JurisdictionNew HampshireTitle XXXVBANKS AND BANKING; LOAN ASSOCIATIONS; CREDIT UNIONS
Ch. 384-FTHE NEW HAMPSHIRE INTERNATIONAL BANKING ACT
SubdivisionDirect Branch, Agency, and Representative Offices of Foreign Banks
This text of New Hampshire § 384-F:43 (Seizure of Foreign Bank's Property and Business; Liquidation) is published on Counsel Stack Legal Research, covering New Hampshire primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
I.If the commissioner finds that any of the factors set forth in RSA 384-F:41 are true with respect to any foreign bank which is licensed to establish and maintain a New Hampshire state branch or New Hampshire state agency and that it is necessary for the protection of the interests of the creditors of such foreign bank's business in this state or for the protection of the public interest that he or she take immediate possession of the property and business of the foreign bank, the commissioner may by order forthwith take possession of the property and business of the foreign bank in this state and retain possession until the foreign bank resumes business in this state or is finally liquidated. The foreign bank may, with the consent of the commissioner, resume business in this state upon
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I. If the commissioner finds that any of the factors set forth in RSA 384-F:41 are true with respect to any foreign bank which is licensed to establish and maintain a New Hampshire state branch or New Hampshire state agency and that it is necessary for the protection of the interests of the creditors of such foreign bank's business in this state or for the protection of the public interest that he or she take immediate possession of the property and business of the foreign bank, the commissioner may by order forthwith take possession of the property and business of the foreign bank in this state and retain possession until the foreign bank resumes business in this state or is finally liquidated. The foreign bank may, with the consent of the commissioner, resume business in this state upon such conditions as the commissioner may prescribe under rules adopted pursuant to RSA 541-A, or by order.
II. At any time within 10 days after the commissioner has taken possession of the property and business of a foreign bank pursuant to paragraph I, such foreign bank may apply to the court of county in which the primary office of the foreign bank is located in this state for an order requiring the commissioner to show cause why he or she should not be enjoined from continuing such possession. The court may, upon good cause being shown, direct the commissioner to refrain from further proceedings and to surrender such possession. The judgment of the court having jurisdiction over any proceedings under this paragraph may be appealed by the commissioner or by the foreign bank in the manner provided by law for appeals from a judgment of a county court. Where the commissioner appeals the judgment of a county court, such appeal shall operate as a stay of the judgment and a reinstatement of the commissioner's possession. The commissioner shall not be required to post any bond.
III. Whenever the commissioner takes possession of the property and business of a foreign bank pursuant to paragraph I, he or she shall conserve or liquidate the property and business of such foreign bank pursuant to the laws of this state as if the foreign bank were a New Hampshire state bank, with absolute preference and priority given to the creditors of such foreign bank arising out of transactions with, and recorded on the books of, its New Hampshire state branch or New Hampshire state agency over the creditors of such foreign bank's offices located outside this state.
IV. When the commissioner has completed the liquidation of the property and business of a foreign bank, the commissioner shall transfer any remaining assets to such foreign bank in accordance with such orders as the court may issue. However, in case the foreign bank has an office in another state of the United States which is in liquidation and the assets of such office appear to be insufficient to pay in full the creditors of that office, the court shall order the commissioner to transfer to the liquidator of that office such amount of any such remaining assets as appears to be necessary to cover such insufficiency; if there are 2 or more such offices and the amount of remaining assets is less than the aggregate amount of insufficiencies with respect to the offices, the court shall order the commissioner to distribute the remaining assets among the liquidators of such offices in such manner as the court finds equitable.
V. As an alternative to the procedures set forth in paragraphs I-IV of this section, the commissioner may follow the procedures for liquidation in RSA 395.