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Can you summarize MDCM Fin. Inst., Title 5, Subtitle 9?
Short Summary
This legal document provides definitions for various terms used in Subtitle 9 of Title 5 of the Code of Maryland, which pertains to bank holding companies and banks. The document defines terms such as ‘acquire’, ‘affiliate’, ‘bank’, ‘bank holding company’, ‘bank supervisory agency’, ‘control’, ‘deposit’, ‘foreign bank holding company’, ‘insured depository institution’, ‘Maryland bank’, ‘Maryland bank holding company’, ‘out-of-state bank holding company’, ‘principal place of business’, ‘state’, and ‘subsidiary’. These definitions help in understanding the provisions and requirements related to bank holding company acquisitions and the regulation of banks in Maryland. The document does not mention any specific exemptions or penalties. The document also governs the acquisition of Maryland bank holding companies or Maryland banks by bank holding companies. It states that no bank holding company can acquire a Maryland bank holding company or a Maryland bank without the approval of the Commissioner, unless otherwise permitted by federal law. However, there are exemptions to this prohibition. The acquisition is allowed if it is solely for facilitating an acquisition permitted under this subtitle, in a transaction arranged by the Commissioner or another bank supervisory agency to prevent the insolvency or closing of the acquired bank, or in a transaction where a bank forms its own bank holding company with substantially similar ownership rights for former bank shareholders. In cases where the Commissioner’s approval is not required, the parties involved must provide written notice to the Commissioner at least 15 days before the effective date of the acquisition. The document also covers the submission of reports and information by bank holding companies that control Maryland banks or Maryland bank holding companies. It requires these bank holding companies to submit copies of reports filed with a bank supervisory agency by each Maryland bank they control, as well as a report specifying the location and amount of deposits held by each branch of each Maryland bank. The Commissioner may request copies of examination reports prepared by any bank supervisory agency in connection with the examination of any Maryland bank. However, the Commissioner may not request the specified reports if the information is available from another bank supervisory agency. The document does not mention any specific penalties. The Commissioner may enforce the provisions of this subtitle by any appropriate action in the circuit courts of the State, including actions for injunctive relief and for divestment. If any provision of this subtitle or the application thereof to any person or circumstance is held invalid for any reason in a court of competent jurisdiction, the invalidity does not affect other provisions or any other application of this subtitle that can be given effect without the invalid provision or application.
Whom does it apply to?
Bank holding companies, banks, Maryland bank holding companies, Maryland banks
What does it govern?
Subtitle 9 of Title 5 of the Code of Maryland, which pertains to bank holding companies and banks
What are exemptions?
Exemptions include acquisitions solely for facilitating an acquisition permitted under this subtitle, acquisitions arranged by the Commissioner or another bank supervisory agency to prevent insolvency or closing of the acquired bank, and transactions where a bank forms its own bank holding company with substantially similar ownership rights for former bank shareholders
What are the Penalties?
No specific penalties mentioned
Jurisdiction
Maryland