PRINTER'S NO. 3138
No. 2410 Session of 1980
INTRODUCED BY L. E. SMITH, BENNETT, DeVERTER AND SPENCER,
MARCH 25, 1980
REFERRED TO COMMITTEE ON BUSINESS AND COMMERCE, MARCH 25, 1980
AN ACT
1 Amending the act of November 30, 1965 (P.L.847, No.356),
2 entitled "An act relating to and regulating the business of
3 banking and the exercise by corporations of fiduciary powers;
4 affecting persons engaged in the business of banking and
5 corporations exercising fiduciary powers and affiliates of
6 such persons; affecting the shareholders of such persons and
7 the directors, trustees, officers, attorneys and employes of
8 such persons and of the affiliates of such persons; affecting
9 national banks located in the Commonwealth; affecting persons
10 dealing with persons engaged in the business of banking,
11 corporations exercising fiduciary powers and national banks;
12 conferring powers and imposing duties on the Banking Board,
13 on certain departments and officers of the Commonwealth and
14 on courts, prothonotaries, clerks and recorders of deeds;
15 providing penalties; and repealing certain acts and parts of
16 acts," further providing for elimination of the Banking
17 Board.
18 The General Assembly of the Commonwealth of Pennsylvania
19 hereby enacts as follows:
20 Section 1. Subsection (a) of section 905, act of November
21 30, 1965 (P.L.847, No.356), known as the "Banking Code of 1965,"
22 is amended to read:
23 Section 905. Approval of Branch by Department
24 (a) Investigation and discretionary hearings--Upon receipt of
25 an application for approval of a branch which satisfies the
1 requirements of this act, the department shall conduct such
2 investigation as it may deem necessary and, in its discretion,
3 may hold hearings before the department [or before the Banking
4 Board].
5 * * *
6 Section 2. The heading of Chapter 20 of the act is amended
7 to read:
8 CHAPTER 20
9 PROVISIONS APPLICABLE TO DEPARTMENT OF BANKING
10 [AND BANKING BOARD]
11 Section 3. Section 2005 of the act is amended to read:
12 Section 2005. [Banking Board] Additional Powers of the
13 Department of Banking
14 [(a) Functions--The functions of the Banking Board shall be:]
15 [(i) to] To exercise the power to remove from his office
16 or position an officer, employe, director, trustee or
17 attorney of an institution pursuant to the provisions of
18 section 501 of the Department of Banking Code[, and].
19 [(ii) to be available upon call of the department for
20 advice concerning any action of the department on any other
21 matter arising under this act, but the department shall have
22 the responsibility for decision as to any such action.
23 (b) Term of office--The term of office of each member of the
24 Banking Board appointed after the effective date of this act
25 shall be five years. The current term of each member serving on
26 the effective date of this act shall continue for the remainder
27 of the period for which he was appointed.
28 (c) Qualifications--A member of the Banking Board appointed
29 by the Governor from nominations submitted by the Pennsylvania
30 Bankers Association shall have at least five years' experience
19800H2410B3138 - 2 -
1 in any business of the kinds in which institutions are engaged.
2 At all times at least two members who are serving under
3 appointments made by the Governor other than from nominations
4 shall be individuals who are not engaged in any business of the
5 kinds in which institutions are engaged.]
6 Section 4. This act shall take effect immediately.
C4L7RZ/19800H2410B3138 - 3 -