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<section article="gfi" article_name="Financial Institutions" number="3-703" title_number="3" title_name="Banking Institutions -- Commercial Banks" subtitle_number="7" subtitle_name="Consolidations, Mergers, and Transfers of Assets">
  <level label="a">
    <text>An agreement of consolidation, merger, or transfer of assets shall be approved by the affirmative vote of a majority of the full authorized membership of the board of directors of each constituent commercial bank.</text>
  </level>
  <level label="b">
    <text>The agreement shall include:</text>
    <level label="1">
      <text>The name of each constituent bank and the address of its principal banking office;</text>
    </level>
    <level label="2">
      <text>The terms of the proposed transaction;</text>
    </level>
    <level label="3">
      <text>A statement that the agreement is subject to approval by the Commissioner and by the stockholders of each constituent bank;</text>
    </level>
    <level label="4">
      <text>Provisions for disposing of any stock of the successor that is not taken by objecting stockholders of the constituent banks;</text>
    </level>
    <level label="5">
      <text>As to the successor:</text>
      <level label="i">
        <text>The address of the proposed principal banking office;</text>
      </level>
      <level label="ii">
        <text>The authorized capital stock, including the number of shares and the par value of each share of stock;</text>
      </level>
      <level label="iii">
        <text>Whether it will issue preferred stock in the proposed transaction and, if so, the amount, terms, and preferences; and</text>
      </level>
      <level label="iv">
        <text>Any amendments to its charter and bylaws; and</text>
      </level>
    </level>
    <level label="6">
      <text>Any other provisions that the Commissioner requires to carry out the Commissioner’s duties with respect to the proposed transaction.</text>
    </level>
  </level>
  <level label="c">
    <text>After the board of directors of each constituent bank has approved the agreement, the following shall be filed with the Commissioner for approval:</text>
    <level label="1">
      <text>The agreement;</text>
    </level>
    <level label="2">
      <text>The name and address of each office of the constituent banks and of the successor;</text>
    </level>
    <level label="3">
      <text>The name and residence address of each individual who will be a director when the proposed transaction becomes effective;</text>
    </level>
    <level label="4">
      <text>The name and residence address of each individual who will be an officer when the proposed transaction becomes effective;</text>
    </level>
    <level label="5">
      <text>A certified copy of the approving resolution of each board of directors, showing the required approval by the board; and</text>
    </level>
    <level label="6">
      <text>Evidence of proper action by the board of directors of any constituent national banking association.</text>
    </level>
  </level>
  <level label="d">
    <level label="1">
      <text>Except as otherwise provided by law, any person who knowingly submits false information to the Commissioner while complying with subsection (c) of this section is guilty of a misdemeanor.</text>
    </level>
    <level label="2">
      <text>A person who violates this section is subject to a fine of not more than $1,000, or imprisonment for not more than 5 years, or both.</text>
    </level>
  </level>
</section>
