State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_53 > GS_53-99_1

§53‑99.1.  Confidential records.

(a)        As used in thissection:

(1)        "Compliancereview committee" means:

a.         An audit, loanreview, or compliance committee appointed by the board of directors of a bankor any other person to the extent the person acts at the direction of orreports to a compliance review committee; and

b.         Whose functions areto audit, evaluate, report, or determine compliance with any of the following:

1.         Loan underwritingstandards;

2.         Asset quality;

3.         Financial reportingto federal or State regulatory agencies;

4.         Adherence to thebank's investment, lending, accounting, ethical, and financial standards; or

5.         Compliance withfederal or State statutory requirements.

(2)        "Compliancereview documents" means documents prepared for or created by a compliancereview committee.

(3)        "Bank"means a bank chartered under the laws of North Carolina or of the United Statesand any subsidiaries thereof.

(4)        "Loan reviewcommittee" means a person or group of persons who, on behalf of a bank,reviews assets, including loans held by the bank, for the purpose of assessingthe credit quality of the loans or the loan application process, compliancewith the bank's investment and loan policies and compliance with applicablelaws and regulations.

(5)        "Person"means an individual, group of individuals, board, committee, partnership, firm,association, corporation, or other entity.

(b)        Banks charteredunder the laws of North Carolina or of the United States shall maintaincomplete records of compliance review documents, and the documents shall beavailable for examination by any federal or State bank regulatory agency havingsupervisory jurisdiction. Notwithstanding Chapter 132 of the General Statutes,compliance review documents in the custody of a bank or regulatory agency areconfidential, are not open for public inspection, and are not discoverable oradmissible in evidence in a civil action against a bank, its directors,officers, or employees, unless the court finds that the interests of justicerequire that the documents be discoverable or admissible in evidence. (1995,c. 408, s. 1.)