Sec. 11003. Removal and prohibition authority.
411 words·~2 min read·
/il/chapter-205/act-205/11003·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Sec. 11003. Removal and prohibition authority.
(a)In addition to other provisions of this Act concerning officers and directors, the Commissioner may remove or suspend from any savings bank operating under this Act any officer, director, employee, or agent of a savings bank, and the Commissioner may prohibit participation in the affairs of any savings bank by any current, former, or prospective officer, director, employee, or agent of a savings bank, if he finds any of the following:
(1)The person or persons have directly or indirectly violated any law, regulation, or
order including orders, conditions, and agreements between the savings bank and the Commissioner or between the savings bank and its federal regulators.
(2)The person or persons have breached their fiduciary or professional responsibilities
to the savings bank.
(3)The person or persons have engaged or participated in unsafe action in conducting
the business of a savings bank, a savings bank holding company, or a savings bank affiliate.
(4)The person or persons have obstructed or impeded an examination or investigation of
a savings bank, a savings bank holding company, or savings bank affiliate.
(5)The person or persons have similarly behaved towards any other insured depository
institution or otherwise regulated entity or that the person or persons are the subject of any final order issued by the federal insurer, the Office of the Comptroller of the Currency, the Federal Reserve Board, a state financial institutions regulator, the Securities and Exchange Commission, or by a state or federal court of law.
(b)The Commissioner may serve upon a party a written notice of the Commissioner's intention to remove or suspend the party from office in the savings bank or to prohibit any participation in any manner by the party in the affairs of any savings bank, if the Commissioner finds because of a violation of subsection
(a)any of the following:
(1)Any savings bank, other insured depository institution, or other regulated entity
has or probably will suffer financial loss or other damage.
(2)The interests of the savings bank's depositors or other insured depository
institution's depositors have been or could be prejudiced.
(3)The party has received financial gain or other benefit by reason of the violation
and the Commissioner finds that the violation or breach involves personal dishonesty on the part of the party or demonstrates willful or continuing disregard by the party for the safety and soundness of the savings bank or other insured depository institution.