SB495 Summary

• Authorizes the Banking Board to order removal of and impose civil penalties up to $1,000 per day (maximum $100,000) against persons whose conduct caused substantial financial loss to a bank or demonstrated personal dishonesty or willful disregard for the bank's safety and soundness.

• Allows removal orders to prohibit affected persons from participating in the affairs of any Alabama state bank or holding company that controls an Alabama state bank, including after termination of employment, with jurisdiction extending six years from when the person ceased employment.

• Removes the exemption from Superintendent of Banking approval for transactions requiring Federal Reserve Board approval under the Bank Holding Company Act of 1956.

• Establishes that a quorum of the Banking Board for certain purposes is a majority of members present and entitled to vote.

• Eliminates the requirement that the Federal Deposit Insurance Corporation apply for an order confirming its appointment as receiver and specifies conditions for Alabama bank holding companies acquiring out-of-state banks, including a five-year operating history requirement.