Section 386:42 Operation as Mutual Savings Bank. - New Hampshire Statutes

Upon and after the effective date of a vote to cancel the capital stock if no distribution is to be made to the stockholders or when the net assets of the bank at the time of such vote are less than, or have been reduced by distribution among the stockholders under the provisions of RSA 386:40 to 105 percent of the amount due general depositors, the bank shall no longer be entitled to the benefits of or subject to the provisions of any law general or special applicable to guaranty savings banks alone but shall be and operate as a mutual savings bank only with all powers, benefits, and privileges and subject to all the restrictions, regulations, and provisions of all general laws governing the operation of or applicable to mutual savings banks. Upon and after the effective date of a vote to cancel the capital stock where no distribution is to be made, or upon and after the final distribution of all the funds to which the stockholders are entitled, under the provisions of RSA 386:41 the officers and trustees or directors of the bank then in office shall be and become the members of the corporation. The number of members shall within 30 days thereafter be increased to not less than 20 at a meeting of the members duly called by the secretary or clerk for the purpose and may at any time be increased to not more than 40. Pending such meeting the trustees or directors shall prepare and adopt such new or amended bylaws for regulating the affairs of the bank as they deem necessary by reason of the cancellation or distribution of the capital stock.

Source. 1939, 170:7. RL 309:42. RSA 386:42. 1975, 86:3, eff. June 14, 1975.