{"data":{"id":"us-ky/krs-286.3-095","jurisdiction":"us-ky","citation":"KRS 286.3-095","heading":"Change in control or certain loans to be reported to commissioner --","body":"Contents of report.\n(1) At least sixty (60) days prior to a change occurring in the outstanding voting stock\nof any state bank, trust company, or bank holding company that  owns or controls a\nstate bank, which will result in control, or in a change in the control, of the bank,\ntrust company, or bank holding company, the proposed acquiring party or parties\nshall report such facts to the commissioner for approval unless the co mmissioner\nfinds that:\n(a) The terms of the acquisition are not in accordance with the laws of this state;\n(b) The financial condition, or the competence, experience, and integrity, of the\nacquiring party or parties are such as will jeopardize the financia l stability of\nthe bank, trust company, or bank holding company; or\n(c) The public convenience and advantage will not be served by the acquisition.\n(2) (a) As used in subsection (1) of this section, the term \"control\" means the power\nto directly or indirec tly direct or cause the direction of the management or\npolicies of the bank, trust company, or bank holding company.\n(b) A change in ownership of voting stock which would result in direct or indirect\nownership by a stockholder or an affiliated group of sto ckholders of less than\ntwenty-five percent (25%) of the outstanding voting stock shall not be\nconsidered a change of control.\n(c) If there is any doubt as to whether a change in the outstanding voting stock is\nsufficient to result in control, or to effect a change in control, such doubt shall\nbe resolved in favor of reporting the facts to the commissioner.\n(3) Whenever a bank makes a loan or loans, secured, or to be secured, by twenty -five\npercent (25%) or more of the outstanding voting stock of a bank, the  president or\nother chief executive officer of the lending bank shall promptly report that fact to\nthe commissioner upon obtaining knowledge of the loan or loans, unless:\n(a) The borrower has been the owner of record of the stock for a period of one (1)\nyear or more; or\n(b) The stock is that of a newly chartered bank prior to its opening.\n(4) The reports required by subsections (1), (2), and (3) of this section shall contain th e\nfollowing information, as applicable, to the extent that it is known by the person\nmaking the report:\n(a) The number of shares involved;\n(b) The names of the sellers or transferors;\n(c) The names of the purchasers or transferees;\n(d) The names of the ben eficial owners if the shares are registered in another\nname;\n(e) The purchase price;\n(f) The total number of shares owned by the sellers or transferors, the purchasers\nor transferees, and the beneficial owners, both immediately before and after\nthe transaction;\n(g) In the case of a loan:\n1. The name of the borrower;\n2. The amount of the loan; and\n3. The name of the bank issuing the stock securing the loan and the\nnumber of shares securing the loan; and\n(h) Any reports shall contain such other information as  may be available to\ninform the commissioner of the effect of the transaction upon control of the\nbank, trust company, or bank holding company whose stock is involved.\n(5) Whenever control or a change of control described in subsection (1) of this section\noccurs, each bank, trust company, or bank holding company shall report promptly\nto the commissioner any changes to or replacement of its chief executive officer or\nof any director occurring in the next twelve (12) month period, including in its\nreport a st atement of the past and current business and professional affiliations of\nthe new chief executive officer or directors.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=55149","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:10Z","sha256":"88c7d28776731d10ba7e40b0a205e0027e21e5eacc3c8198ab909d879ac6750a","source_id":"us-ky","stale":false,"prev":"us-ky/krs-286.3-090","next":"us-ky/krs-286.3-100"},"notice":"GroundRules: Original legal text. Not legal advice."}