Bill Text: CA AB1609 | 2017-2018 | Regular Session | Introduced

California Assembly Bill 1609 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: California Finance Lenders Law: reporting.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2018-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1609 Detail]

Download: California-2017-AB1609-Introduced.html

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill

No. 1609

Introduced by Assembly Member Gipson

February 17, 2017

An act to amend Section 1023 of the Financial Code, relating to business.

LEGISLATIVE COUNSEL'S DIGEST

AB 1609, as introduced, Gipson. Banking law.

Existing law, the Banking Law, defines and regulates state banks and commits the enforcement of banking laws with the Commissioner of Business Oversight. Existing law authorizes one or more persons to form a corporation for the purpose of conducting a commercial banking business or a trust business, or both of them, by submitting an application to the commissioner, as specified. Existing law prohibits the commissioner from approving that application until the commissioner has ascertained to his or her satisfaction that certain requirements are met.

This bill would make nonsubstantive changes to that provision.

Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO

The people of the State of California do enact as follows:

SECTION 1.

Section 1023 of the Financial Code is amended to read:

1023.

The commissioner may give or withhold his or her approval of the application in his or her discretion, but he or she shall not approve the application until he or she has ascertained all of the following to his or her satisfaction:

(a) That the public convenience and advantage will be promoted by the establishment of the proposed bank or trust company.

(b) That the proposed bank or trust company will have a reasonable promise of successful operation.

(d) That the proposed capital structure is adequate.

(e) That the proposed officers and directors have sufficient banking or trust experience, ability, and standing to afford reasonable promise of successful operation.

(f) That the name of the proposed bank or trust company does not resemble, so closely as to be likely to cause confusion, the name of any other bank or trust company transacting business in this state or which had previously transacted business in this state.

(g) That the applicant has complied with all of the applicable provisions of this division.