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Can you summarize 3 NYCRR Part 97?
General Regulations of the Superintendent > Investment in Credit Union Organizations
Short Summary
The provided legal document content pertains to the investment in credit union organizations. It outlines the definition of a shared service center, the permitted services that a credit union organization can offer to its members, and the requirement to notify the superintendent about the location of shared service centers. Additionally, it states that a credit union cannot invest in or make loans to any credit union organization without filing a letter agreement with the superintendent, which includes certain provisions related to supervision and reimbursement of examination costs. The document also emphasizes the need for a credit union organization to demonstrate separate corporate existence and operational distinction from its member credit unions. It sets a limit on the aggregate amount of investments and loans a credit union can have in credit union organizations. Furthermore, it establishes procedures for making capital investments in credit union organizations, including the requirement to provide written notice to the superintendent and the possibility of objection or approval based on the alignment with the purposes and intent of the relevant banking law. The document specifies the activities in which a credit union organization may engage and defines a credit union organization as an organization primarily serving the needs of its member credit unions. Lastly, it states that the provisions of this document apply to all credit unions investing in credit union organizations.
Whom does it apply to?
Credit unions
What does it govern?
Investment in credit union organizations
What are exemptions?
No specific exemptions are mentioned.
What are the Penalties?
No specific penalties are mentioned.
Jurisdiction
New York