Arizona Laws 6-147. Denial of application; grounds
A. With respect to the proposed acquisition of control of a bank, trust company, savings and loan association or controlling person, an application shall be denied if the deputy director finds any of the following:
Terms Used In Arizona Laws 6-147
- Acquisition of control: means any transaction whereby a person obtains, directly or indirectly, control of a bank, trust company, savings and loan association or controlling person. See Arizona Laws 6-141
- Bank: means a corporation that holds a banking permit issued pursuant to chapter 2 of this title. See Arizona Laws 6-101
- Control: means direct or indirect ownership of or power to vote twenty-five percent or more of the outstanding voting securities of a bank, trust company, savings and loan association or controlling person or to control in any manner the election of a majority of the directors of a bank, trust company, savings and loan association or controlling person. See Arizona Laws 6-141
- Controlling person: means any person directly or indirectly in control of a bank, trust company or savings and loan association. See Arizona Laws 6-141
- Deputy director: means the deputy director of the financial institutions division of the department. See Arizona Laws 6-101
- Person: means an individual, corporation, partnership, association, trust or agency or any similar entity. See Arizona Laws 6-141
1. That the financial condition of any person who would acquire control is such as may jeopardize the financial stability of the bank, trust company or savings and loan association, or prejudice the interests of the depositors, beneficiaries, creditors and shareholders of the bank, trust company or savings and loan association.
2. That a plan or proposal to liquidate the bank, trust company or savings and loan association, to merge or consolidate the bank, trust company or savings and loan association or to make any other major change in the business, corporate structure or management of the bank, trust company or savings and loan association is not fair and reasonable to the depositors, beneficiaries, creditors or shareholders of the bank, trust company or savings and loan association.
3. That the applicant neglects, fails or refuses to furnish to the deputy director any information required by the deputy director.
4. That the proposed acquisition is contrary to law.
B. The deputy director, in approving a proposal to acquire control of a bank, trust company or savings and loan association, may impose such conditions as the deputy director deems reasonable, necessary or advisable in the public interest.