Connecticut General Statutes
Chapter 666 - Out-of-State Banks
Section 36a-428b. - Operation of foreign bank at state branch or state agency, rights, privileges, duties, restrictions, etc., exceptions. Deposit insurance from FDIC not required. Not subject to certain statutory provisions, when. Assessment for exp...

(a) Except as otherwise specifically provided in sections 36a-428 to 36a-428l, inclusive, or in regulations or orders adopted by the commissioner under said sections, operations of a foreign bank at a state branch or state agency in this state shall be conducted with the same rights and privileges as a Connecticut bank at the same location and shall be subject to all the same duties, restrictions, penalties, liabilities, conditions and limitations that would apply under the laws of this state to the operations of a Connecticut bank doing business at the same location.

(b) Nothing in this section shall subject either of the following to the duties, restrictions, penalties, liabilities or limitations that apply to a Connecticut bank: (1) A foreign bank's director or officer interlocks with affiliates or with out-of-state financial institutions or (2) a foreign bank's operations and activities that are conducted outside this state and that do not involve the assets or the employees of a state branch or state agency in this state or of a Connecticut bank. For purposes of this section, “operations and activities that are conducted outside this state” includes decisions and activities of the foreign bank relating to matters of general corporate governance, including: (1) Issuance of stock; (2) shareholder rights; (3) declaration of dividends; (4) appointment or removal of directors and officers; (5) extensions of credit to directors, officers, principal shareholders or their related interests as provided in 12 CFR Part 215 as from time to time amended; (6) investment decisions on behalf of the foreign bank; and (7) mergers, consolidations, acquisitions, tender offers and sales of assets.
(c) No state branch or state agency in this state shall be required to obtain deposit insurance from the Federal Deposit Insurance Corporation.
(d) A state branch or state agency that does not hold insured deposits or does not otherwise engage in domestic retail deposit activities requiring deposit insurance protection, as determined by the Federal Deposit Insurance Corporation in accordance with 12 USC 3104 as amended from time to time, or the business of consumer lending in this state shall not be subject to the provisions of sections 36a-30 to 36a-34, inclusive, 36a-304 and 36a-316 to 36a-323, inclusive.
(e) For purposes of section 36a-65 the commissioner shall annually, on or after July first for the fiscal year commencing on said July first, assess each foreign bank that has established a state branch or state agency in this state, taking into consideration (1) the assets of such foreign bank relative to the assets of other foreign banks with a state branch or state agency in this state provided only the assets of the state branches or state agencies located in this state shall be considered, (2) the cost of any examination under section 36a-428l, (3) the amount allocated to each Connecticut bank and each Connecticut credit union under section 36a-65, and (4) any other factor the commissioner deems appropriate to the administration of sections 36a-428 to 36a-428n, inclusive, as amended.
(Oct. Sp. Sess. P.A. 94-1, S. 3, 21; P.A. 96-109, S. 6; P.A. 00-61, S. 1, 9.)
History: Oct. Sp. Sess. P.A. 94-1, S. 3, effective January 1, 1995 (Revisor's note: References in Subsec. (d) to repealed sections 36-129 and 36-180 were deleted editorially by the Revisors); P.A. 96-109 deleted reference to Secs. 36a-2, 36a-145 and 36a-425 in Subsec. (a); P.A. 00-61 amended Subsec. (e) by adding provisions re assessment of foreign bank that has established state branch or state agency, effective July 1, 2000.

Structure Connecticut General Statutes

Connecticut General Statutes

Title 36a - The Banking Law of Connecticut

Chapter 666 - Out-of-State Banks

Section 36a-410. (Formerly Sec. 36-552). - Definitions.

Section 36a-410a. - Mergers between Connecticut and out-of-state banks authorized. Interstate branching.

Section 36a-411. (Formerly Sec. 36-553). - Out-of-state holding companies: Powers re interstate acquisitions and establishment of banks and Connecticut holding companies.

Section 36a-412. (Formerly Sec. 36-555). - Out-of-state banks: Merger, consolidation and acquisition. De novo branches. Powers of branches. Loan production offices. Applicability of Connecticut law. Commissioner approval.

Section 36a-413. (Formerly Sec. 36-558). - Severability.

Section 36a-428. - Foreign banks authorized to establish and maintain state branches and state agencies, subject to the regulations and orders of the commissioner. License requirements.

Section 36a-428a. - Application for license to establish and maintain state branch or state agency. Application form, supporting documents, fee. Investigation by commissioner and issuance of license. Display of license. License may not be transferred...

Section 36a-428b. - Operation of foreign bank at state branch or state agency, rights, privileges, duties, restrictions, etc., exceptions. Deposit insurance from FDIC not required. Not subject to certain statutory provisions, when. Assessment for exp...

Section 36a-428c. - Deposit of assets by foreign bank. Holding of currency or other assets in relation to liabilities. Unusual and extraordinary circumstances; deposit of assets with banks designated by commissioner.

Section 36a-428d. - Certification of paid-in capital stock, surplus fund and undivided profits; limitation or restriction.

Section 36a-428e. - Conversion of state agency to state branch, state branch to state agency, and federal branch or federal agency to state branch or state agency.

Section 36a-428f. - Prior notice by foreign bank of change in its place of business, its corporate name and the business it proposes to do in this state.

Section 36a-428g. - Representative office; licensing requirements; application; fee; renewal; content of license; investigation of facts by commissioner. Foreign bank subject to regulations and orders of commissioner.

Section 36a-428h. - Books, accounts and records to be maintained and available at state branch, state agency or representative office. Reports to commissioner.

Section 36a-428i. - Notice of acquisition of control or merger of foreign bank.

Section 36a-428j. - Revocation, suspension or refusal to renew license to maintain state branch, state agency or representative office.

Section 36a-428k. - Voluntary liquidation of business and property of state branches and state agencies.

Section 36a-428l. - Investigation and examination concerning foreign bank licensed to maintain state branch, state agency or representative office. Commissioner's powers; duties of foreign bank; cost of examination; penalties.

Section 36a-428m. - Certain public officials and state employees barred from employment with Swiss Bank prior to January 1, 1996.

Section 36a-428n. - Involuntary liquidation of business and property of foreign banks having a state branch or state agency.