(A) A proposed bank, building and loan association, savings and loan association, or savings bank may not engage in business except as allowed under Section 34-1-160 until the board approves the charter. In addition to the requirements set forth in Section 34-1-180, the board may not issue the charter until the board is satisfied that the proposed bank, building and loan association, savings and loan association, or savings bank has done each of the following:
(1) received payment in United States currency for the purchase of shares and will have required satisfactory capital upon commencing business, in each case in at least the amount required by the board's order approving the application;
(2) elected the proposed officers and directors named in the application or other officers and directors approved by the board;
(3) secured deposit insurance from the FDIC;
(4) complied with all requirements of the board's order approving the application for a charter; and
(5) made preparations that would indicate readiness to commence the business of banking in the reasonable discretion of the board upon a preopening examination.
(B) The charter approved by the board must set forth any trust powers of the bank, building and loan association, savings and loan association, or savings bank that may be full or partial trust powers.
(C) If a bank, building and loan association, savings and loan association, or savings bank does not open and engage in the business of banking within six months after the date its charter is issued or within such longer period as may be permitted by the board, the board shall revoke the charter.
(D) If the board determines that a charter should not be issued following board approval, the board shall issue an order revoking the charter, and the applicant may appeal that decision to the board. If the board upholds the revocation, the applicant may appeal the revocation to the Administrative Law Court pursuant to the rules of that court.
(E) Following the exhaustion of all appeals, the board may dissolve and liquidate the proposed bank, building and loan association, savings and loan association, or savings bank, or order the organizers to dissolve and liquidate the proposed bank, building and loan association, savings and loan association, or savings bank, if any one of the following occurs:
(1) the board does not issue a charter;
(2) the board denies approval of a charter; or
(3) the charter is revoked by the board pursuant to subsection (C) or other applicable law.
HISTORY: 2021 Act No. 30 (S.467), Section 1, eff May 6, 2021.
Structure South Carolina Code of Laws
Title 34 - Banking, Financial Institutions and Money
Chapter 1 - State Board Of Financial Institutions
Section 34-1-20. Appointment of members.
Section 34-1-30. Terms of members; vacancies.
Section 34-1-40. Expenses of members.
Section 34-1-50. Office space.
Section 34-1-80. Examining department; Commissioner of Banking.
Section 34-1-90. Commissioner of Banking shall report criminal violations to Board.
Section 34-1-100. Initiation of criminal prosecutions.
Section 34-1-120. Penalties for obstructing Commissioner of Banking.
Section 34-1-130. Study of capital reserve position of financial institutions; report.
Section 34-1-140. State preemption of lender regulation.
Section 34-1-150. Requirements for applicant seeking permission to organize a bank.
Section 34-1-160. Authorization of organization of proposed bank; articles of incorporation.
Section 34-1-170. Requirements for articles of incorporation of proposed bank.
Section 34-1-180. Requirements for board to approve a charter for proposed bank.
Section 34-1-210. Remote service unit not considered a branch of a bank.
Section 34-1-220. Delegations to the Commissioner of Banking.