(a)As used in this section, "affiliate"
includes the following:
(1)A financial institution.
(2)Any company that controls a financial institution and any
other company that is controlled by the company that controls a
financial institution.
(3)A bank subsidiary of a financial institution.
(4)Any company:
(A)that is controlled directly or indirectly, by a trust or
otherwise, by or for the benefit of shareholders who beneficially
or otherwise control, directly or indirectly, by trust or otherwise,
the financial institution or any company that controls the
financial institution; or
(B)in which a majority of the company's directors or trustees
constitute a majority of the persons holding any such office
with a financial institution or any company that controls the
financial institution.
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(a) As used in this section, "affiliate"
includes the following:
(1) A financial institution.
(2) Any company that controls a financial institution and any
other company that is controlled by the company that controls a
financial institution.
(3) A bank subsidiary of a financial institution.
(4) Any company:
(A) that is controlled directly or indirectly, by a trust or
otherwise, by or for the benefit of shareholders who beneficially
or otherwise control, directly or indirectly, by trust or otherwise,
the financial institution or any company that controls the
financial institution; or
(B) in which a majority of the company's directors or trustees
constitute a majority of the persons holding any such office
with a financial institution or any company that controls the
financial institution.
(5) Any:
(A) company, including a real estate investment trust, that is
sponsored and advised on a contractual basis by the financial
institution or any subsidiary or affiliate of the financial
institution; or
(B) investment company with respect to which a financial
institution or any affiliate of a financial institution is an
investment advisor (as defined in section 2(a)(20) of the
Investment Company Act of 1940 (15 U.S.C. 80a)).
(6) Any company that the department determines by regulation or
order to have a relationship with the financial institution or any
subsidiary or affiliate of the financial institution, such that
covered transactions by the financial institution or its subsidiary
with that company may be affected by the relationship to the
detriment of the financial institution or its subsidiary.
(b) The term "affiliate" does not include the following:
(1) Any company engaged solely in holding the premises of the
financial institution.
(2) Any company engaged solely in conducting a safe deposit
business.
(3) Any company engaged solely in holding obligations of the
United States or its agencies or obligations fully guaranteed by the
United States or its agencies as to principal and interest.
(4) Any company whose control of a financial institution results
from the exercise of rights arising from a bona fide debt
previously contracted for. The exemption provided by this
subdivision applies only:
(A) for the period specifically authorized under applicable state
or federal law or regulation; or
(B) in the absence of a law or regulation described in clause
(A), for a period of two (2) years after:
(i) the date of the company's exercise of the rights arising
from the debt; or
(ii) the effective date of the company's action under item (i);
whichever is later.
Upon application by the company or the financial institution, the
department may authorize, for good cause shown, an extension of
the period of exemption allowed under this subdivision.
Extensions granted by the department under this subdivision may
not exceed three (3) years in total.
(c) As used in this section, "financial institution" means any of the
following that is organized or reorganized under the laws of the United
States or any state (as defined in IC 28-2-17-19) and that has been
granted fiduciary powers:
(1) A bank.
(2) A bank and trust company.
(3) A savings bank.
(4) A trust company.
(5) A corporate fiduciary.
(6) An industrial loan and investment company.
(7) A savings association.
(8) A bank of discount and deposit.
(9) A loan and trust and safe deposit company.
(d) As used in this section, "trust business" means all rights, powers,
and duties granted to or imposed on a financial institution in the
exercise of its fiduciary powers, including the following:
(1) The authority to act as:
(A) the administrator, coadministrator, executor, coexecutor,
trustee, or cotrustee of or in respect to any estate or trust;
(B) the guardian of any person or estate that is being
administered under Indiana law;
(C) an agent;
(D) a custodian (including custodian under the Indiana Uniform
Gifts to Minors Act); or
(E) an attorney-in-fact.
The authority conferred by this subdivision includes any other
duties, powers, and appointments regularly administered by,
granted to, or conferred upon trust departments established and
maintained under IC 28-1-12-3(a) or the departments of national
banks and other financial institutions that are authorized to
exercise fiduciary powers.
(2) All rights, powers, and duties arising from having been named
or designated in any capacity described in subdivision (1) in any
will or other writing whenever executed, including wills and other
writings naming the predecessor affiliate that are executed after
the effective date of the resolution anticipated by subsection (e).
(e) The board of directors of any bank holding company or other
company that controls a financial institution may adopt a resolution to
cause an affiliated financial institution to succeed to part or all of the
trust business of another affiliate it controls. If a financial institution is
not controlled by another company, the board of directors of the
financial institution may adopt a resolution to cause part or all of its
trust business to succeed to an affiliated financial institution. If the
board of directors adopts such a resolution and files a certified copy of
it as required by subsection (f), the successor affiliate becomes
successor fiduciary in place of the predecessor affiliate with all the
rights, powers, and duties that were granted to or imposed on the
predecessor affiliate. The rights, powers, and duties vest in the
successor affiliate, after the taking effect of the succession, irrespective
of the date upon which the relation is established, and irrespective of
the date of any related written agreement establishing the relationship
or of the date of the death of any decedent whose estate is being so
administered. Nothing done in connection with the succession effects
a renunciation or revocation of any letters of administration or letters
testamentary pertaining to the relation, nor does it effect a removal or
resignation from the executorship, trusteeship, or other fiduciary
relationship.
(f) If a resolution is adopted under this section, the board of
directors shall file a certified copy of the resolution with the
department. The board of directors may file the copy in person or by
certified mail. The effective date of the succession to part or all of the
trust business, as set forth in the resolution, is the date provided in the
resolution, which must not be before or more than thirty (30) days after
the date of filing of the resolution. If the resolution provides no
effective date, the effective date is the date of filing.