State Codes and Statutes

State Codes and Statutes

Statutes > Nebraska > Chapter8 > 8-115_01

8-115.01. Banks; new charter;transfer of charter; procedure.When an application requiredby section 8-120 is made by a corporation, the following procedures shallbe followed:(1) Except as provided for in subdivision (2) of this section, whenapplication is made for a new bank charter, a public hearing shall be heldon each application. Notice of the filing of the application shall be publishedby the department for three weeks in a legal newspaper published in or ofgeneral circulation in the county where the applicant proposes to operatethe bank. The date for hearing the application shall be not less than thirtydays after the last publication of notice of hearing and not more than ninetydays after the application has been accepted for filing by the director assubstantially complete unless the applicant agrees to a later date. Noticeof the filing of the application shall be sent by the department to all financialinstitutions located in the county where the applicant proposes to operate;(2) When application is made for a new bank charter and the directordetermines, in his or her discretion, that the conditions of subdivision (3)of this section are met, then the public hearing requirement of subdivision(1) of this section shall only be required if, (a) after publishing a noticeof the proposed application in a newspaper of general circulation in the countywhere the main office of the applicant is to be located and (b) after givingnotice to all financial institutions located within such county, the directorreceives a substantive objection to the application within fifteen days afterthe first day of publication;(3) The director shall consider the following in each application beforethe public hearing requirement of subdivision (1) of this section may be waived:(a) Whether the experience, character, and general fitness of the applicantand of the applicant's officers and directors are suchas to warrant belief that the applicant will operate the business honestly,fairly, and efficiently;(b) Whether the length of time that the applicant or a majority of theapplicant's officers, directors, and shareholders have been involved in thebusiness of banking in this state has been for a minimum of five consecutiveyears; and(c) Whether the condition of financial institutions currently ownedby the applicant, the applicant's holding company, if any, or the applicant'sofficers, directors, or shareholders is such as to indicate that a hearingon the current application would not be necessary;(4) Except as provided in subdivision (6) of this section, when applicationis made for transfer of a bank charter and move of the main office of a bankto any location other than within the corporate limits of the city or villageof its original charter or, if such bank charter is not located in a cityor village, then for transfer outside the county in which it is located, thedirector shall hold a hearing on the matter if he or she determines, in hisor her discretion, that the condition of the applicant warrants a hearing.If the director determines that the condition of the applicant does not warranta hearing, the director shall (a) publish a notice of the filing of the applicationin a newspaper of general circulation in the county where the proposed mainoffice and charter of the applicant would be located and (b) give notice ofsuch application to all financial institutions located within the county wherethe proposed main office and charter would be located and to such other interestedparties as the director may determine. If the director receives any substantiveobjection to the proposed relocation within fifteen days after the first dayof publication, he or she shall hold a hearing on the application. Noticeof a hearing held pursuant to this subdivision shall be published for twoconsecutive weeks in a newspaper of general circulation in the county wherethe main office would be located. The date for hearing the application shallbe not less than thirty days after the last publication of notice of hearingand not more than ninety days after the application has been accepted forfiling by the director as substantially complete unless the applicant agreesto a later date. When the persons making application for transfer of a mainoffice and charter are officers or directors of the bank, there is a rebuttablepresumption that such persons are parties of integrity and responsibility;(5) Except as provided in subdivision (6) of this section, when applicationis made for a move of any bank's main office within the city, village, orcounty, if not chartered within a city or village, of its original charter,the director shall publish notice of the proposed move in a newspaper of generalcirculation in the county where the main office of the applicant is locatedand shall give notice of such intended move to all financial institutionslocated within the county where such bank is located. If the director receivesa substantive objection to such move within fifteen days after publishingsuch notice, he or she shall publish an additional notice and hold a hearingas provided in subdivision (1) of this section;(6) With the approval of the director, a bank may move its main officeand charter to the location of a branch of the bank without public noticeor hearing as long as (a) the condition of the bank, in the discretion ofthe director, does not warrant a hearing and (b) the branch (i) is locatedin Nebraska, (ii) has been in operation for at least one year as a branchof the bank or was acquired by the bank pursuant to section 8-1506 or 8-1516,and (iii) is simultaneously relocated to the original main office location;(7) The director shall send any notice to financial institutions requiredby this section by first-class mail, postage prepaid, or electronic mail.Electronic mail may be used if the financial institution agrees in advanceto receive such notices by electronic mail.A financial institution may designate one office for receipt of any such noticeif it has more than one office located within the county where such noticeis to be sent or a main office in a county other than the county where suchnotice is to be sent;(8) The expense of any publication and mailing required by this sectionshall be paid by the applicant; and(9) Notwithstanding any provision of this section, the director shalltake immediate action on any charter application or applications concernedwithout the benefit of a hearing in the case of an emergency so declared bythe Governor, the Secretary of State, and the director. SourceLaws 1965, c. 25, § 1, p. 191; Laws 1967, c. 19, § 2, p. 117; Laws 1973, LB 164, § 3; Laws 1974, LB 721, § 1; Laws 1979, LB 220, § 2; Laws 2002, LB 957, § 1; Laws 2003, LB 217, § 2; Laws 2005, LB 533, § 2; Laws 2008, LB851, § 1; Laws 2010, LB890, § 1.Operative Date: July 15, 2010