Page:United States Statutes at Large Volume 84 Part 1.djvu/1053

 84

STAT.

]

t'UBLIC LAW 91-468-OCT. 19, 1970

"(4) to provide protection and indemnity against burglary, defalcation, and other similar insurable losses, of the type, m the form, and in an amount at least equal to that required by the laws under which the credit union is organized and operates; "(5) to maintain such regular reserves as may be required by the laws of the State, district, territory, or other jurisdiction pursuant to which it is organized and operated, in the case of a Statechartered credit union, or as may be required by section 116 of this Act, in the case of a Federal credit union; "(6) to maintain such special reserves as the Administrator, by regulation or in special cases, may require for protecting the interest of members or to assure that all insured credit unions maintain regular reserves which are not less than those required under title I

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"(7) not to issue or have outstanding any account or security the form of which, b ^ regulation or in special cases, has not been approved by the Administrator; " (8) to pay the premium charges for insurance imposed by this title; and " (9) to comply with the requirements of this title and of regulations prescribed by the Administrator pursuant thereto. "(c)(1) Before approving the application of any credit union for insurance of its member accounts, the Administrator shall consider— " (A) the history, financial condition, and management policies of the applicant; " (B) the economic advisability of insuring the applicant without undue risk of the fund; " (C) the general character and fitness of the applicant's management; " (D) the convenience and needs of the members to be served by the applicant; and " (E) whether the applicant is a cooperative association organized for the purpose of promoting thrift among its members and creating a source of credit for provident or productive purposes. "(2) The Administrator shall reject the application of any credit union for insurance of its member accounts if he finds that its reserves are inadequate, that its financial condition and policies are unsafe or unsound, that its management is unfit, that insurance of its member accounts would otherwise involve undue risk to the fund, or that its powers and purposes are inconsistent with the promotion of thrift among its members and the creation of a source of credit for provident or productive purposes. " (d) If the application of a Federal credit union for insurance is rejected, the Administrator shall suspend or revoke its charter unless, within one year after the rejection, the credit union meets the requirements for insurance and becomes an insured credit union. " (e) Upon the approval of any application for insurance, the Admin- cer'tfrica'tes. istrator shall notify the applicant and shall issue to it a certificate evidencing the fact that it is, as of the date of issuance of the certificate, an insured credit union under the provisions of this title. "REPORTS OF CONDITION; CERTIFIED STATEMENTS; PREMIUMS FOR INSURANCE

"SEC. 202. (a)(1) Each insured credit union shall make reports of condition to the Administrator upon dates which shall be selected by him. Such reports of condition shall be in such form and shall contain such information as the Administrator may require. The reporting dates selected for reports of condition shall be the same for all insured

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