51A-14-5. Liquidation procedures in the event of reorganization.
141 words·~1 min read·
/sd/title-51/chapter-51-14/51a-14-5·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
If a bank has been merged or consolidated with another bank or the bank's assets have been purchased and the bank's liabilities assumed by another bank, in any instance other than an emergency, within thirty days thereafter, the directors of the bank shall institute proceedings to legally dissolve the bank's charter in the same manner as provided for voluntary liquidation in chapter 51A-15 . However, no notice need be given pursuant to § 51A-15-3 . Approval by the director of the merger, consolidation, or purchase of assets and assumption of liabilities constitutes approval of the voluntary liquidation as provided in § 51A-15-1 .
However, the approval is subject to approval of the proposal to liquidate and dissolve by a vote of two-thirds of the outstanding stock of the liquidating bank at a meeting called for the purpose of considering such action.