Texas Finance Code

§ 186.201 — ACTION TO CLOSE STATE TRUST COMPANY

FI § 186.201Title 3. FINANCIAL INSTITUTIONS AND BUSINESSES · Part F. TRUST COMPANIES · Ch. 186. DISSOLUTION AND RECEIVERSHIP · Art. C. INVOLUNTARY DISSOLUTION AND LIQUIDATION

Statute text

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(a)The banking commissioner may by written order close and liquidate a state trust company on finding that:

(1)the interests of its clients and creditors are jeopardized by the state trust company's insolvency or imminent insolvency; and

(2)the best interests of clients and creditors would be served by requiring that the state trust company be closed and its assets liquidated.

(b)A majority of the state trust company's directors, managers, or managing participants may voluntarily close the state trust company and place it with the banking commissioner for liquidation.

Legislative history

Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.16(a), eff. Sept. 1, 1999. Amended by Acts 2001, 77th Leg., ch. 412, Sec. 3.12, eff. Sept. 1, 2001.