Senate Bill 211 Summary

• Creates a new category of limited-purpose banks called "Business Development Banks" (BDBs) chartered and regulated under Delaware law by the State Bank Commissioner.

• BDBs are authorized to extend loans greater than $5,000 to business entities for commercial purposes, accept savings and time deposits of $100,000 or more, and provide management consulting services, but are prohibited from making consumer loans or accepting demand deposits.

• Requires BDBs to maintain a single location open to the general public in Delaware, include "bank" and the suffix "BDB" in their corporate name, and maintain a minimum of 5 directors.

• Establishes incorporation procedures including publication of notice of intention, State Bank Commissioner approval of public convenience and advantage, organizational meetings, and filing with the Secretary of State; requires an investigation fee of $1,150 and a $5,750 fee before authorization to transact business.

• Grants the State Bank Commissioner authority to revoke a BDB's charter for violations such as engaging in prohibited activities or operating more than one public location, with Court of Chancery review available within one year of revocation.