§ 9-1106. Review and approval of application by Commissioner

   (a) Review. -- In reviewing an application for conversion, the Commissioner shall determine:

   (1) Whether, after conversion, the credit union will be in sound financial condition and will be soundly managed; and

   (2) That no person will receive any inequitable gain or advantage by reason of the conversion.

(b) Approval. -- An application for conversion may only be approved if it is found that:

   (1) The converting mutual association has met the requirements of Title 6 of this article;

   (2) The converting mutual association will qualify for share insurance by the Credit Union Insurance Corporation or the National Credit Union Administration Share Program;

   (3) The converting mutual association has credited to the reserve fund 6 percent of its risk assets; and

   (4) The public interest will be promoted by allowing the mutual association to convert to a credit union.

HISTORY: 1988, ch. 635; 1996, ch. 326, § 2; 2003, ch. 21, § 7.