New Depository Institution Law and Legal Definition
New Depository Institution is a new national bank or Federal savings association, other than a bridge depository institution, organized by the Federal Insurance Corporation. [12 USCS § 1813]
The articles of association and the organization certificate of the new depository institution are executed by representatives designated by the Federal Insurance Corporation. The new depository institution does not have a board of directors. However, a new depository institution is managed by an executive officer appointed by the Board of Directors of the Federal Insurance Corporation. The executive officer is subject to its directions. The new depository institution is organized in accordance with the then existing provisions of law relating to the organization of national banking associations. The new depository institution with the approval of the Federal Insurance Corporation, accepts new deposits. The deposit is subject to withdrawal on demand. The new depository institution, without application to or approval by the Federal Insurance Corporation, is an insured depository institution and maintains on deposit with the Federal Reserve Bank of its district reserves in the amount required by law for member banks. However, the new depository institution is not required to subscribe for stock of the Federal Reserve Bank.
Legal Definition list
Related Legal Terms
- 1862 Institution
- 1890 Institution
- 1994 Institution
- Abbreviated New Drug Applications [ANDA]
- Academic Institution
- Accredited Educational Institution
- Adult Care Institution
- Adult Correctional Institution [Education]
- American Depository Receipt
- Asian American and Native American Pacific Islander-Serving Institution
