32-1-515. Powers of department on closing bank -- court proceedings.
277 words·~1 min read·
/mt/title-32/chapter-1/part-5/32-1-515·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
32-1-515 . Powers of department on closing bank -- court proceedings.
(1)Upon taking the assets and business of a bank into its possession, the department is authorized to collect all money due to the bank and to do other acts necessary to conserve the bank's assets and business. The department shall proceed to liquidate the affairs of the bank.
(2)The department may, except as limited by the terms of this chapter, do any acts necessary or desirable for the protection of the property and assets of the bank, the speedy and economical liquidation of the assets and affairs of the bank, the payment of creditors, or the reopening and resumption of business when that is practicable or desirable.
(3)The department may institute, in its own name or in the name of the bank, legal proceedings it considers expedient for the purposes of subsection (1).
(a)By applying to the district court of the county in which the bank is located or to the judge of that court, the department may obtain an order to sell, compromise, or compound any bad or doubtful debt or claim and to sell and dispose of any assets. The sale may be made to stockholders, officers, directors, or others interested in the bank on consent of the court.
(b)In the court proceedings the bank must be made a party by notice issued on order of the court or judge, in place of summons, and served upon an officer of the bank if there is an officer in the county.
(5)If the federal deposit insurance corporation is appointed as the liquidating agent, subsection
(4)does not apply.