Illinois § 8011

§ 8011.

Authority to form a bridge charter. (a) Any savings bank operating in Illinois under this Act may form a bridge, vehicle, or other interim charter as a means to effect a corporate restructuring, a voluntary corporate change, or other transformation that does not in reality create an additional new depository institution, but that shall move insured liabilities from one depository institution to another pursuant to a change in control, change in method of ownership, merger, or other charter change that results in no new net insurable deposits. That charter or institution shall be known as an interim, vehicle, bridge, or pass-through charter or institution and may become or receive the continuing or surviving depository institution or may be a conduit through which an existing depository institution's assets, liabilities, fixtures, personnel, rights, and property of every type are passed in order to effect a desirable corporate change. In connection with the formation of that type of institution, an existing depository institution may amend, modify, or add to its articles of incorporation and bylaws to remove any depository function and to remove any deposits that would require insurance of accounts under Section 1005 of this Act. (b) Application to form an entity under authority of this Section shall be made on forms to be prescribed by the Commissioner. The Commissioner may issue rules and regulations to govern the formation of, and the standards and supervisory considerations to be applied to, the charters. (c) If a savings bank operating under this Act desires to apply for a permit to organize a new depository institution in order to facilitate or effect a corporate restructuring, to alter or relocate the depository institution's ownership, to effect a merger, sale or purchase of assets or in order to facilitate conversion to another charter, the Commissioner shall require the filing of an application to create a transitional charter. (d) The application shall contain the following: (1) The names and addresses of the organizers with information as required by Article 3. (2) Any accompanying filings required by other regulatory authorities. (3) A statement from the applicant's certified public accountant describing and analyzing the method to effect the transaction. (4) A 5-year plan for the resulting depository institution and for any corporate remnant of the original depository institution regarding the disposition, acquisition, or expansion of assets; capital enhancement; disposition of earnings and profits; and geographic or other expansion or contraction. (5) The purpose of the new entity with documentation as required by the Commissioner. (6) Whether the core base deposits will be expanded in a manner that would require increased insurance of accounts together with details for the appropriate filings. (7) Ownership structure including any contemplated sales of stock of subsidiaries, affiliates, or parent companies, as well as of the savings bank. (8) Articles of incorporation and bylaws of the original, interim, and resulting institutions. (Source: P.A. 86-1213.)