17-2222.   Conversion from state to federal credit union.A credit union organized under K.S.A. 17-2201 to 17-2221, both sectionsinclusive, and acts amendatory thereof and supplemental thereto, may beconverted into a federal credit union by complying with the followingrequirements:

      (a)   The proposition for such conversion shall first be approved by amajority of the directors of the credit union. The proposition then shallbe submitted to a vote of its members, the notice of which shall be inwriting and shall be delivered in person to each member, or shall be mailedto each member at the address for such member appearing on the records ofthe credit union, not more than 30 nor less than seven daysprior to the time of the vote. Approval of the proposition forconversion shall be by the affirmative vote of a majority of the members votingon the proposition.

      (b)   A copy of a statement of the results of the vote, verified by the affidavits ofthe executive officer of the board and the secretary of the board, shall befiled with the administrator within 10 days after the vote.

      (c)   Promptly after the vote is taken and in no event later than 90 daysafter such vote, the credit union shall take such action as may be necessaryunder the federal credit union act to make it a federal credit union, andwithin 10 days after receipt of the federal credit union charter there shallbe filed with the administrator a copy of the charter thus issued. Upon such filing thecredit union shall cease to be a state credit union.

      (d)   Upon ceasing to be a state credit union, such credit union shall nolonger be subject to any of the provisions of the state law under whichthe credit union was organized. The successor federal credit union shallbe vested with all of the assets and shall continue responsible for all ofthe obligations of the state credit union to the same extent as though theconversion had not taken place.

      History:   L. 1959, ch. 119, § 1; L. 1961, ch. 120, § 1; L. 1968,ch. 160, § 11; L. 1983, ch. 83, § 5; July 1.