12 U.S.C. § 1753 — Federal credit union organization

Page 858 TITLE 12—BANKS AND BANKING § 1753 conduct a study and evaluation of the oversight and su- pervisory practices of the National Credit Union Ad- ministration concerning the National Credit Union Share Insurance Fund, including analysis of expenses, Fund administration, the 10 largest U.S. corporate credit unions, and Administration supervision and reg- ulations, and required the Secretary, not later than 12 months after Sept. 30, 1996, to submit to Congress a re- port that includes the results of the study and rec- ommendations. STUDY OF CREDIT UNION SYSTEM BY GAO Pub. L. 101–73, title XII, § 1201, Aug. 9, 1989, 103 Stat. 519, directed Comptroller General of the United States to conduct a comprehensive study of Nation’s credit union system and before the close of the 18-month pe- riod beginning on Aug. 9, 1989, to submit to Committee on Banking, Finance and Urban Affairs of House of Representatives and Committee on Banking, Housing, and Urban Affairs of Senate a final report containing a detailed statement of findings and conclusions, includ- ing recommendations for such administrative and leg- islative action as Comptroller General deemed advis- able. FEDERALLY CHARTERED CENTRAL CREDIT UNIONS; REPORT TO CONGRESS Pub. L. 86–354, § 3, Sept. 22, 1959, 73 Stat. 639, directed Director of Bureau of Federal Credit Unions to make a study of desirability of providing for federally char- tered central credit unions and to submit to Secretary of Health, Education, and Welfare, for transmission to Congress on or before Apr. 15, 1960, a report of results thereof and such recommendations for legislation thereon as Director deemed appropriate. § 1753. Federal credit union organization Any seven or more natural persons who desire to form a Federal credit union shall each sub- scribe either individually or collectively before some officer competent to administer oaths an organization certificate in duplicate which shall specifically state: (1) the name of the association; (2) the location of the proposed Federal cred- it union and the territory in which it will op- erate; (3) the names and addresses of the sub- scribers to the certificate and the number of shares subscribed by each; (4) the initial par value of the shares; (5) the proposed field of membership, speci- fied in detail; (6) the term of the existence of the corpora- tion, which may be perpetual; and (7) the fact that the certificate is made to enable such persons to avail themselves of the advantages of this chapter. Such organization certificate may also contain any provisions approved by the Board for the management of the business of the association and for the conduct of its affairs and relative to the powers of its directors, officers, or stock- holders. (June 26, 1934, ch. 750, title I, § 103, formerly § 3, 48 Stat. 1217; 1947 Reorg. Plan No. 1, § 401, eff. July 1, 1947, 12 F.R. 4534, 61 Stat. 952; June 29, 1948, ch. 711, §§ 1, 2, 62 Stat. 1091; renumbered § 4 and amended Pub. L. 86–354, § 1, Sept. 22, 1959, 73 Stat. 628; Pub. L. 91–206, § 2(1), Mar. 10, 1970, 84 Stat. 49; renumbered title I, § 103, Pub. L. 91–468, § 1(2), Oct. 19, 1970, 84 Stat. 994; amended Pub. L. 95–630, title V, § 502(b), Nov. 10, 1978, 92 Stat. 3681; Pub. L. 97–320, title V, §§ 503, 504, Oct. 15, 1982, 96 Stat. 1528.) Editorial Notes AMENDMENTS 1982—Pub. L. 97–320, § 503, substituted ‘‘each subscribe either individually or collectively’’ for ‘‘subscribe’’. Par. (4). Pub. L. 97–320, § 504, substituted ‘‘the initial par value of the shares’’ for ‘‘the par value of the shares, which shall be $5 each’’. 1978—Pub. L. 95–630 substituted ‘‘Board’’ for ‘‘Admin- istrator’’. 1970—Pub. L. 91–206 substituted ‘‘Administrator’’ for ‘‘Director’’. 1959—Pub. L. 86–354 changed ‘‘The’’ to ‘‘the’’ in sub- secs. (1) to (7) and the period to a semicolon in subsecs. (1) to (6) and inserted ‘‘and’’ at end of subsec. (6). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95–630 effective on expiration of 120 days after Nov. 10, 1978, and transitional provi- sions, see section 509 of Pub. L. 95–630, set out as a note under section 1752 of this title. Executive Documents TRANSFER OF FUNCTIONS Transfer of functions of Farm Credit Administration and Governor thereof, generally, see notes set out under section 1751 of this title. Functions of Governor of Farm Credit Administra- tion under this section transferred to Federal Deposit Insurance Corporation by Reorg. Plan No. 1 of 1947. § 1754. Approval of organization certificate The organization certificate shall be presented to the Board for approval. Before any organiza- tion certificate is approved, an appropriate in- vestigation shall be made for the purpose of de- termining (1) whether the organization certifi- cate conforms to the provisions of this chapter; (2) the general character and fitness of the sub- scribers thereto; and (3) the economic advis- ability of establishing the proposed Federal credit union. Upon approval of such organiza- tion certificate by the Board it shall be the charter of the corporation, and one of the origi- nals thereof shall be delivered to the corpora- tion after the payment of the fee required there- for. Upon such approval the Federal credit union shall be a body corporate and as such, subject to the limitations herein contained, shall be vested with all of the powers and charged with all of the liabilities conferred and imposed by this chapter upon corporations organized hereunder. (June 26, 1934, ch. 750, title I, § 104, formerly § 4, 48 Stat. 1217; 1947 Reorg. Plan No. 1, § 401, eff. July 1, 1947, 12 F.R. 4534, 61 Stat. 952; June 29, 1948, ch. 711, §§ 1, 2, 62 Stat. 1091; renumbered § 5 and amended Pub. L. 86–354, § 1, Sept. 22, 1959, 73 Stat. 629; Pub. L. 91–206, § 2(1), Mar. 10, 1970, 84 Stat. 49; renumbered title I, § 104, Pub. L. 91–468, § 1(2), Oct. 19, 1970, 84 Stat. 994; amended Pub. L. 95–630, title V, § 502(b), Nov. 10, 1978, 92 Stat. 3681.) Editorial Notes AMENDMENTS 1978—Pub. L. 95–630 substituted ‘‘Board’’ for ‘‘Admin- istrator’’ in two places.