17-5612.   Examinations; use of audit report; reexaminations; expenses;report; expenditures; joint examination and acceptance of federal examinations;examination information available to private insurer of shares or deposits.(a) The commissioner in person or by one or more of the deputies of thecommissioner, at times determined by the commissioner or the board but atleast once every 18 months, without previous notice,shall visit and examine into the affairs of every association organized underthe lawsof this state; on such occasions the commissioner or such deputies shallhave full access to all of the books, records, securities, and papers ofsuch association, and may first count the cash and check the bank balancesof such association with the proper amount of funds as shown by the booksto be on hand at the date and hour of such examination, and shall thenexamine and verify the personal accounts of each officer, director andemployee of such association on its books, and shall thereafter, so far asdeemed necessary by the commissioner, examine and verify the books,accounts and securities of such association, and the amount of its sharesoutstanding, and ascertain the value of all property and investments ownedand of all property held as security for moneys loaned, and otherwiseascertain the financial condition of such association, except that in lieuof an examination audit, an audit report resulting from an audit performedby an independent public accountant, may be accepted by the commissioner;acceptance being conditioned on the audit report complying with certainrequirements set out by the commissioner and the savings and loan board.

      (b)   The commissioner and the deputies of the commissioner shall have thepower to administer oaths and examine under oath any director, officer,employee, or agent of any association concerning the business and affairsthereof. Whenever in the judgment of the board the condition of anassociation renders it necessary to reexamine an association to ascertainits financial condition or to enforce requirements made by the commissionerand the deputies of the commissioner in regular examination, or for thepurpose of correcting unlawful practices or violations of the savings andloan laws or of the bylaws of the association, such association shall payfor such examination at the rates established. The commissioner shall assoon as practicable after each examination forward a report of suchexamination, together with the requirements of the commissioner for thecorrection of any unlawful practices, to the president of the association.The expense of every regular examination and the expenses of administeringthe laws governing the associations shall be paid pursuant to K.S.A. 9-1703 andamendments thereto.

      (c)   The commissioner is authorized to expend the moneys in thebank commissioner fee fund in the administration and enforcement of theprovisions of this act and theact to which this act is amendatory and supplemental. The commissioner mayaccept any examination of a savings and loan association organized underthe laws of the state of Kansas made by a federal home loan bank or thefederal savings and loan insurance corporation or may examine suchassociation jointly with the federal home loan bank or federal savings andloan insurance corporation. In the case of a joint examination thecommissioner shall make available to the federal home loan bank or thefederal savings and loan insurance corporation any information furnished toor obtained by the commissioner in such examination. The commissioner shallmake available to any private insurer of the shares or deposits of anyassociation any information furnished to or obtained by the commissioner inthe examination of the association insured by such insurer.

      History:   L. 1943, ch. 133, § 165; L. 1949, ch. 194, § 1; L. 1955, ch. 143, §1; L. 1962, ch. 32, § 1; L. 1963, ch. 398, § 7; L. 1963, ch. 147, § 1;L. 1967, ch. 129, § 4; L. 1970, ch. 95, § 3; L.1973, ch. 309, § 10; L. 1975, ch. 142, § 6;L. 1994, ch. 33, § 3; July 1.