La. Admin. Code tit. 10 § I-503

Current through Register Vol. 50, No. 11, November 20, 2024

Section I-503 - Application for Certificate of Authority

A. Scope. This rule applies to applications for a certificate of authority under R.S. 6:101 et seq.

B. Application Filing and Notice

1. Applications shall be in such form and contain such information as the commissioner may from time to time prescribe. Application forms may be obtained from the office of the commissioner. The application shall contain a public section and a confidential section. The public section shall include comments and information submitted by interested persons in favor of or in opposition to such application.

2. The original and one copy of the application must be submitted in completed form to the commissioner. Applicants seeking a certificate of authority to operate as a savings bank must also submit a business plan as required by R.S. 6:1125. Any application not substantially complete will not be accepted for filing and will be returned to the applicant resulting in processing delay.

3. Within 30 days prior to receipt of application by the commissioner, applicant must publish a one-time notice in a newspaper of general circulation in the community in which the institution/branch is to be located. The published notice will contain such information as deemed necessary by the commissioner. A sample notice will be provided together with the application forms.

4. Proof of publication must be submitted to the commissioner before processing of the application can be completed. In the case of an acquisition of a failed or failing financial institution, requirement for publishing a notice will be waived.

5. Upon acceptance of the application for filing, notice in writing will be given to financial institutions in the community in which the institution/branch office is to be located. This notice will allow for a reasonable comment period, normally 14 calendar days.

6. Upon acceptance of the application for filing, the commissioner or any examiner or examiners designated by the commissioner will conduct an investigation. Information not included in the application, which is necessary to determine the six factors described below, will be requested from the applicant. Processing of an application will not be completed until the satisfactory conclusion of the investigation.

C. Factors to be Considered. Six factors within the application are to be considered:

1. financial history and condition;

2. distribution and adequacy of capital;

3. future earnings prospects;

4. management;

5. convenience and needs of the community;

6. corporate powers.

D. Acquisition of a Failed or Failing Financial Institution. The commissioner may waive any provision of this rule which is not required by statute.

La. Admin. Code tit. 10, § I-503

Promulgated by the Department of Economic Development, Office of Financial Institutions, LR 19:1415 (November 1993).

AUTHORITY NOTE: Promulgated in accordance with R.S. 6:121(B)(1).