Title 6, Banks and Financial Institutions

Failure to comply with this article does not affect the validity or enforceability of any debt, mortgage, deed of trust or any other lien interest on real estate. A person acquiring a mortgage loan or any interest in a mortgage loan as mortgagee or beneficiary or as an assignee, …

In this article, unless the context otherwise requires: 1. "Lessee" means a person contracting with a lessor for the use of a safe deposit repository. 2. "Lessor" means a corporation or association authorized under the laws of this state, any other state or the United States to d…

A. The relationship between the lessor and the lessee shall be that of landlord and tenant in the absence of a written contract to the contrary, notwithstanding that the lessor prescribes the hours of entry into its repositories, retains and requires the use of a preparation or g…

A lessor may, during the term of any lease, move its repositories and the contents to another location on giving notice to the lessees in the manner and time required by such regulations as the deputy director may adopt.

A tenancy in a safe deposit repository may be created by contract with two or more persons, including minors, named as lessees. The terms of the contract may provide that any one or more of the lessees, or the survivor or survivors of the lessees shall have access and entry to th…

A lease of a repository shall not be invalid or voidable by reason of the minority of the lessee or lessees and all rights and liabilities of the lessor and any lessee arising out of such transaction and any act of the parties in relation thereto shall be of the same legal effect…

A. Notice to the lessor of an adverse claim is not effectual to require the lessor to deny access to any person previously named on its records as lessee or as officer or agent of any lessee, nor is it sufficient to require the lessor to allow access to the repository by any adve…

Neither the death nor incompetency of a lessee revokes the authority of a lessor to deal with an agent who has been authorized in writing by such lessee until the lessor has actual knowledge of the fact of death or of an adjudication of incompetency of the lessee, nor is the revo…

In the event only one lessee is named in the lease of a repository and the lessee dies, or on the death of last surviving lessee under a tenancy in two or more names, the repository may be opened by two employees of the lessor in the presence of any person who presents himself an…

A. The lessor shall have a landlord's lien upon the contents of a repository for the rent. B. If the lessee does not pay the rent within six months after it is due, or fails to surrender possession of the repository within six months from the date of termination of the lease, the…

In this chapter, unless the context otherwise requires: 1. "Acquisition of control" means a transaction by which a person obtains, directly or indirectly, control of a financial institution. 2. "Application" means an application which is made pursuant to this article for approval…

A person shall not directly or indirectly take any action that causes or results in a company becoming a financial institution holding company, except with the approval of the deputy director pursuant to this article or as otherwise allowed by this article.

A. This article does not apply to the following persons or transactions of the type specified: 1. A registered dealer who acts as an underwriter or member of a selling group in a public offering of the voting securities of a financial institution or controlling person. 2. A perso…

A. A person shall not, directly or indirectly, make a tender offer for, request or invite a tender offer for, offer to exchange securities for or acquire in the open market or otherwise any voting security or any security convertible into a voting security of a financial institut…

A. An application shall be in writing, in such form as the deputy director may prescribe and accompanied by the information, data and records the deputy director requires. The deputy director shall prescribe by rule or order the form of the application and the information, data o…

If any material change occurs in the facts set forth in the application, or if for any other reason the acquiring party desires to amend the application, the person shall file with the deputy director an amendment setting forth the change, together with copies of all documents an…

A. The deputy director may deny an application if the deputy director finds any of the following: 1. The financial condition of the financial institution holding company that would acquire control will jeopardize the financial stability of the financial institution or controlling…

An application that is not denied or approved by the deputy director within sixty days after the application is filed with the deputy director is deemed to be approved by the deputy director as of the first day after the period. The deputy director and the applicant may extend th…

Before determining whether a person controls another person or before denying or approving an application for approval to become a financial institution holding company the deputy director may hold a hearing. The deputy director shall give notice of the hearing to the applicant, …

A person who is not a resident of this state, domiciled in this state or authorized to do business in this state and who files an application is deemed to have: 1. Consented to the jurisdiction of the courts of this state for all actions arising under this article. 2. Appointed t…

A. With respect to any voting security acquired in violation of this article or any rule or order of the deputy director, a person is not entitled to vote or give a written proxy or consent for a period of five years after the acquisition except with the written consent of the de…

A. The deputy director may require reports from and examine financial institution holding companies and each subsidiary of the holding companies. The deputy director shall accept the examination and financial reports of the appropriate federal or state holding company regulatory …

In this article, unless the context otherwise requires: 1. "Acting in concert" means persons knowingly acting together with a common goal of jointly acquiring control of a licensee whether or not pursuant to an express agreement. 2. "Authorized delegate" means a person that a lic…

A. This article does not apply to any of the following: 1. An operator of a payment system that provides processing, clearing or settlement services between or among persons exempted by this section or licensees in connection with wire transfers, credit card transactions, debit c…

A. To implement this article, the director may: 1. Enter into agreements or relationships with other government officials or federal and state regulatory agencies and regulatory associations in order to improve efficiencies and reduce regulatory burden by standardizing methods or…

A. The director may conduct an examination or investigation and take action authorized by this title or by a rule adopted or order issued under this title to administer and enforce this article and other applicable law, including the bank secrecy act (P.L. 91-508; 84 Stat. 1114) …

A. The director may participate in multistate supervisory processes established between states for all licensees that hold licenses in this state and other states. As a participant in multistate supervision, the director shall: 1. Cooperate, coordinate and share information with …

A. If a state money transmission jurisdiction is conditioned on a federal law, any inconsistencies between this article and the federal law relating to money transmission shall be governed by the applicable federal law to the extent of the inconsistency. B. If there is an inconsi…

A. A person may not engage in the business of money transmission or advertise, solicit or hold itself out as providing money transmission unless the person is licensed under this article. B. Subsection A of this section does not apply to either of the following: 1. A person that …

A. To establish consistent licensure between this state and other states, the director may do both of the following: 1. Implement all licensing provisions of this article in a manner that is consistent with other states that have adopted laws that are substantively similar to thi…

A. An applicant for a license shall apply in a form prescribed by the director and pay all applicable nonrefundable fees as prescribed in section 6-126. The application must contain all of the following: 1. The legal name and residential and business addresses of the applicant an…

A. Any individual in control of a licensee or applicant, any individual who seeks to acquire control of a licensee and each key individual shall submit both: 1. A full set of fingerprints pursuant to section 6-123.01. 2. The individual's personal history and experience to the dir…

A. When an application for an original license under this article includes all of the required items and addresses, the application is complete and the director shall promptly notify the applicant in a record of the date on which the application is determined to be complete. The …

A. A license under this article shall be renewed annually. B. An applicant for license renewal shall pay all applicable fees as prescribed in section 6-126 not more than sixty days before the license expires. C. The renewal term shall be for a period of one year and shall begin o…

A. If a licensee does not continue to meet the qualifications or satisfy the requirements that apply to an applicant for a new money transmission license pursuant to this article, the director may suspend or revoke the licensee's license. B. An applicant for a money transmission …

A. Any person or group of persons acting in concert, seeking to acquire control of a licensee, shall obtain the written approval of the director before acquiring control. An individual is not deemed to acquire control of a licensee and is not subject to this section when the indi…

A. A licensee adding or replacing any key individual shall provide both of the following: 1. Notice in a manner prescribed by the director within fifteen days after the effective date of the key individual's addition or replacement. 2. Information as required by section 6-1210 wi…

A. Each licensee shall submit a report of condition within forty-five days after the end of the calendar quarter or within any extended time as the director prescribes. B. The report of condition shall include: 1. A consolidated financial statement, including a balance sheet and …

A. Within ninety days after the end of each fiscal year or within any extended time as the director prescribes, each licensee shall file with the director both of the following: 1. An audited financial statement of the licensee for the fiscal year prepared in accordance with Unit…

A. Each licensee shall submit a report of authorized delegates within forty-five days after the end of the calendar quarter. The director may use NMLS for the submission of the report required by this subsection if functionality complies with this section. B. The authorized deleg…

A. A licensee shall file a report with the director within one business day after the licensee has reason to know of the occurrence of any of the following: 1. The filing of a petition by or against the licensee under the United States bankruptcy code (11 United States Code secti…

A licensee and an authorized delegate shall file all reports required by federal currency reporting, recordkeeping and suspicious activity reporting requirements as set forth in the bank secrecy act (P.L. 91-508; 84 Stat. 1114) and other federal and state laws relating to money l…

A. To help the director determine the licensee's compliance with this article, a licensee shall maintain the following records for at least five years: 1. A record of each outstanding money transmission obligation sold. 2. A general ledger posted at least monthly that contains al…

A. Before a licensee is authorized to conduct business through an authorized delegate or allows a person to act as the licensee's authorized delegate, the licensee must: 1. Adopt, and update as necessary, written policies and procedures reasonably designed to ensure that the lice…

A person may not engage in the business of money transmission on behalf of a person that is not licensed under this article or that is not exempt pursuant to section 6-1202. A person that engages in the activity in violation of this section is jointly and severally liable with th…

A. Every licensee shall forward all money received for transmission in accordance with the terms of the agreement between the licensee and the sender unless the licensee has a reasonable belief or a reasonable basis to believe that the sender may be a victim of fraud or that a cr…