D.C. Mun. Regs. tit. 26, r. 26-C301

Current through Register Vol. 71, No. 49, December 6, 2024

Rule 26-C301 - BASIC POWERS BESTOWED BY BANK CHARTER

301.1

A District bank's charter shall authorize the District bank, without further approval, to exercise the following powers:

(a) To adopt and use a corporate seal;

(b) To have succession from the date of its organization until dissolution by its shareholders owning two-thirds (2/3) of its stock, forfeiture of its charter for violations of law or these rules, termination by an act of the Council or of the United States Congress, or liquidation after being placed in receivership;

(c) To make contracts;

(d) To sue and be sued;

(e) To elect or appoint directors and, by its board of directors, to appoint officers and define their duties, to provide for the removal of officers;

(f) To prescribe, by its board of directors, by-laws not inconsistent with law, regulating the manner in which its stock shall be transferred, its directors elected or appointed, its officers appointed, its property transferred, its general business conducted, and the privileges granted to it by law exercised and enjoyed;

(g) To exercise all such incidental powers as shall be necessary to carry on the business of banking by discounting and negotiating promissory notes, drafts, bills of exchange and other evidences of debt; by receiving deposits; and by making and servicing loans, but loans and other extensions of credit shall be subject to the limitations applicable to national banks under 12 U.S.C. § 84 and regulations of the Comptroller of the Currency issued under that section ( 12 C.F.R. Part 32);

(h) To offer international banking services;

(i) To indemnify officers and directors for negligence but explicitly exclude indemnification for willful misconduct;

(j) To engage in transactions with affiliates subject to the limitations of section 23 A of the Federal Reserve Act (12 U.S.C. § 371c);

(k) To provide investment or financial advice;

(l) To lease personal or new property if the lease is the functional equivalent of an extension of credit, the interest of the lessor is nonoperating; and the lease may be characterized as full payout;

(m) To perform data processing and data transmission services for financial, banking, or economic data;

(n) To act as an insurance agent or broker for insurance directly related to an extension of credit or other financial service and for fidelity insurance and property and casualty insurance for itself and any affiliate;

(o) To offer courier services;

(p) To offer management consulting services to depository institutions;

(q) To offer money orders, savings bonds and traveler's checks;

(r) To engage in real estate and personal property appraising;

(s) To arrange commercial real estate equity financing;

(t) To engage in securities brokerage activities, provided that the activities are limited to the buying and selling of securities without recourse solely upon the order and for the account of customers, and in no case for its own account, and do not involve securities underwriting or dealing;

(u) To underwrite and deal in government obligations and related money market instruments;

(v) To offer foreign exchange advisory and transactional services;

(w) To act as a futures commission merchant;

(x) To offer investment advice on financial futures and options on futures;

(y) To offer check-guarantee services;

(z) To operate a collection agency;

(aa) To operate a credit bureau;

(bb) To offer employee benefit counseling; and

(cc) To offer credit card related services.

D.C. Mun. Regs. tit. 26, r. 26-C301

Final Rulemaking published at 35 DCR 6276, 6288-6291 (August 19, 1988)