TITLE 5

Banking

Banks and Trust Companies

CHAPTER 14. FOREIGN BANKS

Subchapter III. Merger of Delaware Banks and Foreign Banks; Resulting Branch Offices of Foreign Banks


This subchapter deals with the conditions under which Delaware banks may merge with or into foreign banks, and under which foreign banks may operate resulting branch offices in this State.

71 Del. Laws, c. 254, § 26.;

(a) "Branch office," "Delaware bank," "Delaware state bank," "existing Delaware bank," "merger," "merging bank," "out-of-state bank" and "resulting" shall have the meanings ascribed to them in § 795 of this title.

(b) "Home state" in reference to a foreign bank has the meaning set forth in § 5(c) of the International Banking Act of 1978, as amended, at 12 U.S.C. § 3103(c).

(c) "Out-of-state foreign bank" means a foreign bank whose home state is a state other than this State.

71 Del. Laws, c. 254, § 26.;

An existing Delaware bank may merge with or into an out-of-state foreign bank, and an out-of-state foreign bank may merge with or into a Delaware bank, in substantially the same manner and under substantially the same terms and conditions as an existing Delaware bank may merge with or into an out-of-state bank, or an out-of-state bank may merge with or into a Delaware bank, pursuant to subchapter VII of Chapter 7 of this title.

71 Del. Laws, c. 254, § 26.;

(a) The place of business or main office and all branch offices of a merging existing Delaware bank may continue as resulting branch offices of the out-of-state foreign bank.

(b) An out-of-state foreign bank with resulting branch offices in this State may open additional branch offices in this State in such manner as the Commissioner shall prescribe by regulation.

(c) Nothing in this subchapter shall be deemed to permit interstate branching either through the original establishment of a branch office in this State by an out-of-state foreign bank or through acquisition of a branch office in this State by an out-of-state foreign bank, without merger with a Delaware bank as provided in this subchapter.

71 Del. Laws, c. 254, § 26.;

An out-of-state foreign bank which establishes one or more branch offices in this State in accordance with this subchapter may conduct any activities at such branch office or offices that are authorized under the laws of this State for Delaware state banks or pursuant to the laws of the home state of such out-of-state foreign bank to the extent that such activities are permissible in this State for a branch office of an out-of-state national bank.

71 Del. Laws, c. 254, § 26.;

A resulting branch office in this State of an out-of-state foreign bank may exercise agency activities as provided in subchapter VIII of Chapter 7 of this title.

71 Del. Laws, c. 254, § 26.;

Every foreign bank operating a resulting branch office in this State pursuant to this subchapter shall be deemed and held to be subject to this title and any other law or laws of this State making provision for the regulation of banks and trust companies where the same are not inconsistent with the express provisions of this subchapter including, without limitation, § 131 and § 132 of this title, subchapter VII of Chapter 7 of this title for the regulation of out-of-state banks operating resulting branch offices in this State, and subchapter I of this chapter for the regulation of foreign banks operating foreign bank branches, foreign bank limited purpose branches and foreign bank agencies in this State.

71 Del. Laws, c. 254, § 26; 72 Del. Laws, c. 35, § 19.;