New Mexico Administrative Code
Title 12 - TRADE, COMMERCE AND BANKING
Chapter 17 - CREDIT UNIONS
Part 3 - MERGERS OF CREDIT UNIONS: RESULTING STATE CREDIT UNION
Section 12.17.3.8 - MERGERS OF CREDIT UNIONS: RESULTING STATE CREDIT UNION
Current through Register Vol. 35, No. 18, September 24, 2024
A. The board of directors of each merging credit union shall, by a majority of the entire board, approve a merger plan which shall include:
B. After approval by the board of directors of each merging state credit union, the merger plan shall be submitted to the director of financial institutions division for approval. In addition, each merging credit union shall submit the time and place of meeting of the board of directors at which the plan was agreed upon; the vote of the majority of the board of directors in favor of the plan; a copy of the resolution or other action by which the plan was agreed upon; and, if applicable, documents required by Section 58-11-10 NMSA 1978 to form a new credit union.
C. After receipt of the documents specified in paragraphs 8.1 and 8.2 [now Subsections A and B of 12.17.3.8 NMAC], and if they contain the requisite information, the director of the financial institutions division shall preliminarily approve the merger plan.
D. After preliminary approval has been granted, each merging credit union shall conduct the membership vote on its participation in the plan required by Section 58-11-59(D) NMSA 1978, unless the director has waived such vote under Section 58-11-59(E) NMSA 1978.
E. The director shall grant final approval once he determines, based on the record submitted by each merging credit union pursuant to of Section 58-11-59(D) NMSA 1978, that the requirements for the membership vote have been met, and if he approves the formation of any new credit union resulting from the merger under Section 58-11-10 NMSA 1978.
F. If the director of the financial institutions division disapproves any plan, the objections shall be stated in writing and the merging credit unions shall be given an opportunity to amend the merger plan to address such objections.
G. Upon the completion of the merger, the board of directors of the surviving credit union shall submit:
H. If the director of the financial institutions division is satisfied that the merger has been accomplished in accordance with the merger plan, cancellation of the charters of the credit unions which have lost their identities in the merger shall be effected.