Bond

(a) If the department appoints a conservator other than a public body of the United States that insures the shares of a credit union, an employee of the department, or the department itself, the conservator and any assistants shall provide a bond, payable to the credit union and executed by a surety company authorized to do business in this state. (b) The amount of such bond shall be approved by the department and be in an amount to ensure the faithful discharge of duties in connection with the conservatorship and take into account the amount of money under the control of the conservator. (c) The cost of such bond shall be paid from the assets of the credit union. (d) Any person injured by a breach of the conditions on such bond has a right to bring a civil remedy in order to seek to collect on such bond. (e) A bond of a credit union shall be deemed satisfactory if the department determines it covers a conservator and any assistants. 346 7-1-650 History. Code 1981, § 7-1-644, enacted by Ga. L. 2015, p. 344, § 19/HB 184. 7-1-645. Show cause requirement; appointment of receiver; role of conservator; limitation on court’s role. (a) No later than ten days after the date a conservator is appointed pursuant to Code Section 7-1-640, a credit union may apply to its principal court for an order requiring the department to show cause why it should not be enjoined from continuing the conservatorship. (b) If at any time the department determines that a credit union is not in a condition to continue business under a conservator, the department may appoint a receiver in accordance with Code Section 7-1-150. (c) A conservator may conduct the business of a credit union and take steps toward the removal of the causes and conditions that have necessitated the appointment of a conservator until such time as: (1) The department shall permit such credit union to continue business subject to such terms and conditions as may be imposed by the department; (2) Such credit union is liquidated in accordance with the provisions of subsection (b) of this Code section; or (3) Otherwise ordered by the principal court of such credit union. (d) Except as provided in this chapter, no court shall take any action, except at the request of the department, to restrain or affect the exercise of powers or functions of a conservator. History. Code 1981, § 7-1-645, enacted by Ga. L. 2015, p. 344, § 19/HB 184. PART 3 OPERATION AND REGULATION Editor’s notes. Ga. L. 2015, p. 344, § 19/HB 184, redesignated former Part 2 of Article 3 of Chapter 1, which consisted of Code Sections 7-1-650 through 7-1-670, as Part 3 of Article 3 of Chapter 1. 7-1-650. Powers.