§412:2-500 - Definitions. - Hawaii Statutes

PART V.  SUPERVISED ACQUISITION OF FINANCIAL INSTITUTIONS

 

     §412:2-500  Definitions.  As used in this part:

     "Failing financial institution" means a Hawaii financial institution or a federal financial institution whose operations are principally conducted in this State, and which:

     (1)  Is insolvent or has failed to make good an impairment of its capital and surplus as provided in section 412:2-314;

     (2)  Has incurred or is likely to incur losses that will deplete all or substantially all of its capital and surplus, and there is no reasonable prospect for such capital and surplus to be replenished without federal assistance; or

     (3)  Has violated or is violating laws, rules or regulations, or has committed or is committing an unsafe or unsound practice, and such violation or practice is likely to cause insolvency or a substantial dissipation of assets or is likely to severely weaken the institution's condition or otherwise seriously prejudice the interests of its depositors. [L 1993, c 350, pt of §1; am L 1999, c 245, §7]