SECTION 91.6004. Exercise of Fiduciary Powers

(a) Supervisory Review. Unless otherwise notified by the department, a credit union may exercise fiduciary powers on the 30th day after the credit union receives written confirmation from the Department that the notice required under §91.6003 of this title (relating to Notice Requirements) is complete and accepted for filing. The Department will consider the following factors when reviewing such a notice:

(1) The credit union's financial condition.

(2) The adequacy of the credit union's net worth position.

(3) The credit union's overall performance.

(4) The fiduciary powers the credit union proposes to exercise.

(5) The availability and expertise of legal counsel.

(6) The experience and expertise of proposed trust management personnel.

(7) The needs of the members to be served.

(8) Any other facts or circumstances that the Department considers appropriate.

(b) Written Notice. Prior to expiration of the 30-day period referred to in subsection (a) of this section, the commissioner may give the credit union written notice of denial or consent, which consent may include conditions.

(c) Acceptance of Conditions. Commencement of the exercise of fiduciary powers constitutes a credit union's confirmation of acceptance of all conditions imposed by the commissioner under subsection (b) of this section and shall be considered an enforceable agreement against the credit union for all purposes.

Source Note: The provisions of this §91.6004 adopted to be effective August 10, 2003, 28 TexReg 6270; amended to be effective May 31, 2020, 45 TexReg 3438