§ 28-6.1-7-12 — Purchasing, holding, and conveying real estate necessary for transaction of business

Indiana § 28-6.1-7-12

• Jurisdiction: Indiana
• Art. 6.1: SAVINGS BANKS
• Ch. 7: Powers of a Savings Bank Subject to the Rules of the

Text

(a) A savings bank may purchase, hold, and
convey real estate that is necessary for the convenient transaction of the
business of the savings bank.
(b) For the purposes of this section, real estate purchased or held for
the convenient transaction of the business of a savings bank includes
the following:
(1) Real estate on which the principal office or a branch office of
the savings bank is located.
(2) Real estate that is the location of facilities supporting the
operations of the savings bank, such as parking facilities, data
processing centers, loan production offices, automated teller
machines, night depositories, facilities necessary for the
operations of a savings bank, or other facilities that are approved
by the director.
(3) Real estate that the board of the savings bank expects, in good
faith, to use as a savings bank office or facility in the future.
(c) If real estate referred to in subsection (b)(3) is held by a savings
bank for one (1) year without being used as a savings bank office or
facility, the board of trustees of the savings bank shall state, by
resolution, definite plans for the use of the real estate. A resolution
adopted under this subsection shall be made available for inspection by
the department.
(d) Real estate referred to in subsection (b)(3) may not be held by
a savings bank for more than three (3) years without being used as a
savings bank office or facility unless both of the following apply:
(1) The board of the savings bank, by resolution:
(A) reaffirms annually that the savings bank expects to use the
real estate as a savings bank office or facility in the future; and
(B) explains the reason why the real estate has not yet been
used as a savings bank office or facility.
(2) The director determines that both of the following apply:
(A) The continued holding of the real estate by the savings bank
does not endanger the safety and soundness of the savings bank.
(B) The savings bank is holding the real estate to use in the
future for one (1) of the purposes set forth in subsection (b)(1)
and (b)(2).
(e) Real estate referred to in subsection (b)(3) may not be held by a
savings bank for more than ten (10) years without being used as a
savings bank office or facility unless the department consents in
writing to the continued holding of the real estate by the savings bank.

Legislative History

As added by P.L.42-1993, SEC.72.