H.B. 1621

VETOES

(1992 Replacement Volume and 1992 Supplement)

BY repealing and reenacting, with amendments,

Article - Financial Institutions

Section 3-209(a)

Annotated Code of Maryland

(1992 Replacement Volume and 1992 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Financial Institutions

3-103.

(A)     THIS SECTION APPLIES TO A COMMERCIAL BANK THAT:

(1)      IS NOT IN THE BUSINESS OF ACCEPTING DEPOSITS OR RETAINING
FUNDS IN A DEPOSIT ACCOUNT AS DEFINED IN § 5-509 OF THIS ARTICLE; AND

(2)      IS NOT CONTROLLED BY OR UNDER COMMON CONTROL WITH A
BANKING INSTITUTION OR A NATIONAL BANKING ASSOCIATION WITH ITS PRINCIPAL
OFFICE LOCATED IN THIS STATE.

(B)     A COMMERCIAL BANK SUBJECT TO THIS SECTION SHALL OPERATE IN
COMPLIANCE WITH ALL REQUIREMENTS AND STANDARDS FOR THE EXERCISE OF
FIDUCIARY POWERS APPLICABLE TO A THAT ARE APPLICABLE UNDER 12 C.F.R. § 9
TO A TRUST DEPARTMENT OF A STATE-CHARTERED TRUST COMPANY THAT IS IN
THE BUSINESS OF ACCEPTING DEPOSITS OR RETAINING FUNDS IN A DEPOSIT
ACCOUNT AS DEFINED IN § 5-509 OF THIS ARTICLE.

3-209.

(a) (1) Before the Bank Commissioner issues a certificate to do business, the
required capital stock and the required surplus shall be paid in full.

(2)     A commercial bank shall have required capital stock that equals at least;

(i) $750,000, if it is in a municipal area with not more than 50,000
inhabitants;

(ii) $1.5 million, if it is in a municipal area with more than 50,000
inhabitants; and

(iii) Notwithstanding the municipal area in which the commercial bank
is located, [the lowest minimum amount of capital required under this subsection,] if the
bank is not in the business of accepting deposits or retaining funds in a deposit account as
defined in § 5-509 of this article[.]:

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