcement actions against out-of-state banks and trust institutions operating in Tennessee in violation of state laws or operating unsafely. The Act also covers examinations, periodic reports, cooperative agreements, and assessment of fees for out-of-state state banks operating branches in Tennessee and Tennessee state banks operating branches in other states. The Act does not specify any penalties for non-compliance or violation of its provisions.
Whom does it apply to?
Bank holding companies, banking institutions, out-of-state banks, Tennessee banks
What does it govern?
Bank Holding CompaniesBank Structure Act of 1974
What are exemptions?
Exceptions include interim bank mergers, acquisition of financially troubled Tennessee banks, acquisition of shares as collateral security, acquisition of shares in a fiduciary capacity, acquisition of control by a Tennessee bank holding company, acquisition of shares by a bank holding company with majority assets held by banks in operation for more than three years
What are the Penalties?
No specific penalties mentioned
Jurisdiction
Tennessee