KRS 286.3-905: Filing of application to acquire bank with commissioner -- Examination

of applicant -- Cooperative agreements by commissioner to examine out -of-

state bank or exchange confidential information.

(1) Any bank holding company which proposes to acquire c ontrol of a bank chartered

in this state or a bank holding company which includes a bank chartered in this

state, shall concurrently file with the commissioner copies of the application filed

with the federal reserve board under applicable federal law. The commissioner shall

approve such acquisition within ninety (90) days of acceptance of a complete

application if the commissioner finds that:

(a) The terms of the acquisition are in accordance with the laws of this state;

(b) The financial condition, or the competence, experience, and integrity of the

acquiring company or its principals are such as will not jeopardize the

financial stability of the acquired bank or bank holding company;

(c) The public convenience and advantage will be served by the acquisition; and

(d) No federal regulatory authority whose approval is required has disapproved

the transaction because it would result in a monopoly or substantially lessen

competition.

(2) A nonrefundable fee shall accompany each application and shall be set by t he

commissioner in accordance with KRS 286.3-480.

(3) The commissioner may examine or elect to participate in a joint examination, with

the applicable federal or state regulatory agency, of any holding company or

nonbank subsidiary of the holding company that controls or is affiliated with a state-

chartered bank. The provisions of KRS 286.3 -690 apply to the holding company or

nonbank subsidiary of the holding company that controls or is affiliated with a state-

chartered bank.

(4) The commissioner may enter into cooperative agreements with federal or state

regulatory authorities to examine an out -of-state bank that is controlled by a

Kentucky bank holding company or is controlled by a bank holding company which

includes a state -chartered bank, or accept repor ts of examinations of such out -of-

state banks from federal or state regulatory authorities in lieu of conducting

examinations.

(5) The commissioner may enter into cooperative agreements with federal or state

regulatory authorities to exchange confidential information and reports of

examination relating to interstate acquisitions of banks and bank holding

companies.

(6) The cost of an examination shall be assessed against and paid by the company

examined. The assessment for the examination shall be calculate d in the same

manner as that used for bank examinations.