Vermont § 36102 - Involuntary merger of credit union

§ 36102. Involuntary merger of credit union

• (a) Notwithstanding any other provision of law, the Commissioner may initiate the involuntary
  merger of a credit union that is insolvent or is in danger of insolvency or is operating
  in an unsafe or unsound manner with any other credit union or may authorize a credit
  union to purchase any of the assets of or assume any of the liabilities of any other
  credit union that is insolvent or in danger of insolvency or is operating in an unsafe
  or unsound manner if the Commissioner is satisfied that: (1) an emergency requiring expeditious action exists with respect to such other credit
  union; (2) other alternatives are not reasonably available; and (3) the public interest would best be served by approval of such merger, consolidation,
  purchase, or assumption. (b) The credit union may request a stay of the involuntary merger by appealing to the
  Washington Superior Court. (c)(1) Notwithstanding any other provision of law, the Commissioner may authorize an institution
  whose deposits or accounts are insured to purchase any of the assets of or assume
  any of the liabilities of a credit union that is insolvent or in danger of insolvency
  or is operating in an unsafe or unsound manner. (2) For purposes of the authority contained in this section, insured share and deposit
  accounts of the credit union may, upon consummation of the purchase and assumption,
  be converted to insured deposits or other comparable accounts in the acquiring institution,
  and the Commissioner and the insuring organization shall be absolved of any liability
  to the credit union’s members with respect to those accounts. (d) Notwithstanding any other provision of law, the Commissioner may waive the need for
  a membership vote of both the acquired and continuing credit union to approve the
  involuntary merger and may waive the requirement that the governing body of the acquired
  credit union approve the involuntary merger. (Added 2005, No. 16, § 1, eff. July 1, 2005.)