Section 50.12301 - Concentrations(a) It generally constitutes an unsafe and unsound act for a licensee to provide, or to commit to provide, financing assistance in an unduly large amount to: (1) Any single business firm;(2) Business firms which are affiliated with each other; or(3) Business firms which are engaged in the same type, or similar types, of business, unless such business firms are widely diversified by geographical location.(b) In determining for purposes of Subdivision (a) of this Section whether the amount of financing assistance which a licensee has provided or has committed to provide, is unduly large, the Commissioner will generally consider such amount in relation to the total assets, the total lendable funds, and the total shareholders equity of such licensee.Cal. Code Regs. Tit. 10, § 50.12301
1. Change without regulatory effect amending section and adding new NOTE filed 8-19-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 34). Note: Authority cited: Section 31101, Financial Code. Reference: Section 31400, Financial Code.
1. Change without regulatory effect amending section and adding new Note filed 8-19-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 34).