Page:United States Statutes at Large Volume 101 Part 1.djvu/592

 101 STAT. 562

12 USC 1843. State and local governments.

PUBLIC LAW 100-86—AUG. 10, 1987

which such savings bank may engage (as a State chartered savings bank) pursuant to express, incidental, or implied powers under any statute or regulation, or under any judicial interpretation of any law, of the State in which such savings bank is located. % "(2) INSURANCE ACTIVITIES.—Except as provided in paragraph ^,: (3), any insurance activities of any qualified savings bank which is a subsidiary of a bank holding company shall be limited to insurance activities allowed under section 4(c)(8). "(3) SAVINGS BANK LIFE INSURANCE.—Any qualified savings
 * may engage, directly or through a subsidiary, in any activity in

, Connecticut. Massachusetts. New York.

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bank permitted, as of March 5, 1987, to engage in the sale or underwriting of savings bank life insurance may sell or underwrite such insurance after such savings bank is a subsidiary of a bank holding company if— "(A) the savings bank is located in the State of Connecticut, Massachusetts, or New York; "(B) such activity is expressly authorized by the law of the State in which such savings bank is located; "(C) the savings bank retains its character as a savings "(D) such activity is carried out by the savings bank directly and not by— "(i) any subsidiary or affiliate of the savings bank; or "(ii) the bank holding company which controls such savings bank; "(E) such activity is carried out by the savings bank in accordance with any residency or employment limitations > set forth in the savings bank life insurance statute in effect, on March 5, 1987, in the State in which such bank is
 * . bank;

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"(F) such activity is otherwise carried out in the same manner as savings bank life insurance activity is carried » out in the State in which such bank is located by savings banks which are not subsidiaries of any bank holding company registered under this Act. "(4) SUBSECTION SHALL CEASE TO APPLY UNDER CERTAIN CIR-

CUMSTANCES.—If any company which is not a savings bank or a savings bank holding company acquires control of a qualified savings bank, such savings bank shall cease to engage in any activity authorized under paragraph (1) or (3) before the end of the 2-year period beginning on the date such company acquires control, unless such activity is otherwise authorized pursuant to this Act. "(5) SPECIAL ASSET AGGREGATION RULE FOR PURPOSES OF PARAGRAPH (3).—For the sole purpose of determining whether a

qualified savings bank may continue to sell and underwrite savings bank life insurance in accordance with this subsection after control of such savings bank is acquired by a bank holding company, the assets of any other bank affiliated with, or under contract to affiliate with, such savings bank as of March 5, 1987, shall be treated as assets of the savings bank in determining whether such bank holding company is a savings bank holding company.". (e) THRIFT INSTITUTIONS' BANK.—Section 2(a)(5)(E) of the Bank Holding Company Act of 1956 (12 U.S.C. 1841(a)(5)(E)) is amended to read as follows:

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