§ 13-2-304 — Transfer of stock and other ownership interests

(a) The shares of stock of banks are personal property and
shall be transferred on the books of the bank in such manner as
the bylaws may provide. A transfer of stock in a bank is invalid
until any impairment of its capital stock has been restored.
(b) Transfers of voting ownership interests of a bank or
of a bank holding company shall be reported to the commissioner
not less than ten (10) days prior to being made if the transfer:
(i) Equals or exceeds ten percent (10%) of the bank's
or the bank holding company's voting ownership interests; or
(ii) Is made to a person owning or controlling ten
percent (10%) or more and less than eighty percent (80%) of the
bank's or the bank holding company's voting ownership interests.
(c) The state banking commissioner may disapprove any
transfer of stock required to be reported if he finds that the
transferee:
(i) Repealed by Laws 1993, ch. 115, § 3.
(ii) Has been convicted of a felony; or
(iii) Has been removed from a position as director,
officer or employee of a bank or other financial institution
pursuant to an order of the state banking commissioner or
appropriate federal regulatory authority.