Bank Reorganization Law and Legal Definition

Bank Reorganization is a change in the corporate structure of a bank. Pursuant to the federal statute, a national bank may, with the approval of the comptroller and upon the affirmative vote of the shareholders of such bank owning at least two-thirds of its capital stock outstanding, reorganize so as to become a subsidiary of a bank holding company or of a company that will, upon consummation of such reorganization, become a bank holding company. [12 USCS § 215a-2].