N.J. Admin. Code § 3:1-2.2

Current through Register Vol. 56, No. 23, December 2, 2024

Section 3:1-2.2 - Charter applications

(a) With the exception of applications made by entities as described in (d) below, every applicant for a depository charter is required to file with the Department the following data in addition to the statutorily required certification of incorporation and affidavits required by 17:9A-9, 17:12B-14 and 17:12B-246:

1. An economic feasibility study delineating the proposed trade area to be served by the applicant, as well as yearly deposit estimates for the first three years of operation;

2. A pro forma balance sheet and profit and loss statement which shall project the financial condition and net income or loss of the depository on an annual basis for a period of three years and shall indicate the anticipated break-even date, and a business plan for the depository;

3. Biographical forms for each director, in the form of the Federal Financial Institutions Examination Council Interagency Biographical and Financial Information Report in use at the time of application, incorporated herein by reference. Copies of the report may be obtained on the FDIC website at www.fdic.gov, and authorizations by such persons for background checks;

4. The required non-refundable application filing fee;

5. An indicia of title for the proposed site;

6. A copy of an application to be filed with the Federal Deposit Insurance Corporation (F.D.I.C.) for deposit insurance, if the applicant has applied for a charter that includes the authority to accept deposits. When the final application is filed with the F.D.I.C., a copy shall be simultaneously transmitted to the Department;

7. The proposed directors' code of conduct governing activities both inside and outside the bank;

8. If the site is to be acquired or leased from an affiliated person, an application is required by 3:1-10.2;

9. A business plan in the form of the Federal Financial Institutions Examination Council Interagency Model Business Plan Guidelines in use at the time of application, incorporated herein by reference. Copies of the Guidelines may be obtained on the FDIC website at www.fdic.gov;

10. Fingerprint cards in a form obtained from the Department, except where the applicant applies for deposit insurance or in the case of an interim charter application pursuant to (d) below;

11. All other information required of a specific applicant by the Commissioner; and

12. Any changes in (a)1 through 11 above.

(b) The Commissioner may return to the applicant any charter application which does not comply with (a) above.

(c) The Commissioner shall accept or reject a charter application within one year after the applicant submits the application. The failure of the applicant to provide all necessary information within one year shall constitute sufficient grounds to reject the application. The Commissioner may extend the one-year limitation when the applicant is not substantially at fault for the delay.

(d) Where a charter application is made for an institution formed solely to exist on an interim basis as part of a merger transaction or company reorganization, and the entity will not be open to the public, is not required to maintain deposit insurance under applicable Federal law, a certificate of authority is not required to be issued pursuant to State law and the institution will not be the surviving entity in the transaction, the following shall be filed with the Department:

1. The entity's executed certificate of incorporation;

2. If applicable, the executed merger agreement pursuant to 17:9A-134;

3. If applicable, the executed subscription agreement from the parent organization;

4. A certified copy of the board resolutions approving the transaction; and

5. The filing fee required by 3:1-2.2 3(a)1.

(e) Pursuant to 3:3-2.1, personal information and the business plan filed pursuant to this section shall be confidential and shall not be subject to public inspection or copying pursuant to the Open Public Records Act, 47:1A-1 et seq.

N.J. Admin. Code § 3:1-2.2

Amended by R.1991 d.48, effective 2/4/1991.
See: 22 New Jersey Register 3425(a), 23 New Jersey Register 294(b).
Changed name to N.J. Council of Savings Institutions.
Repeal and New Rule, R.1992 d.483, effective 12/7/1992.
See: 24 New Jersey Register 3034(a), 24 New Jersey Register 4341(a).
Section was "Notice; publication".
Amended by R.2001 d.112, effective 4/2/2001.
See: 33 New Jersey Register 213(a), 33 New Jersey Register 1087(a).
In (a), inserted "required by" preceding the N.J.A.C. references in the introductory paragraph, rewrote (a)6 and added (a)10.
Amended by R.2006 d.287, effective 8/7/2006.
See: 38 N.J.R. 1627(a), 38 N.J.R. 3160(a).
In the introductory paragraph of (a), substituted "With the exception of applications made by entities as described in (d) below, every" for "Every" and "N.J.S.A." for "N.J.A.C."; in (a)1 and (a)2, substituted "three" for "five"; rewrote (a)3; inserted present (a)9 and (a)10; recodified former (a)9 and (a)10 as (a)11 and (a)12; in (a)12, substituted "11" for "9"; and added (d) and (e).