N.Y. Banking Law Section 410
Conversion of a federal savings and loan association into a state savings and loan association


1.

Any federal savings and loan association having its place of business in this state may convert itself into a state savings and loan association. A meeting of the shareholders shall be held upon not less than ten days’ written notice to each shareholder, either served personally or mailed to him at his last known address and containing a statement of the time, place and purpose of such meeting. Proof by affidavit of due service of such notice shall be filed in the office of the association before or at the time of such meeting.

2.

At such meeting the shareholders may, by vote, in person or by proxy, of the holders of (a) at least sixty-six and two-thirds per centum in amount of the book value of all outstanding shares, or

(b)

at least seventy-five per centum in amount of the book value of the outstanding shares represented at the meeting, authorize the conversion of such federal savings and loan association into a state savings and loan association. A copy of the minutes of such meeting, verified by the presiding officer and by the secretary of the meeting, shall be filed in the office of the superintendent within thirty days after the date of such meeting.

3.

There shall be filed with such copy of the minutes, the organization certificate required by § 375 (Incorporation)section three hundred seventy-five of this article, executed by a majority of the directors, and proposed by-laws as required by § 376 (Proposed by-laws)section three hundred seventy-six of this article. The federal savings and loan association shall also submit a written plan of conversion to the superintendent, together with an investigation fee as described pursuant to § 18-A (Application fees)section eighteen-a of this chapter.

4.

Within sixty days after such filing, the federal savings and loan association shall take the action prescribed or authorized by the laws of the United States to effect such conversion and there shall thereupon be filed in the office of the superintendent a copy of any consent or authorization required of such federal savings and loan association pursuant to the laws of the United States to effect such conversion.

5.

When the superintendent shall have approved the organization certificate and the proposed by-laws and shall have issued the authorization certificate, provided in article 2 (Department of Financial Services)article two of this chapter, the association shall cease to be a federal savings and loan association and shall thereupon be converted into a state savings and loan association, but such federal savings and loan association shall be deemed to be continued for the purpose of prosecuting or defending suits and of enabling it to wind up its affairs as a federal savings and loan association, and to dispose of and convey its property. At the time when such conversion becomes effective all the property of the federal savings and loan association shall immediately by act of law and without any conveyance or transfer become the property of the state savings and loan association and the state savings and loan association shall succeed to all the rights, obligations and relations of the federal savings and loan association.

6.

In the case of a conversion of a federal savings and loan association, at the time such conversion becomes effective all life insurance plans, deferred payment plans, option plans, pension plans, and any similar plans, as well as retirement benefits, death benefits, disability benefits, and any similar benefit programs, for the benefit of officers and employees of such federal savings and loan associations which plans and programs are authorized under the laws of the United States, shall be deemed to qualify under the banking law, notwithstanding any provision of the banking law to the contrary; provided, however, that to the extent any such plan or program is in violation of any such provision of the banking law with respect to savings and loan associations, such plan or program shall be deemed to qualify under the banking law only with respect to those officers and employees who at the time when such conversion becomes effective (i) are or have been officers or employees of the converting federal savings and loan association, and

(ii)

have acquired a right or interest in such plan or program which has vested in such officers or employees by contractual arrangement in effect not less than six months prior to such conversion or by reason of such officers or employees becoming eligible and qualified under such plan or program. Notwithstanding the foregoing provisions of this subdivision, the superintendent is authorized to withhold his approval of the conversion of a federal savings and loan association if in his opinion the benefits under such plans or programs are unduly excessive.

Source: Section 410 — Conversion of a federal savings and loan association into a state savings and loan association, https://www.­nysenate.­gov/legislation/laws/BNK/410 (updated Sep. 22, 2014; accessed Jun. 15, 2024).

375
Incorporation
376
Proposed by-laws
377
When corporate existence begins
378
Power to issue shares
378‑A
Time deposits
378‑B
Club accounts
378‑C
Excelsior linked deposit program
378‑D
Preservation of books and records
378‑E
Water pollution control linked deposit program
379
Power to invest in securities
379‑B
Service corporation owned by associations
380
Power to make loans
380‑A
Power to purchase mortgage, loan or investment
380‑B
Power to purchase mortgages from mortgage holders
380‑C
Power to participate in certain loans and mortgage investments
380‑E
Effect of usury
380‑F
Power to make advances of federal funds
380‑G
Power to engage in line of credit financing of residential real estate
380‑H
Trust powers
380‑I
Personal loan departments
380‑J
Authorization to acquire and lease personal property
380‑K
Investment in promissory notes
380‑L
Excelsior linked deposit program
380‑M
Water pollution control linked deposit program
381
Power to take and hold real estate
382
Power to borrow
382‑A
Power to act as trustee under self-employed retirement trust and of individual retirement account
382‑B
Power to issue certain obligations
383
Other powers
383‑A
Rental of safe deposit boxes
384
Entries in books
385
Surplus account
386
Profits
387
Credits to surplus account and undivided profits
388
Fines and penalties for failure to make payments on instalment shares
389
Matured shares
390
Withdrawal of unpledged shares
392
Retirement of shares
393
Repayment of mortgage loans
394
Joint shares
395
Alternative provisions relative to payment of interest to shareholders
396
Change of location
396‑A
Electronic facilities
396‑B
Acceptance of United States currency
397
Number, qualifications and disqualifications of directors
397‑A
Report to directors
398
Filling of vacancies in board of directors
398‑A
Forfeiture of office of director
398‑B
Duties of directors and officers
398‑C
Executive committee and other committees
399
Restrictions on directors and officers
399‑A
Restrictions on holding of certain offices by executive officers of federal savings banks and federal savings associations
400
Pensions
401
Official communications to be submitted to directors and noted in minutes
402
Amendment of articles of association and by-laws
403
Examination by directors
404
Reports to the superintendent
404‑A
Photographic reproduction of records
405
Annual report to shareholders
406
Charters conformed to this article
407
Exemptions
409
Conversion of a state savings and loan association into a federal savings and loan association
410
Conversion of a federal savings and loan association into a state savings and loan association
411
Conversion of a savings and loan association or federal savings and loan association into a savings bank
412
Conversion of federal savings institutions to state charter
413
Reciprocal interstate acquisitions

Accessed:
Jun. 15, 2024

Last modified:
Sep. 22, 2014

§ 410’s source at nysenate​.gov

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