Washington Administrative Code

This chapter implements the authority of the director of the department of financial institutions (the "director") under chapters 32.08, 32.34, and 34.05 RCW to enact regulations concerning the organization and operation of mutual holding companies. It addresses only those featur…

(1) The definitions in RCW 32.32.025 shall apply to any transaction under these rules unless the context requires otherwise and except as provided herein.(2) The reorganization of a mutual savings bank into mutual holding company form ("reorganization") and the subsequent convers…

(1) Notwithstanding any other provision of law, and in accordance with the general requirements set forth in WAC 208-514-050 through 208-514-140, a mutual savings bank may reorganize under a plan of reorganization so as to cause its deposit-taking and one or more other activities…

(1) A reorganization of a mutual savings bank pursuant to these rules shall be approved by not less than two-thirds of the board of trustees of the mutual savings bank.(2)(a) A mutual savings bank proposing a reorganization pursuant to these rules shall provide the director with …

(1)(a) The plan of reorganization may authorize the formation of a MHC by:(i) The organization by or at the discretion or request of the mutual savings bank of a business trust or mutual corporation that shall serve as a MHC, the organization by the MHC of a stock savings bank su…

(1) Upon the formation of a MHC:(a) The MHC shall possess all the rights, powers, and privileges (except deposit-taking powers) and shall be subject to all the limitations, not inconsistent with these rules, of a mutual savings bank under Title 32 RCW; and(b) The MHC shall be sub…

(1) Any offering of shares of voting securities by a MHC which converts to stock form or of common stock of a stock savings bank subsidiary of a MHC that will cause the holding company to hold less than fifty-one percent of the issued and outstanding common stock of the stock sav…

(1) Upon a conversion to stock form, as such conversion is defined in WAC 208-514-030(2), by a MHC or a stock savings bank subsidiary of a MHC, depositors of the stock savings bank at the record date of the conversion to stock form who continuously have been depositors since the …

The authority for a stock savings bank subsidiary of a MHC to issue stock shall be subject to the following limitations, unless otherwise approved by the director.(1) The stock sold in the reorganization shall be sold at a total price equal to the estimated pro forma market value…

(1) The entire unconsolidated net worth of a MHC shall constitute a liquidation account for the benefit of the depositors of its subsidiary stock savings banks who continuously have been depositors since the reorganization or were depositors of any savings association subsequentl…

(1) The mutual holding company may retain or acquire assets of the mutual savings bank only to the extent permitted by the director.(2) A stock savings bank established in connection with a reorganization shall reserve no authorized but unissued shares, except as necessary to sat…

(1) If approved by the director, a MHC may convert to a stock form holding company.(2) The MHC shall adopt a plan of conversion which the director finds to be in accordance with the provisions of chapter 32.32 RCW and these rules.(3) The conversion must include such provisions re…

Nothing contained in chapter 208-514 WAC shall be construed to prohibit the de novo chartering of a stock savings bank not intended to be in holding company form.[Statutory Authority: RCW 30.04.030 and 43.320.040. WSR 01-06-024, § 208-514-140, filed 2/27/01, effective 3/30/01; WS…

The purpose of this chapter shall be to provide persons desiring to incorporate a bank or trust company with the requirements and guidelines necessary to comply with statutory provisions and to insure expeditious processing of a notice of intention to organize a bank or trust com…

A notice of intention to incorporate a bank or trust company shall be filed with the director at the division of banks in Olympia. As a matter of general procedure, it has been found desirable and is recommended that interested groups visit the office of the director for a round-…

The notice of intention to organize a state bank or trust company shall be filed with the director in duplicate, on a form furnished by the division of banks. It is the established policy of the division of banks to require diligent and timely completion and submission of forms, …

The filing fee to accompany the notice of intention to organize a bank or trust company shall be that established by WAC 208-512-045, as now or hereafter amended. If the application is withdrawn by applicants before a field investigation is undertaken a refund will be made based …

The required field investigation will be undertaken promptly upon submission of the notice of intention to organize a bank or trust company accompanied by statutory fees, provided the required documentation is determined by preliminary review to be complete in all respects. If, i…

The division of banks hereby adopts for use of all persons requesting permission to organize a state bank or trust company, the form attached hereto as Appendix No. 1, entitled "Notice of intention to organize a state bank or trust company."[Statutory Authority: RCW 30.04.030 and…

The subscription agreement with prospective purchasers of the capital stock of a proposed new bank or trust company shall not contain any agreement for any amount to be paid in advance for the purpose of defraying organization costs. No payment on subscription for stock shall be …

appendix inotice of intention to organize astate bank or trust companyTo the Director of the Department of Financial Institutions:We, the undersigned, as proposed incorporators and subscribing shareholders, being natural persons and citizens of the United States of America, make …

The purpose of this chapter is to ensure compliance with and provide the rules and regulations necessary to administer the provisions and requirements of chapter 53, Laws of 1973 1st ex. sess.[Statutory Authority: RCW 30.04.030 and 43.320.040. WSR 00-18-103, recodified as § 208-5…

For purposes of these rules and regulations, the following terms are defined as:(1) Act - chapter 53, Laws of 1973 1st ex. sess.(2) Application - "Application" means an application of an alien bank to the director of the department of financial institutions for a certificate of a…

An application by an alien bank to establish and operate an office or bureau in the state of Washington shall be made on the form prescribed in Appendices 1, 2 or 3, whichever is applicable.An application shall not be deemed complete if, in the opinion of the director, the applic…

The accountant selected to audit the books of account of an alien office shall be an independent accountant licensed to practice by the state of Washington and who is not an employee, officer, or holder of the securities of the alien bank or its subsidiaries. Such accountant must…

(1) The fees to accompany the filing of an application and attendant investigation are prescribed in WAC 208-512-045, as now or hereafter amended.(2) Cost of examination. The examination fees charged to an alien bank for the examination of an office or bureau shall be the estimat…

Records and books of account of an alien bank office shall be kept as though the Washington office was conducted as a separate and distinct entity with its assets and liabilities entirely separate and apart from other operations of its head office and its subsidiaries or affiliat…

An alien branch shall:(1) Identify United States domiciled creditors.(2) Segregate and maintain controls for:(a) Demand deposits.(b) Time deposits.for each class of depositors specified and authorized in section 11(1)(i) through (vii) of the act.(3) Maintain loan records and cont…

With consideration to the statutory requirements imposed upon an approved agency of an alien bank by section 18 of the act, an agency shall maintain controls and records relating to the making of loans and guaranteeing obligations for the financing of the international movement o…

Each alien bank shall file the following periodic reports relating to the financial condition of the office:(1) Examination (audit) report by an accountant approved by the director as of the last business day of the fiscal year as prescribed by section 14 of the act.(2) Reports o…

Every alien bank branch, the deposits of which are not insured by the Federal Deposit Insurance Corporation, shall display at its place of business in Washington a sign at least seven inches by three inches at each window or place where deposits are accepted stating that deposits…

application for certificate authorizingan alien bank to establish andoperate a branch in the state of washingtonTO:Director of the Department of Financial InstitutionsDivision of BanksOlympia, Washington 98504The (Applicant alien bank) , with its head office and principal place o…

application for certificate authorizingan alien bank to establish andoperate an agency in the state of washingtonTO:Director of the Department of Financial InstitutionsDivision of BanksOlympia, Washington 98504The (Applicant alien bank) with its head office and principal place of…

application for certificate authorizingan alien bank to establish andoperate a bureau in the state of washington(To be filed in duplicate)TO:Director of the Department of Financial InstitutionsDivision of BanksOlympia, Washington 98504The (Applicant alien bank) , with its head of…

For purposes of this chapter, the following words are defined as:(1) "Fiduciary powers" means the power to act in any fiduciary capacity authorized by the state of Washington including, but not limited to, trustee, executor, administrator, registrar of stocks and bonds, guardian …

(1)(a) The board of directors is responsible for the proper exercise of fiduciary powers by the trust company. All matters pertinent thereto, including the determination of policies, the investment and disposition of property held in a fiduciary capacity, and the direction and re…

A committee of directors, exclusive of any active officers of the trust company, shall at least once during each calendar year make suitable audits of the trust department or cause suitable audits to be made by auditors responsible only to the board of directors, and at such time…

Any trust company qualified to act as fiduciary in this state may establish common trust funds (referred to in this regulation as "collective investment funds") for the purpose of furnishing investments to itself as fiduciary, or to itself and others, as co-fiduciaries; and may, …

Collective investments of funds or other property held by such qualified fiduciary (and referred to in this paragraph as "collective investment funds") shall be administered as follows:(1) Each collective investment fund shall be established and maintained in accordance with a wr…

(1) Not less frequently than once during each period of 3 months a trust company administering a collective investment fund shall determine the value of the assets in the fund as of the date set for the valuation of assets. No participation shall be admitted to or withdrawn from …

A trust company administering a collective investment fund shall at least once during each period of 12 months cause an adequate audit to be made of the collective investment fund by auditors responsible only to the board of directors of the trust company. In the event such audit…

(1) A trust company administering a collective investment fund shall at least once during each period of 12 months prepare a financial report of the fund which shall be filed with the director of the department of financial institutions within 90 days after the end of the fund's …

(1) A trust company administering a collective investment fund shall have the exclusive management thereof, except as a prudent person might delegate responsibilities to others.(2) No trust company shall have any interest in a collective investment fund other than in its fiduciar…

(1) A trust company administering a collective investment fund may charge reasonable expenses incurred in operating the collective investment fund but shall absorb the costs of establishing or reorganizing a collective investment fund.(2) The trust company may charge a fee for th…

No trust company administering a collective investment fund shall issue any certificate or other document evidencing a direct or indirect interest in such fund in any form, except to provide a withdrawing account with an interest in a segregated investment.[Statutory Authority: R…

No mistake made in good faith and in the exercise of due care in connection with the administration of a collective investment fund shall be deemed to be a violation of this part if promptly after the discovery of the mistake the trust company takes whatever action may be practic…

This chapter establishes the rules mandated by RCW 30.04.070 for the collection of authorized fees and charges from regulated institutions. These rules apply unless the director makes a finding that their application in a specific case would be inconsistent with the division's mi…

Unless the context clearly requires otherwise, the definitions used in this section apply throughout this chapter.(1) "Agricultural lender" has the definition given in RCW 31.35.020(1).(2) "Alien bank" has the definition given in RCW 30.42.020(1).(3) "Bank" has the definition giv…

When determining the collection method for authorized fees and charges, the director shall consider, but not be limited to, the following principles:(1) The revenue collected shall be sufficient to allow the division to examine institutions within all required time periods;(2) Re…

The division shall collect the following:(1) A semiannual assessment based on asset size in order to recoup the indirect costs related to the examination of regulated institutions as specified in WAC 208-544-020;(2) An hourly charge for the direct cost of examinations determined …