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Title 12 — Banks and BankingRelease 119-73not60

§71a Number of Directors; Penalties

Title 12 › Chapter 2— NATIONAL BANKS › Subchapter III— DIRECTORS › § 71a

Last updated Apr 3, 2026|Official source

Summary

Starting one year from June 16, 1933, every national banking association and every State bank or trust company that is a member of the Federal Reserve System must have at least five and no more than twenty-five board members. The Comptroller of the Currency can exempt a national bank from the 25-member cap. If a national bank ignores the rule after 30 days’ notice from the Comptroller, the Comptroller may appoint a receiver or conservator. If a member State bank or trust company ignores the rule after 30 days’ notice from the Board of Governors of the Federal Reserve System, it may lose its Federal Reserve membership under section 327.

Full Legal Text

Title 12, §71a

Banks and Banking — Source: USLM XML via OLRC

After one year from June 16, 1933, notwithstanding any other provision of law, the board of directors, board of trustees, or other similar governing body of every national banking association and of every State bank or trust company which is a member of the Federal Reserve System shall consist of not less than five nor more than twenty-five members, except that the Comptroller of the Currency may, by regulation or order, exempt a national bank from the 25-member limit established by this section. If any national banking association violates the provisions of this section and continues such violation after thirty days’ notice from the Comptroller of the Currency, the said Comptroller may appoint a receiver or conservator therefor, in accordance with the provisions of existing law. If any State bank or trust company which is a member of the Federal Reserve System violates the provisions of this section and continues such violation after thirty days’ notice from the Board of Governors of the Federal Reserve System, it shall be subject to the forfeiture of its membership in the Federal Reserve System in accordance with the provisions of section 327 of this title.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2000—Pub. L. 106–569 inserted before period at end of first sentence “, except that the Comptroller of the Currency may, by regulation or order, exempt a national bank from the 25-member limit established by this section”. 1935—Act
June 16, 1934, as amended by act Aug. 23, 1935, § 306, repealed a former provision of this section relating to stock ownership requirements of directors, trustees, or members of similar governing bodies of any national banking association, or of any State bank or trust company which is a member of the Federal Reserve System. 1934—Act
June 16, 1934, repealed a former provision of this section relating to stock ownership requirements of directors, trustees, or members of similar governing bodies of member banks of the Federal Reserve System.

Statutory Notes and Related Subsidiaries

Change of Name

Act Aug. 23, 1935, ch. 614, title II, § 203(a), 49 Stat. 704, changed name of Federal Reserve Board to Board of Governors of the Federal Reserve System.

Executive Documents

Exception as to

Transfer of Functions

Functions vested by any provision of law in Comptroller of the Currency, referred to in this section, not included in

Transfer of Functions

to Secretary of the Treasury, see note set out under section 1 of this title.

Reference

Citations & Metadata

Citation

12 U.S.C. § 71a

Title 12 — Banks and Banking

Last Updated

Apr 3, 2026

Release point: 119-73not60