Section 9-702 - Function of conservator. - Maryland Statutes

§ 9-702. Function of conservator.
 

(a)  In general.- A conservator shall endeavor to correct the irregularities in the operation of a savings and loan association. 

(b)  Powers, rights, and privileges.- In addition to the powers set forth in this subtitle and the powers granted by order of the court, a conservator may exercise any or all of the following powers: 

(1) If authorized by the court, exercise the powers, rights, and privileges of the officers, directors, members, and stockholders of the savings and loan association; 

(2) Recommend for the court's adoption a plan of reorganization, composition, or rearrangement of business, including its liabilities and capital structure; 

(3) Remove any director, officer, or employee of the savings and loan association; 

(4) Borrow from, pledge assets to, and repay a Federal Reserve Bank or other lenders; 

(5) Make wire transfers; 

(6) To the extent authorized by law or court order, pay withdrawals of deposits; 

(7) Pay negotiated order of withdrawal drafts and cashiers checks either directly or repay financial institutions on which the cashiers checks may be drawn; 

(8) Receive new deposits including direct deposit of United States Treasury, Social Security, and other payments; 

(9) Pay a Federal Reserve Bank or other bank cash to fund withdrawals; 

(10) Pay employees and necessary day-to-day operating expenses of the institution; 

(11) If authorized by the court, approve, in place of shareholders or members, a merger, conversion, transfer of assets, reorganization, or acquisition of the savings and loan association; and 

(12) If authorized by the court, request a stay of proceedings in other courts. 
 

[An. Code 1957, art. 23, § 161K; 1980, ch. 856; 1985, 1st Sp. Sess., ch. 2; 1986, ch. 282.]