§ 6-01-09 — Supervision and examination by commissioner of financial institutions

The commissioner shall exercise a constant supervision over the business affairs of all
financial corporations, financial institutions, and credit unions, including all out-of-state branches
of financial corporations, financial institutions, and credit unions. Either the commissioner or one
or more examiners shall examine each financial institution to assess the affairs of the institution
and ascertain the institution's financial condition. The commissioner shall inspect and verify the
assets and liabilities of the institution and branches to ascertain with reasonable certainty that
the value of the assets and the amounts of the liabilities are correctly carried on its books. The
commissioner shall examine the validity of mortgages held by savings institutions and shall see
that all of the mortgages are properly recorded. The commissioner shall investigate the method
of operation and conduct of the corporations and institutions and their systems of accounting to
ascertain whether the methods conform to the law and sound banking usage and principles.
The commissioner shall inquire into and report any infringement of the laws governing those
corporations and institutions, and for that purpose the commissioner may examine the officers,
agents, and employees of the corporations and institutions and all persons doing business
therewith. The commissioner may examine, or cause to be examined, or review the books and
records of any subsidiary corporation of a bank or credit union service organization of a credit
union under the commissioner's supervision and may require the bank to provide information on
the holding company that owns the bank. The commissioner may also examine, or cause to be
examined, or review the books and records of any technology service provider that provides
services to financial corporations, credit unions, and financial institutions under the
commissioner's supervision, to evaluate that entity's risk management systems and controls and
compliance with applicable laws that affect such services provided to financial corporations,
credit unions, and financial institutions. The commissioner shall report the condition of the
corporations and institutions, together with the commissioner's recommendations or
suggestions in connection therewith, to the state banking board, state credit union board, or
both, and the boards may take such action as the exigencies may demand.