§ 9-701. Appointment of conservator

   (a) Proceedings by Division Director. -- With the prior written approval of the Secretary, the Division Director may institute proceedings in the circuit court in the county where the principal office of a savings and loan association is located for the appointment of a conservator if:

   (1) The savings and loan association or related entity fails to comply with a final order of the Division Director; or

   (2) The Division Director considers that the appointment of a conservator is in the public interest.

(b) Court appointment. -- Subject to § 9-709 of this subtitle, a court may appoint the Division Director, deputy division director, or an examiner from the Division of Savings and Loan Associations as conservator if the court finds that a savings and loan association or related entity is:

   (1) In an impaired or insolvent condition;

   (2) In substantial violation of any law or regulation;

   (3) Concealing any of its assets or records or refusing to submit its records or affairs for inspection to an examiner or lawful agent or the Division Director;

   (4) Conducting an unsafe or unsound operation;

   (5) In violation of any final order;

   (6) In need of the appointment of a conservator in order to preserve the assets of the savings and loan association for the benefit of the depositors and creditors; or

   (7) Eligible for conservatorship under the provisions of Title 10 of this article.

HISTORY: An. Code 1957, art. 23, § 161K; 1980, ch. 856; 1985, 1st Sp. Sess., ch. 2; 1986, ch. 282.