§ 9-701. Appointment of conservator

MD Fin Inst Code § 9-701 (2019) (N/A)

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(a) 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) 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.

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§ 9-702. Function of conservator