State Codes and Statutes

Statutes > California > Fin > 15250-15260

FINANCIAL CODE
SECTION 15250-15260



15250.  (a) Whenever the board of directors of a credit union
recommends by a vote of a majority of all its members the dissolution
of the credit union, the members of the credit union, at any meeting
specially called to consider the subject, may elect to dissolve the
credit union, by the vote or written consent of a majority of all
members of the credit union.
   (b) The commissioner may approve the dissolution of a credit union
which is recommended by the vote of a majority of the board members
of the credit union, even if the dissolution is approved by less than
a majority of all members of the credit union, if the commissioner
finds, upon the written and verified application filed by the board
of directors, that (1) notice of the meeting called to consider the
dissolution or the written ballot for written vote on the dissolution
was mailed to each member entitled to vote upon the question, (2)
the notice or the written ballot disclosed the purpose of the meeting
or the written vote and informed the membership that approval of the
dissolution might be sought pursuant to this section, and (3) a
majority of the votes cast upon the question were in favor of the
dissolution.
   (c) Whenever the members of the board of directors vote to
recommend the dissolution of any credit union, the credit union shall
not make any loans, withdrawal of shares, or withdrawal of
certificates for funds until the members approve or disapprove the
recommendation of the board of directors.



15251.  If the dissolution of the credit union is approved pursuant
to subdivision (a) or (b) of Section 15250, the board of directors of
the credit union shall elect a committee of three members or may by
resolution appoint a liquidating agent to liquidate the assets of the
credit union. If the commissioner is appointed liquidating agent,
the commissioner may act as liquidating agent or appoint the National
Credit Union Administration or other person to act as liquidating
agent. Whenever the commissioner is appointed liquidating agent, the
credit union shall surrender its certificate to act as a credit
union.


15252.  Promptly thereafter the president or vice president and
secretary or assistant secretary, or a majority of the committee or
the liquidating agent in charge of liquidation, shall sign and verify
a certificate stating that the credit union has elected to wind up
and dissolve and showing by what vote or consent such election was
made. The certificate shall be filed in the office of the Secretary
of State, and copies of the certificate certified by the Secretary of
State shall be filed with the commissioner.



15253.  After a vote to dissolve a credit union no business may be
carried on by the credit union except in the proper course of
liquidation.


15254.  The committee or the liquidating agent in charge of
liquidation may sue in the name and on behalf of the credit union,
and may sell or otherwise dispose of the assets of the credit union,
in whole or in part, at public or private sale.




15255.  After determining that all known debts and liabilities of
the credit union have been paid or adequately provided for, the
committee or the liquidating agent in charge of liquidation shall
distribute all the remaining assets of the credit union among the
members or shareholders. Each share is entitled to its proportionate
amount of the assets according to the amount paid on that share.



15257.  When a credit union has completely wound up, all of its
known debts and liabilities actually paid or adequately provided for
or paid as far as its assets permit, and its known assets
distributed, a majority of the committee or the liquidating agent in
charge of liquidation shall sign and acknowledge a certificate
stating that the credit union has been completely wound up, its known
assets distributed, any tax or penalty due under the Bank and
Corporation Franchise Tax Law paid, and its other known debts and
liabilities actually paid or adequately provided for or paid as far
as its assets permit and that the credit union is dissolved.




15258.  The certificate of dissolution shall be filed in the office
of the Secretary of State and copies, certified by him, shall be
filed in the office of the commissioner.



15259.  At any time during the liquidation process, the committee or
the liquidating agent in charge of liquidation may be relieved of
their duties at the discretion of the commissioner and the
commissioner shall thereafter act as the liquidating agent or appoint
a liquidating agent to complete the dissolution of the credit union.




15260.  Where the commissioner finds that on the date of filing with
the Secretary of State of the certificate of election to wind up and
dissolve, the credit union does not have sufficient assets to return
to its shareholders their investment in full, the credit union shall
not be liable for the costs of administration assessed under Article
4 (commencing with Section 14350) of Chapter 3.

State Codes and Statutes

Statutes > California > Fin > 15250-15260

FINANCIAL CODE
SECTION 15250-15260



15250.  (a) Whenever the board of directors of a credit union
recommends by a vote of a majority of all its members the dissolution
of the credit union, the members of the credit union, at any meeting
specially called to consider the subject, may elect to dissolve the
credit union, by the vote or written consent of a majority of all
members of the credit union.
   (b) The commissioner may approve the dissolution of a credit union
which is recommended by the vote of a majority of the board members
of the credit union, even if the dissolution is approved by less than
a majority of all members of the credit union, if the commissioner
finds, upon the written and verified application filed by the board
of directors, that (1) notice of the meeting called to consider the
dissolution or the written ballot for written vote on the dissolution
was mailed to each member entitled to vote upon the question, (2)
the notice or the written ballot disclosed the purpose of the meeting
or the written vote and informed the membership that approval of the
dissolution might be sought pursuant to this section, and (3) a
majority of the votes cast upon the question were in favor of the
dissolution.
   (c) Whenever the members of the board of directors vote to
recommend the dissolution of any credit union, the credit union shall
not make any loans, withdrawal of shares, or withdrawal of
certificates for funds until the members approve or disapprove the
recommendation of the board of directors.



15251.  If the dissolution of the credit union is approved pursuant
to subdivision (a) or (b) of Section 15250, the board of directors of
the credit union shall elect a committee of three members or may by
resolution appoint a liquidating agent to liquidate the assets of the
credit union. If the commissioner is appointed liquidating agent,
the commissioner may act as liquidating agent or appoint the National
Credit Union Administration or other person to act as liquidating
agent. Whenever the commissioner is appointed liquidating agent, the
credit union shall surrender its certificate to act as a credit
union.


15252.  Promptly thereafter the president or vice president and
secretary or assistant secretary, or a majority of the committee or
the liquidating agent in charge of liquidation, shall sign and verify
a certificate stating that the credit union has elected to wind up
and dissolve and showing by what vote or consent such election was
made. The certificate shall be filed in the office of the Secretary
of State, and copies of the certificate certified by the Secretary of
State shall be filed with the commissioner.



15253.  After a vote to dissolve a credit union no business may be
carried on by the credit union except in the proper course of
liquidation.


15254.  The committee or the liquidating agent in charge of
liquidation may sue in the name and on behalf of the credit union,
and may sell or otherwise dispose of the assets of the credit union,
in whole or in part, at public or private sale.




15255.  After determining that all known debts and liabilities of
the credit union have been paid or adequately provided for, the
committee or the liquidating agent in charge of liquidation shall
distribute all the remaining assets of the credit union among the
members or shareholders. Each share is entitled to its proportionate
amount of the assets according to the amount paid on that share.



15257.  When a credit union has completely wound up, all of its
known debts and liabilities actually paid or adequately provided for
or paid as far as its assets permit, and its known assets
distributed, a majority of the committee or the liquidating agent in
charge of liquidation shall sign and acknowledge a certificate
stating that the credit union has been completely wound up, its known
assets distributed, any tax or penalty due under the Bank and
Corporation Franchise Tax Law paid, and its other known debts and
liabilities actually paid or adequately provided for or paid as far
as its assets permit and that the credit union is dissolved.




15258.  The certificate of dissolution shall be filed in the office
of the Secretary of State and copies, certified by him, shall be
filed in the office of the commissioner.



15259.  At any time during the liquidation process, the committee or
the liquidating agent in charge of liquidation may be relieved of
their duties at the discretion of the commissioner and the
commissioner shall thereafter act as the liquidating agent or appoint
a liquidating agent to complete the dissolution of the credit union.




15260.  Where the commissioner finds that on the date of filing with
the Secretary of State of the certificate of election to wind up and
dissolve, the credit union does not have sufficient assets to return
to its shareholders their investment in full, the credit union shall
not be liable for the costs of administration assessed under Article
4 (commencing with Section 14350) of Chapter 3.


State Codes and Statutes

State Codes and Statutes

Statutes > California > Fin > 15250-15260

FINANCIAL CODE
SECTION 15250-15260



15250.  (a) Whenever the board of directors of a credit union
recommends by a vote of a majority of all its members the dissolution
of the credit union, the members of the credit union, at any meeting
specially called to consider the subject, may elect to dissolve the
credit union, by the vote or written consent of a majority of all
members of the credit union.
   (b) The commissioner may approve the dissolution of a credit union
which is recommended by the vote of a majority of the board members
of the credit union, even if the dissolution is approved by less than
a majority of all members of the credit union, if the commissioner
finds, upon the written and verified application filed by the board
of directors, that (1) notice of the meeting called to consider the
dissolution or the written ballot for written vote on the dissolution
was mailed to each member entitled to vote upon the question, (2)
the notice or the written ballot disclosed the purpose of the meeting
or the written vote and informed the membership that approval of the
dissolution might be sought pursuant to this section, and (3) a
majority of the votes cast upon the question were in favor of the
dissolution.
   (c) Whenever the members of the board of directors vote to
recommend the dissolution of any credit union, the credit union shall
not make any loans, withdrawal of shares, or withdrawal of
certificates for funds until the members approve or disapprove the
recommendation of the board of directors.



15251.  If the dissolution of the credit union is approved pursuant
to subdivision (a) or (b) of Section 15250, the board of directors of
the credit union shall elect a committee of three members or may by
resolution appoint a liquidating agent to liquidate the assets of the
credit union. If the commissioner is appointed liquidating agent,
the commissioner may act as liquidating agent or appoint the National
Credit Union Administration or other person to act as liquidating
agent. Whenever the commissioner is appointed liquidating agent, the
credit union shall surrender its certificate to act as a credit
union.


15252.  Promptly thereafter the president or vice president and
secretary or assistant secretary, or a majority of the committee or
the liquidating agent in charge of liquidation, shall sign and verify
a certificate stating that the credit union has elected to wind up
and dissolve and showing by what vote or consent such election was
made. The certificate shall be filed in the office of the Secretary
of State, and copies of the certificate certified by the Secretary of
State shall be filed with the commissioner.



15253.  After a vote to dissolve a credit union no business may be
carried on by the credit union except in the proper course of
liquidation.


15254.  The committee or the liquidating agent in charge of
liquidation may sue in the name and on behalf of the credit union,
and may sell or otherwise dispose of the assets of the credit union,
in whole or in part, at public or private sale.




15255.  After determining that all known debts and liabilities of
the credit union have been paid or adequately provided for, the
committee or the liquidating agent in charge of liquidation shall
distribute all the remaining assets of the credit union among the
members or shareholders. Each share is entitled to its proportionate
amount of the assets according to the amount paid on that share.



15257.  When a credit union has completely wound up, all of its
known debts and liabilities actually paid or adequately provided for
or paid as far as its assets permit, and its known assets
distributed, a majority of the committee or the liquidating agent in
charge of liquidation shall sign and acknowledge a certificate
stating that the credit union has been completely wound up, its known
assets distributed, any tax or penalty due under the Bank and
Corporation Franchise Tax Law paid, and its other known debts and
liabilities actually paid or adequately provided for or paid as far
as its assets permit and that the credit union is dissolved.




15258.  The certificate of dissolution shall be filed in the office
of the Secretary of State and copies, certified by him, shall be
filed in the office of the commissioner.



15259.  At any time during the liquidation process, the committee or
the liquidating agent in charge of liquidation may be relieved of
their duties at the discretion of the commissioner and the
commissioner shall thereafter act as the liquidating agent or appoint
a liquidating agent to complete the dissolution of the credit union.




15260.  Where the commissioner finds that on the date of filing with
the Secretary of State of the certificate of election to wind up and
dissolve, the credit union does not have sufficient assets to return
to its shareholders their investment in full, the credit union shall
not be liable for the costs of administration assessed under Article
4 (commencing with Section 14350) of Chapter 3.

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