17-5612. Examinations; use of audit report; reexaminations; expenses; report; expenditures; joint examination and acceptance of federal examinations; examination information available to private insur
17-5612
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 the
commissioner, at times determined by the commissioner or the board but at
least once every 18 months, without previous notice,
shall visit and examine into the affairs of every association organized under
the laws
of this state; on such occasions the commissioner or such deputies shall
have full access to all of the books, records, securities, and papers of
such association, and may first count the cash and check the bank balances
of such association with the proper amount of funds as shown by the books
to be on hand at the date and hour of such examination, and shall then
examine and verify the personal accounts of each officer, director and
employee of such association on its books, and shall thereafter, so far as
deemed necessary by the commissioner, examine and verify the books,
accounts and securities of such association, and the amount of its shares
outstanding, and ascertain the value of all property and investments owned
and of all property held as security for moneys loaned, and otherwise
ascertain the financial condition of such association, except that in lieu
of an examination audit, an audit report resulting from an audit performed
by an independent public accountant, may be accepted by the commissioner;
acceptance being conditioned on the audit report complying with certain
requirements set out by the commissioner and the savings and loan board.
(b) The commissioner and the deputies of the commissioner shall have the
power to administer oaths and examine under oath any director, officer,
employee, or agent of any association concerning the business and affairs
thereof. Whenever in the judgment of the board the condition of an
association renders it necessary to reexamine an association to ascertain
its financial condition or to enforce requirements made by the commissioner
and the deputies of the commissioner in regular examination, or for the
purpose of correcting unlawful practices or violations of the savings and
loan laws or of the bylaws of the association, such association shall pay
for such examination at the rates established. The commissioner shall as
soon as practicable after each examination forward a report of such
examination, together with the requirements of the commissioner for the
correction of any unlawful practices, to the president of the association.
The expense of every regular examination and the expenses of administering
the laws governing the associations shall be paid pursuant to K.S.A. 9-1703 and
amendments thereto.
(c) The commissioner is authorized to expend the moneys in the
bank commissioner fee fund in the administration and enforcement of the
provisions of this act and the
act to which this act is amendatory and supplemental. The commissioner may
accept any examination of a savings and loan association organized under
the laws of the state of Kansas made by a federal home loan bank or the
federal savings and loan insurance corporation or may examine such
association jointly with the federal home loan bank or federal savings and
loan insurance corporation. In the case of a joint examination the
commissioner shall make available to the federal home loan bank or the
federal savings and loan insurance corporation any information furnished to
or obtained by the commissioner in such examination. The commissioner shall
make available to any private insurer of the shares or deposits of any
association any information furnished to or obtained by the commissioner in
the 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.