Ask Reggi Your Question Now
Can you summarize NERS 8-195?
BANKS AND BANKING > Insolvent banks; possession by department; petition to enjoin; show cause order; findings by district court; disposition of case.
Short Summary
This legal document pertains to insolvent banks and their interaction with the Department of Banking and Finance. If a bank deems itself aggrieved by the actions of the department, it can petition the district court to enjoin further proceedings. The court will then hear the allegations and proofs of the parties and determine the facts. If the bank can prove that it is solvent, conducting its business as provided by law, and not endangering the interests of its depositors and other creditors, and that the Director of Banking and Finance has acted arbitrarily and abused their discretion, the court may set aside the declaration of insolvency and enjoin the director from proceeding further. On the other hand, if the bank is insolvent and its stockholders or owners have failed to restore solvency as provided by law, or if the bank is being operated in violation of the law and the director has acted within their powers, the petition will be dismissed by the court.
Whom does it apply to?
Banks of whose property and business the department has taken possession or whose insolvency has been declared
What does it govern?
Insolvent banks
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Nebraska