SB385 Alabama 2016 Session

Under existing law, the acquisition of ownership of, or the right to vote, a majority of the voting securities of a state bank constitutes the acquisition of control of a state bank. Under existing law, the acquisition of control of a state bank requires the person who seeks to acquire control to file an application with and obtain the prior approval of the Superintendent of the State Banking Department

Under existing federal law, an application must be filed with and approval obtained from the applicable federal agency upon the acquisition of 25 percent of the voting securities of a bank and, under certain conditions, upon the acquisition of 10 percent of the voting securities

This bill would require a person to also file an application with, and obtain the prior approval of, the Superintendent of the State Banking Department, when the person seeks to acquire 25 percent of the voting securities of a state bank and in certain conditions, upon the proposed acquisition of 10 percent of the voting securities of a state bank

To amend Section 5-5A-44, Code of Alabama 1975, relating to acquisition of control of state banks; to require the application to and approval of the Superintendent of the State Banking Department for certain conditions that constitute acquisition of control of a certain percent of the voting securities of a state bank; and to provide for prospective effect.