Connecticut General Statutes
Chapter 666 - Out-of-State Banks
Section 36a-428k. - Voluntary liquidation of business and property of state branches and state agencies.

(a) Any foreign bank which (1) has been licensed to establish and maintain a state branch or state agency in this state the assets of which in this state exceed the liabilities of its state branches or state agencies in this state, including any such foreign bank whose license has expired or been surrendered or revoked, and (2) intends to cease transacting the business of any of its state branches or state agencies in this state, shall commence proceedings for the voluntary liquidation of the business and property in this state of such state branches or state agencies, provided, no such proceedings shall be commenced while the commissioner is in possession of such business and property in this state unless such foreign bank shall have first received the written approval of the commissioner. In any such liquidation, the claims of creditors of such foreign bank arising out of transactions entered into by such creditors with the foreign bank's state branches or state agencies in this state shall be accorded the same preference accorded to similar claims in a liquidation under section 36a-428n.

(b) To effect such a voluntary liquidation, a foreign bank shall file with the commissioner a written notice of its intention to liquidate together with a plan of liquidation. The notice shall specify the date of commencement of the liquidation, and on or before such date such foreign bank shall cease to transact business at such state branches or agencies.
(c) The commissioner may approve the plan and issue an order prescribing the notice to be given to (1) creditors whose claims arise out of transactions with such branches or agencies, and (2) owners of personal property in the custody or possession of such branches or agencies, to present their claims for payment.
(d) When such foreign bank has given the notice prescribed by the commissioner under subsection (c) of this section, it shall proceed with the liquidation in accordance with the plan. Upon completion of the liquidation, such foreign bank shall make a verified statement from its books of the names of all creditors and owners of personal property described in subsection (c) of this section who have not claimed or have not received the amounts due them, and shall file such statement with the commissioner together with all identifying information, including, in the case of unclaimed proceeds of any sale of personal property, a list of the articles sold, the prices obtained therefor and the amount deducted and retained from the proceeds. Such foreign bank shall thereupon pay such unclaimed amounts to the commissioner as trustee for the persons entitled to receive them.
(e) If the commissioner shall at any time find that any of the reasons enumerated in section 36a-428n for taking possession of the business and property in this state of a foreign bank exists, the commissioner may take possession of the business and property in this state of such foreign bank in accordance with section 36a-428n, notwithstanding that such foreign bank may have previously commenced proceedings for voluntary liquidation under this section. As used in this section, “business and property in this state” has the same meaning as provided in subsection (a) of section 36a-428n.
(P.A. 88-230, S. 1, 12; P.A. 90-98, S. 1, 2; P.A. 93-142, S. 4, 7, 8; Oct. Sp. Sess. P.A. 94-1, S. 12, 21; P.A. 95-220, S. 4–6; P.A. 97-160, S. 6, 7; P.A. 14-122, S. 159.)
History: Oct. Sp. Sess. P.A. 94-1, S. 12, effective January 1, 1995. (Revisor's note: P.A. 88-230, P.A. 90-98 and P.A. 93-142 authorized substitution of “judicial district of Hartford” for “judicial district of Hartford-New Britain” in the public and special acts of 1994 regular and special sessions, effective September 1, 1996); P.A. 95-220 changed the effective date of P.A. 88-230 from September 1, 1996, to September 1, 1998, effective July 1, 1995; P.A. 97-160 amended Subsec. (a) to require written approval of commissioner for liquidation proceeding when commissioner is in possession of business and property and to add provisions re preferences for claims of creditors, amended Subsec. (e) to authorize the commissioner to take possession of business and property in accordance with Sec. 36a-428n for any reasons enumerated in Sec. 36a-428n, to redefine “business and property in this state”, and to delete former provisions re taking possession of business and property, and deleted former Subsec. (f) re application for show cause order, effective June 24, 1997; P.A. 14-122 made a technical change in Subsec. (e).

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.