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Can you summarize 5 ALCA Chapter 8A?
BANKS AND FINANCIAL INSTITUTIONS. > LIQUIDATION OF BANKS.
Short Summary
The provided legal document content pertains to the voluntary dissolution of a solvent bank under the provisions of Alabama law. It states that any solvent bank can dissolve following the procedures outlined in the Alabama law for voluntary dissolution of a business corporation, but only with the written approval of the superintendent. The superintendent has the authority to require the directors of the bank to provide a bond, approved by him, payable to the State of Alabama. The bond is for the protection of the superintendent and all other interested parties, and its amount should not exceed the total liability of the bank to its depositors and other creditors. Once the superintendent approves the dissolution procedures in writing, the bank is prohibited from accepting any further deposits. The document does not mention any specific exemptions or penalties related to the dissolution of a solvent bank. This legal document governs the final distribution, termination of receivership, and dissolution of a bank. It applies to receivers of an insolvent bank, depositors, creditors, and stockholders. The document outlines the process for the receiver to pay the full amount of claims to depositors and creditors, make provision for unclaimed deposits, and distribute any remaining assets to stockholders. Creditors are not entitled to receive interest after the date of possession by the superintendent. The receiver is directed to file a certificate of dissolution and the approval of the superintendent with the judge of probate and the Secretary of State, resulting in the dissolution of the bank. Any unclaimed funds in the hands of the receiver are to be transmitted to the State Treasurer as unclaimed property. The document does not mention any specific exemptions or penalties.
Whom does it apply to?
Receivers of an insolvent bank, depositors, creditors, and stockholders
What does it govern?
Final distribution, termination of receivership, and dissolution of a bank
What are exemptions?
No specific exemptions are mentioned
What are the Penalties?
No specific penalties are mentioned
Jurisdiction
Alabama