Section 29. Any federal thrift bank may convert itself into a co-operative bank upon the same terms and conditions that from time to time shall apply under federal law and regulations to the conversion of a co-operative bank to a federal thrift bank; provided, however, that where authority is conferred upon the appropriate federal supervising authority, in the case of a conversion from a co-operative bank to a federal thrift bank, similar authority, in the case of a conversion from a federal thrift bank to a co-operative bank, unless otherwise expressly provided in this section, shall be conferred upon the commissioner. For purposes of this section, a federal thrift bank shall mean a federally chartered savings bank, savings and loan association or successor thrift institution chartered under the laws of the United States.
Any such federal thrift bank shall first give notice in writing to the commissioner of its intention to convert to a co-operative bank and shall submit such preliminary financial statements and other information concerning its assets, liabilities and affairs as the commissioner may request, together with a plan for proposed conversion showing the intended treatment of the various classes of its assets and liabilities before and after conversion. The commissioner, at the expense of the federal thrift bank, shall make such examination of its assets, liabilities and affairs as the commissioner may deem advisable in order to determine the qualifications of such federal thrift bank for doing the business of a co-operative bank.
The commissioner may establish the procedure to be followed by any such federal thrift bank converting into a co-operative bank; provided, however, that no such conversion shall become effective unless approved in writing by the commissioner. The commissioner shall not grant such approval until the commissioner has received notice from the Share Insurance Fund of the Co-operative Central Bank established under chapter 73 of the acts of 1934, hereinafter called the central bank, that arrangements satisfactory to it have been made for such conversion.
If an application for conversion is approved by the commissioner as above provided, such federal thrift bank shall cause to be filed with the state secretary the name, residence and post-office address of each of the officers and directors of such federal thrift bank, a copy of its proposed by-laws amended to conform with the requirements of section 7 and such other information as said secretary may require.
After approval of such conversion by the commissioner, and receipt by the commissioner of satisfactory evidence that all federal laws and regulations relative to such conversion have been or will be duly complied with, the commissioner shall cause to be filed with the state secretary a certificate of the commissioner’s approval. After receipt of such certificate by said state secretary, if the state secretary finds that the requirements of this section have been satisfactorily complied with, the state secretary shall so certify and upon receipt of a fee, the amount of which shall be determined annually by the secretary of administration and finance under section 3B of chapter 7, said state secretary shall issue to said officers and directors in such form as the state secretary may prescribe, a certificate of incorporation as a co-operative bank.
Simultaneously with the receipt of such certificate, such bank, hereinafter referred to as the succeeding corporation, shall become a member of the central bank and of the Share Insurance Fund thereof. Before such succeeding corporation shall commence business as a co-operative bank, it shall pay into the Reserve Fund of the central bank, established under chapter 45 of the acts of 1932, an amount equal to the deposit required of a member bank thereof of similar size, as of the date of said certificate, plus such additional amount based upon the surplus of said reserve fund, as the directors of the central bank, with the approval of the commissioner, shall determine to be equitable.
In addition to the payment to said reserve fund, the succeeding corporation shall pay to said Share Insurance Fund or make provision for payment thereto of such a sum as the directors of the central bank, with the approval of the commissioner, shall determine to be equitable; and provided, that the succeeding corporation shall pay to said Share Insurance Fund such proportion of any current annual assessment as shall have accrued to the date of said certificate.
After compliance with the foregoing requirements, the succeeding corporation shall thereafter be entitled to exercise all of the rights and privileges and shall be subject to all of the duties and obligations of a co-operative bank and shall conduct its business subject to this chapter and of other applicable laws; provided that, with the approval of the commissioner, the succeeding corporation shall have reasonable time after the effective date of the conversion within which to comply with any particular laws not hereinbefore specifically provided for and which it shall be unable to comply with on or before said date.