02-029-107 Me. Code R. § 3

Current through 2024-51, December 18, 2024

Section 029-107-3 - Provisions of the Regulation

A. Authorization.

A Maine financial institution or a Maine financial institution holding company may engage in closely related activities as provided by federal law and regulation (Bank Holding Company Act of 1956, 12 U.S.C. subsection 1841 et. seq., 12 C.F.R. subsection 225.25 or Section 408 of the National Housing Act, 12 U.S.C. subsection 1730(a), 12 C. F.R. subsection 583), unless the activity is prohibited by state law other than Title 9-B, but subject to the Bureau approval of an application submitted pursuant to Section 3.C of this regulation. In addition to those activities authorized by federal law and regulation, the activities listed below are so closely related to banking or managing or controlling banks as to be a proper incident thereto and consequently they are deemed to be "closely related activities" in which a Maine financial institution or Maine financial institution holding company may engage.

B. Additional activities.

The activities listed below are so closely related to banking or managing or controlling banks as to be a proper incident thereto and may be engaged in by a Maine financial institution or a Maine financial institution holding company, or subsidiary of either, subject to the requirements of a paragraph 3.C:

(1) Owning and operating a real estate agency for the purpose of selling properties owned by a financial institution holding company, financial institution, or subsidiaries thereof. This property may include real estate acquired by foreclosure or deed in lieu of foreclosure, real estate acquired for investment or development, or real estate owned by a financial institution or affiliates. This activity shall be conducted subject to the licensing and other requirements of the Maine Real Estate Commission.

C. Requirements.

A Maine financial institution or a Maine financial institution holding company proposing to engage in any closely related activity shall make application to the Superintendent, as required by Title 9-B M.R.S.A. Section1015, for prior approval of the activity. The application will describe the nature of the proposed activity, the extent to which the activity will be provided, and any other information requested by the Superintendent. The application shall be accompanied by an application fee of $2,500. The activities, enumerated in paragraph 3, may be engaged in directly by the Maine financial institution or Maine financial institution holding company or through a subsidiary of either. Any subsidiary engaging in closely related activities may be jointly owned by two or more financial institutions or financial institution holding companies or subsidiaries of either.

02-029 C.M.R. ch. 107, § 3