State Codes and Statutes

Statutes > California > Fin > 14650-14656

FINANCIAL CODE
SECTION 14650-14656



14650.  Subject to the limitations of Sections 14402, 14403, and
14404, any credit union or credit unions may purchase, acquire and
hold outstanding shares of a corporation engaged exclusively in
holding property of the character described in Section 14402 and
which property is or is to be used for the purposes set forth in
Section 14402. The purchase or acquisition of stock of any such
corporation shall be approved by two-thirds of all the directors of
such credit union or credit unions.



14651.  (a) Every credit union may invest in the shares of stock of
a corporation, or in membership or economic interests of a limited
liability company, organized solely for the purpose of providing
services to credit unions, provided the corporation or limited
liability company is formed by a credit union or group of credit
unions.
   (b) Every credit union may invest in the securities of a
corporation or in membership or economic interests of a limited
liability company that is not a corporation or limited liability
company of the type described in subdivision (a) and that provides
services to credit unions, provided the investment is approved by the
commissioner.



14652.  Every credit union may invest in securities and other assets
described in Chapter 9 (commencing with Section 1000) of the Banking
Law as legal investments for savings banks.



14652.5.  A credit union may organize, sponsor, operate, control, or
render investment advice to, an investment company, or underwrite,
distribute, or sell securities of any investment company which has
qualified to sell its securities in this state pursuant to Part 2
(commencing with Section 25100) of Division 1 of Title 4 of the
Corporations Code, if the officers and employees of the credit union
who sell these securities meet such standards with respect to
training, experience, and sales practices as established by the
Secretary of the Business, Transportation and Housing Agency or the
secretary's designee. For the purpose of this section, "investment
company" means an investment company as defined in the Investment
Company Act of 1940 (15 U.S.C., Sec. 80a-1 et seq.).



14653.  Credit unions may invest in a trust organized solely for the
purpose of investing in United States government securities and
United States government agency securities, provided the trust is
formed by an organization composed of credit unions or an
organization of credit union associations.



14653.5.  Notwithstanding any other provision of law, a credit union
may make any investment authorized by regulation or in writing by
the commissioner.


14654.  Credit unions may purchase from the vendor or lessor of any
personal property, conditional sale contracts or vehicle lease
agreements covering the sale or lease of that property or vehicle to
its members. The credit union may hold and retain any such
conditional sale contract or vehicle lease agreement as an
investment.



14655.  A credit union may purchase from the owner thereof a
promissory note upon which a member is primary obligor provided the
credit union could have made a loan to such member in the amount and
upon the terms and conditions provided in such note under the
provisions of this division.



14656.  A credit union may, in accordance with rules and regulations
prescribed by the commissioner, purchase from any liquidating credit
union notes made by individual members of such liquidating credit
union, at such prices and under such terms as may be agreed upon by
the board of directors of the purchasing credit union and the board
of directors, or liquidating agent, of the liquidating credit union.



State Codes and Statutes

Statutes > California > Fin > 14650-14656

FINANCIAL CODE
SECTION 14650-14656



14650.  Subject to the limitations of Sections 14402, 14403, and
14404, any credit union or credit unions may purchase, acquire and
hold outstanding shares of a corporation engaged exclusively in
holding property of the character described in Section 14402 and
which property is or is to be used for the purposes set forth in
Section 14402. The purchase or acquisition of stock of any such
corporation shall be approved by two-thirds of all the directors of
such credit union or credit unions.



14651.  (a) Every credit union may invest in the shares of stock of
a corporation, or in membership or economic interests of a limited
liability company, organized solely for the purpose of providing
services to credit unions, provided the corporation or limited
liability company is formed by a credit union or group of credit
unions.
   (b) Every credit union may invest in the securities of a
corporation or in membership or economic interests of a limited
liability company that is not a corporation or limited liability
company of the type described in subdivision (a) and that provides
services to credit unions, provided the investment is approved by the
commissioner.



14652.  Every credit union may invest in securities and other assets
described in Chapter 9 (commencing with Section 1000) of the Banking
Law as legal investments for savings banks.



14652.5.  A credit union may organize, sponsor, operate, control, or
render investment advice to, an investment company, or underwrite,
distribute, or sell securities of any investment company which has
qualified to sell its securities in this state pursuant to Part 2
(commencing with Section 25100) of Division 1 of Title 4 of the
Corporations Code, if the officers and employees of the credit union
who sell these securities meet such standards with respect to
training, experience, and sales practices as established by the
Secretary of the Business, Transportation and Housing Agency or the
secretary's designee. For the purpose of this section, "investment
company" means an investment company as defined in the Investment
Company Act of 1940 (15 U.S.C., Sec. 80a-1 et seq.).



14653.  Credit unions may invest in a trust organized solely for the
purpose of investing in United States government securities and
United States government agency securities, provided the trust is
formed by an organization composed of credit unions or an
organization of credit union associations.



14653.5.  Notwithstanding any other provision of law, a credit union
may make any investment authorized by regulation or in writing by
the commissioner.


14654.  Credit unions may purchase from the vendor or lessor of any
personal property, conditional sale contracts or vehicle lease
agreements covering the sale or lease of that property or vehicle to
its members. The credit union may hold and retain any such
conditional sale contract or vehicle lease agreement as an
investment.



14655.  A credit union may purchase from the owner thereof a
promissory note upon which a member is primary obligor provided the
credit union could have made a loan to such member in the amount and
upon the terms and conditions provided in such note under the
provisions of this division.



14656.  A credit union may, in accordance with rules and regulations
prescribed by the commissioner, purchase from any liquidating credit
union notes made by individual members of such liquidating credit
union, at such prices and under such terms as may be agreed upon by
the board of directors of the purchasing credit union and the board
of directors, or liquidating agent, of the liquidating credit union.




State Codes and Statutes

State Codes and Statutes

Statutes > California > Fin > 14650-14656

FINANCIAL CODE
SECTION 14650-14656



14650.  Subject to the limitations of Sections 14402, 14403, and
14404, any credit union or credit unions may purchase, acquire and
hold outstanding shares of a corporation engaged exclusively in
holding property of the character described in Section 14402 and
which property is or is to be used for the purposes set forth in
Section 14402. The purchase or acquisition of stock of any such
corporation shall be approved by two-thirds of all the directors of
such credit union or credit unions.



14651.  (a) Every credit union may invest in the shares of stock of
a corporation, or in membership or economic interests of a limited
liability company, organized solely for the purpose of providing
services to credit unions, provided the corporation or limited
liability company is formed by a credit union or group of credit
unions.
   (b) Every credit union may invest in the securities of a
corporation or in membership or economic interests of a limited
liability company that is not a corporation or limited liability
company of the type described in subdivision (a) and that provides
services to credit unions, provided the investment is approved by the
commissioner.



14652.  Every credit union may invest in securities and other assets
described in Chapter 9 (commencing with Section 1000) of the Banking
Law as legal investments for savings banks.



14652.5.  A credit union may organize, sponsor, operate, control, or
render investment advice to, an investment company, or underwrite,
distribute, or sell securities of any investment company which has
qualified to sell its securities in this state pursuant to Part 2
(commencing with Section 25100) of Division 1 of Title 4 of the
Corporations Code, if the officers and employees of the credit union
who sell these securities meet such standards with respect to
training, experience, and sales practices as established by the
Secretary of the Business, Transportation and Housing Agency or the
secretary's designee. For the purpose of this section, "investment
company" means an investment company as defined in the Investment
Company Act of 1940 (15 U.S.C., Sec. 80a-1 et seq.).



14653.  Credit unions may invest in a trust organized solely for the
purpose of investing in United States government securities and
United States government agency securities, provided the trust is
formed by an organization composed of credit unions or an
organization of credit union associations.



14653.5.  Notwithstanding any other provision of law, a credit union
may make any investment authorized by regulation or in writing by
the commissioner.


14654.  Credit unions may purchase from the vendor or lessor of any
personal property, conditional sale contracts or vehicle lease
agreements covering the sale or lease of that property or vehicle to
its members. The credit union may hold and retain any such
conditional sale contract or vehicle lease agreement as an
investment.



14655.  A credit union may purchase from the owner thereof a
promissory note upon which a member is primary obligor provided the
credit union could have made a loan to such member in the amount and
upon the terms and conditions provided in such note under the
provisions of this division.



14656.  A credit union may, in accordance with rules and regulations
prescribed by the commissioner, purchase from any liquidating credit
union notes made by individual members of such liquidating credit
union, at such prices and under such terms as may be agreed upon by
the board of directors of the purchasing credit union and the board
of directors, or liquidating agent, of the liquidating credit union.



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