§ 28-11-5-10 — Financial institutions organized as limited liability companies; treatment as financial institution organized in stock form; exclusive authority of department to regulate; prior approval of department required

Indiana § 28-11-5-10

• Jurisdiction: Indiana
• Art. 11: DEPARTMENT OF FINANCIAL INSTITUTIONS
• Ch. 5: Department Oversight of Organization of a Financial

Text

(a) Subject to subsection (g), a financial
institution described in section 1 of this chapter that is subject to this
chapter may:
(1) be organized as a limited liability company;
(2) convert to a limited liability company; or
(3) merge with or into a limited liability company;
under the laws of Indiana or the United States, including any rules or
regulations adopted or promulgated under the laws of Indiana or the
United States.
(b) A financial institution organized as a limited liability company
is subject to:
(1) IC 23-18; and
(2) this title.
If a provision of IC 23-18 conflicts with a provision of this title or with
any rule of the department, the provision of this title or the rule of the
department controls.
(c) Any filing required to be made under IC 23-18 shall be made in
the same manner as for a financial institution that is organizing or is
organized in stock form.
(d) The department may prescribe any requirements for:
(1) the articles of organization; and
(2) the operating agreement;
of a financial institution that is organized and operates as a limited
liability company.
(e) The department has the exclusive authority under this title to
regulate a financial institution organized as a limited liability company.
A financial institution that is a limited liability company is subject to
the department's authority in the same manner as a bank that is
organized in stock form.
(f) A financial institution that is a limited liability company is
subject to the provisions of this title that apply to banks, except for the
provisions concerning corporate governance (IC 28-13), in the same
manner as a financial institution that is organized in stock form, subject
to the following:
(1) In the case of a manager managed limited liability company,
"director" means a manager of the limited liability company.
(2) In the case of a member managed limited liability company,
"director" means a member of the limited liability company.
(g) A financial institution may not:
(1) organize as;
(2) convert to; or
(3) merge with or into;
a limited liability company without the prior approval of the
department under this title.

Legislative History

As added by P.L.90-2008, SEC.76. Amended by P.L.27-2012, SEC.108; P.L.13-2013, SEC.74.