§ 28-1-3.1-4 — Notice; entry of cause; hearing; record; rights and liabilities of persons interested; Federal Deposit Insurance Corporation as receiver

Indiana § 28-1-3.1-4

• Jurisdiction: Indiana
• Art. 1: DEPARTMENT OF FINANCIAL INSTITUTIONS
• Ch. 3.1: Liquidation of Financial Institutions

Text

(a) Immediately upon the taking possession of
the business and property of any financial institution under section 2 of
this chapter, the department shall give notice by:
(1) posting the notice at the main entrance of the principal office
of the financial institution;
(2) causing the notice to be served upon the president or other
executive officer actively in charge of the business of the financial
institution; and
(3) filing the notice in the office of the circuit court, superior
court, or probate court in the county where the principal office of
the financial institution is located.
(b) Upon the filing of the notice under subsection (a), the clerk
shall:
(1) note the filing of the notice upon the records of the
receivership court; and
(2) enter the cause as a civil action upon the dockets of the court
under the name and style of "In the matter of the liquidation of
___________" (inserting the name of the financial institution).
(c) The receivership court may hear and determine all issues and
matters pertaining to or connected with the liquidation of the financial
institution, including:
(1) the amount of the compensation and necessary expenses of
any special representative, assistant, accountant, agent, or
attorney employed by the department, or the receiver appointed
by the department, as set forth in this chapter; and
(2) all papers and pleadings pertaining to the liquidation
proceedings.
(d) All entries, orders, judgments, and decrees of the receivership
court in connection with the liquidation proceedings shall be filed and
entered of record in the cause of action.
(e) The rights and liabilities of a financial institution and of its
creditors, depositors, shareholders, and all other persons interested in
its estate shall, unless otherwise directed by the court, be fixed as of the
date of the filing of the notice of possession with the receivership court.
In the case of mutual debts or mutual credits of equal priority between
the financial institution and another person, the credits and debts shall
be set off and the balance only shall be allowed or paid. The right to set
off shall be determined as of the date of the filing of the notice of
possession of the financial institution under subsection (a).
(f) Notwithstanding this section, if the Federal Deposit Insurance
Corporation is appointed receiver of a financial institution, subsections
(a)(3), (b), (c), and (d) do not apply, and applicable federal law governs
the receivership.

Legislative History

As added by P.L.141-1984, SEC.2. Amended by P.L.35-2010, SEC.99; P.L.84-2016, SEC.120.