State of Kansas
State Bank Commissioner
Special Order 1996-3
This order, is hereby issued this 28th day of October, 1996 by the Kansas State Bank Commissioner (commissioner) pursuant to K.S.A. 9-1715, as amended.
Whereas, pursuant to 12 U.S.C. § 215a, a national banking association with its main office in Kansas is authorized to participate in a purchase and assumption transaction with a bank whose main office is located in another state so long as the out of state bank is operating authorized branches in Kansas; and,
Whereas, no provision of Kansas law presently allows a Kansas state bank to participate in a purchase and assumption transaction with a bank whose main office is located in another state despite the out of state bank's operation of authorized branches in Kansas; and,
Whereas, Interstate Bank, Wakeeney, Kansas (Interstate) is seeking authority to participate in a purchase and assumption transaction with Pony Express Community Bank, St. Joseph, Missouri (Pony Express); and,
Whereas, Pony Express, formerly First State Bank of Elwood, Elwood, Kansas, currently has its main office in Missouri and is operating authorized branches in Kansas pursuant to the relocation authority provided by Commissioner's Special Order 1995-5; and,
Whereas, K.S.A. 9-1715, as amended, grants to the commissioner "... the power to authorize any or all state banks to engage in any activity in which such banks could engage were they operating as national banks at the time such authority is granted..."; and,
Whereas, the Commissioner deems the issuance of this special order to be reasonably required to preserve the welfare of state banks and to promote competitive equality of state banks and national banking associations;
It is therefore ordered, that Interstate is hereby empowered to participate in a purchase and assumption transaction with Pony Express.
It is further ordered, that Interstate shall not consummate the proposed purchase and assumption transaction until it has requested and received the approval of the commissioner in accordance with the terms and procedures established by K.S.A. 9-1724, and all applicable rules, regulations, and procedures established by the commissioner.
It is further ordered, that Interstate shall not consummate the proposed purchase and assumption transaction until it has furnished the commissioner with satisfactory proof that the proposed transaction has received the necessary and approval by all appropriate federal authorities and the State of Missouri.
It is further ordered, that pursuant to K.S.A. 9-1715(b), as amended, the terms of this special order shall become effective October 28, 1996 and shall remain in full force and effect until amended or revoked by the State Bank Commissioner.
It is so ordered.
State Bank Commissioner
W. Newton Male
