Ownership of stock necessary to qualify as director of a national bank.

CFR · 2024-01-01 · US · Title 12

(a) (b) (i) The value of the common or preferred stock held by a national bank director is valued as of the date purchased or the date on which the individual became a director, whichever value is greater. (ii) In the case of a company that owns more than one national bank, a director may use his or her equity interest in the controlling company to satisfy, in whole or in part, the equity interest requirement for any or all of the controlled national banks. (iii) Upon request, the OCC may consider whether other interests in a company controlling a national bank constitute an interest equivalent to $1,000 par value of national bank stock. (2) (3) (4) (ii) (iii) (iv) (c) (1) Shares pledged by the holder to secure a loan. However, all or part of the funds used to purchase the required qualifying equity interest may be borrowed from any party, including the bank or its affiliates; (2) Shares purchased subject to an absolute option vested in the seller to repurchase the shares within a specified period; and (3) Shares deposited in a voting trust where the depositor surrenders: (i) Legal ownership (depositor ceases to be registered owner of the stock); (ii) Power to vote the stock or to direct how it must be voted; or (iii) Power to transfer legal title to the stock.

official document · source cfr-2024 · id 12:§ 7.2005