9-1127b.   Same; services which may be provided by corporations; restrictions.(a) A bank service corporation may provide to any person anyservice authorized by this section, except that a bank service corporationshall not take deposits.

      (b)   Except with the prior approval of the state bank commissioner, a bankservice corporation shall not perform theservices authorized by this section in any state other than this state andall shareholders of a bank service corporation shall be located in this state.

      (c)   A bank service corporation in which a state bank is a shareholdershall perform only those services that such state bank shareholder isauthorized to perform under the law of this state and shall perform suchservices onlyat locations in this state in which such bank shareholder could be authorizedto perform such services.

      (d)   A bank service corporation in which a national bank is a shareholdershall perform only those services that such national bank shareholder isauthorized to perform under federal law and shall perform such servicesonly at locations in this state at which such national bank shareholdercould be authorized to perform such services.

      (e)   A bank service corporation that has both national bank and state bankshareholders shall perform only those services that may lawfully be performedby both its national bank shareholder or shareholders under federal law andits state bank shareholder or shareholders under the law of thisstate and shall perform such services only at locations in this state atwhich both its state bank and national bank shareholders could be authorizedto perform such services.

      (f)   Notwithstanding the other provisions of this section or any otherprovision of law, other than the provisions of federal branching law andthe branching law of this state regulating the geographic location of banksto the extent that those laws are applicable to an activity authorized bythis subsection, a bank service corporation may perform at any geographiclocation any service, other than deposit taking, that the board of governorsof the federal reserve system has determined, by regulation, to be permissiblefor a bank holding company under section 4(c)(8) of the federal bank holdingcompany act.

      History:   L. 1984, ch. 48, § 7;L. 2001, ch. 87, § 9; July 1.