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Can you summarize 9-B MERS Part 12, Chapter 123?
SPECIALTY OR LIMITED PURPOSE FINANCIAL INSTITUTIONS > UNINSURED BANKS
Short Summary
The provided legal document content pertains to uninsured banks and their operations. It outlines various requirements and regulations for uninsured banks in Maine. The document mentions that uninsured banks must maintain reserves in accordance with section 422-A, and the superintendent has the authority to establish additional reserve requirements. The superintendent is also empowered to prescribe rules governing the activities of uninsured banks. The document further discusses the disclosure requirements for uninsured banks to inform depositors that their deposits are not insured by the FDIC. This includes displaying signs, including statements on signature cards and deposit instruments, and including statements in deposit-related advertising. The document also mentions that an uninsured bank’s lending limit is governed by section 439-A, with loans or extensions of credit to a person limited to 15% of total capital. Additionally, the superintendent may require uninsured banks to pledge readily marketable assets for the protection of the public, with specific requirements for the pledged assets. The document states that uninsured banks may not engage in retail deposit activities and must have initial paid-in capital and maintain minimum capital as specified. It also covers the organization and conversion of uninsured banks, including the requirement for an uninsured bank to be organized pursuant to chapter 31 and locate its principal office in Maine. The document concludes by stating that an uninsured bank has all the powers, rights, duties, and obligations as a financial institution under the Title, but it is not a nondepository trust company or a merchant bank. Overall, the document aims to regulate and provide guidelines for the operations of uninsured banks in Maine.
Whom does it apply to?
Uninsured banks, holding companies of uninsured banks
What does it govern?
Uninsured banks
What are exemptions?
No specific exemptions are mentioned.
What are the Penalties?
No specific penalties are mentioned in this document.
Jurisdiction
Maine