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(a) Prior Notice Required.--An insured depository institution or depository institution holding company shall notify the appropriate Federal banking agency of the proposed addition of any individual to the board of directors or the employment of any individual as a senior executive officer of such institution or holding company at least 30 days (or such other period, as determined by the appropriate Federal banking agency) before such addition or employment becomes effective, if--
(1) the insured depository institution or depository institution holding company is not in compliance with the minimum capital requirement applicable to such institution or is otherwise in a troubled condition, as determined by such agency on the basis of such institution's or holding company's most recent report of condition or report of examination or inspection; or
(2) the agency determines, in connection with the review by the agency of the plan required under section 38 or otherwise, that such prior notice is appropriate.
[Codified to 12 U.S.C. 1831i(a)]
[Source: Section 2[32(a)] of the Act of September 21, 1950 (Pub. L. No. 797), effective September 21, 1950, as added by section 914(a) of title IX of the Act of August 9, 1989 (Pub. L. No. 101--73; 103 Stat. 484), effective August 9, 1989; as amended by section 2209(1) of title II of the Act of September 30, 1996 (Pub. L. No. 104--208; 110 Stat. 3009--409), effective September 30, 1996]
(b) Disapproval By Agency.--An insured depository institution or depository institution holding company may not add any individual to the board of directors or employ any individual as a senior executive officer if the appropriate Federal banking agency issues a notice of disapproval of such addition or employment before the end of the notice period, not to exceed 90 days, beginning on the date the agency receives notice of the proposed action pursuant to subsection (a).
[Codified to 12 U.S.C. 1831i(b)]
[Source: Section 2[32(b)] of the Act of September 21, 1950 (Pub. L. No. 797), effective September 21, 1950, as added by section 914(a) of title IX of the Act of August 9, 1989 (Pub. L. No. 101--73; 103 Stat. 484), effective August 9, 1989; as amended by section 2209(2) of title II of the Act of September 30, 1996 (Pub. L. No. 104--208; 110 Stat. 3009--409), effective September 30, 1996]
(c) Exception in Extraordinary Circumstances.--
(1) IN GENERAL.--Each appropriate Federal banking agency may prescribe by regulation conditions under which the prior notice requirement of subsection (a) may be waived in the event of extraordinary circumstances.
(2) NO EFFECT ON DISAPPROVAL AUTHORITY OF AGENCY.--Such waivers shall not affect the authority of each agency to issue notices of disapproval of such additions or employment of such individuals within 30 days after each such waiver.
[Codified to 12 U.S.C. 1831i(c)]
[Source: Section 2[32(c)] of the Act of September 21, 1950 (Pub. L. No. 797), effective September 21, 1950, as added by section 914(a) of title IX of the Act of August 9, 1989 (Pub. L. No. 101--73; 103 Stat. 485), effective August 9, 1989]
(d) Additional Information.--Any notice submitted to an appropriate Federal banking agency with respect to an individual by any insured depository institution or depository institution holding company pursuant to subsection (a) shall include--
(1) the information described in section 7(j)(6)(A) about the individual; and
(2) such other information as the agency may prescribe by regulation.
[Codified to 12 U.S.C. 1831i(d)]
[Source: Section 2[32(d)] of the Act of September 21, 1950 (Pub. L. No. 797), effective September 21, 1950, as added by section 914(a) of title IX of the Act of August 9, 1989 (Pub. L. No. 101--73; 103 Stat. 485), effective August 9, 1989]
(e) Standard for Disapproval.--The appropriate Federal banking agency shall issue a notice of disapproval with respect to a notice submitted pursuant to subsection (a) if the competence, experience, character, or integrity of the individual with respect to whom such notice is submitted indicates that it would not be in the best interests of the depositors of the depository institution or in the best interests of the public to permit the individual to be employed by, or associated with, the depository institution or depository institution holding company.
[Codified to 12 U.S.C. 1831i(e)]
[Source: Section 2[32(e)] of the Act of September 21, 1950 (Pub. L. No. 797), effective September 21, 1950, as added by section 914(a) of title IX of the Act of August 9, 1989 (Pub. L. No. 101--73; 103 Stat. 485), effective August 9, 1989]
(f) Definition Regulations.--Each appropriate Federal banking agency shall prescribe by regulation a definition for the terms "troubled condition" and "senior executive officer" for purposes of subsection (a).
[Codified to 12 U.S.C. 1831i(f)]
[Source: Section 2[32(f)] of the Act of September 21, 1950 (Pub. L. No. 797), effective September 21, 1950, as added by section 914(a) of title IX of the Act of August 9, 1989 (Pub. L. No. 101--73; 103 Stat. 484), effective August 9, 1989]