§ 7-205. Certificate of authority -- Qualifications; limitations

   (a) Qualifications. -- To qualify for a certificate of authority under this subtitle, an applicant shall satisfy the Commissioner that the applicant:

   (1) Is trustworthy and reputable;

   (2) Has a good business reputation;

   (3) If domiciled outside the State, is currently licensed and authorized to engage in the credit union share guaranty business in its state of domicile;

   (4) Has and will maintain retained earnings or equity capital of at least $ 5,000,000, computed in accordance with generally accepted accounting principles;

   (5) Is in compliance with:

      (i) Its charter and this subtitle; and

      (ii) If domiciled outside the State, all laws and regulations applicable to credit union share guaranty corporations in its state of domicile;

   (6) Will conduct the credit union share guaranty business in the State in a manner that will adequately protect the share and deposit accounts of its participating credit unions; and

   (7) Will maintain reserves for guaranty losses in compliance with § 7-217 of this subtitle.

(b) Limitations. -- A person may not be authorized to engage in the credit union share guaranty business in the State if the person has or uses a name that is so similar to the name of a credit union share guaranty corporation already issued a certificate of authority under this subtitle as to tend to cause uncertainty or confusion or to deceive or mislead.

HISTORY: 2002, ch. 540.