Public-domain · open source
OpenJurist

Iowa Code § 524.224

Grounds for order to cease business — appointment of receiver

Redline — January 1, 2012 → current.View current text →
Current — January 1, 2024
As of January 1, 2012
The superintendent may take over the management of the property and business of a state bank whenever it appears to the superintendent that:
1. The superintendent may, without prior notice or hearings, order a state bank to cease to carry on its business whenever the superintendent determines that:
1. The state bank has violated its articles of incorporation or any law of this state.
a. The state bank has violated its articles of incorporation or any law of this state.
2. The capital of the state bank is impaired.
b. The capital of the state bank is impaired.
3. The state bank is conducting its business in an unsafe or unsound manner.
c. The state bank is conducting its business in an unsafe or unsound manner.
4. The state bank is in such condition that it is unsound, unsafe or inexpedient for it to transact business.
d. The state bank is insolvent or is otherwise in such condition that it is unsound, unsafe, or inexpedient for it to transact business.
5. The state bank has suspended or refused payment of its deposits or other liabilities contrary to the terms thereof.
e. The state bank has suspended or refused payment of its deposits or other liabilities contrary to the terms thereof, or the superintendent determines the state bank is unlikely to be able to pay its deposits or other liabilities in the near future.
6. The state bank refuses to make its records available to the superintendent for examination or otherwise refuses to make available, through an officer or employee having knowledge thereof, information required by the superintendent for the proper discharge of the duties of the superintendent’s office.
f. The state bank refuses to make its records available to the superintendent for examination or otherwise refuses to make available, through an officer or employee having knowledge thereof, information required by the superintendent for the proper discharge of the duties of the superintendent’s office.
7. The state bank neglects or refuses to observe any order of the superintendent made pursuant to the provisions of this chapter, unless the enforcement of such order is stayed in a proceeding brought by the state bank.
g. The state bank neglects or refuses to observe any order of the superintendent made pursuant to the provisions of this chapter, unless the enforcement of such order is stayed in a proceeding brought by the state bank.
8. The state bank has not transacted any business or performed any of the duties, contemplated by its authorization to do business, for a period of one year.
h. The state bank has not transacted any business or performed any of the duties, contemplated by its authorization to do business, for a period of thirty days.
9. The state bank has failed to renew its corporate existence in the manner provided for in section 524.314 within one hundred eighty days prior to the expiration thereof.
The superintendent shall thereafter manage the property and business of the state bank until such time as the superintendent may relinquish to the state bank the management thereof, upon such conditions as the superintendent may prescribe, or until its affairs be finally dissolved as provided in this chapter.
2. Upon ordering a state bank to cease to carry on its business, the superintendent shall immediately appoint the federal deposit insurance corporation as receiver pursuant to section 524.1310.
95 Acts, ch 148, §19
95 Acts, ch 148, §19; 2012 Acts, ch 1023, §157; 2022 Acts, ch 1062, §22
Referred to in

Official source: Iowa Legislature. Reproduced from public-domain Iowa statutes; confirm against the official source for the current text. Not legal advice.