Bill > H936

This bill, titled "An act relative to banks and banking," significantly amends existing Massachusetts General Laws concerning the consolidation and merger of various financial institutions, including savings banks, cooperative banks, credit unions, and stock corporations. The core provisions allow for these entities to merge or consolidate into a single, continuing institution, provided that the terms are approved by the commissioner of banks and, in most cases, by a supermajority vote of the involved institutions' corporators, trustees, directors, or shareholders. The bill outlines specific procedures for seeking approval, including submitting an investigation fee and detailed plans. It also establishes criteria for the commissioner's approval, emphasizing that mergers must not unreasonably affect competition and should promote public convenience and advantage, considering factors like "net new benefits" such as job creation and community investment. The legislation clarifies that upon consolidation, the continuing institution inherits all assets, rights, and obligations of the merging entities, ensuring that depositor and creditor relationships remain unimpaired. Additionally, it addresses the process for filing articles of consolidation, the continuation of legal proceedings, and the potential adoption of new names for the merged entities, while also allowing for the continued operation of existing branch offices with the commissioner's approval. The bill also makes provisions for stock corporations, including how dissenting stockholders' shares are valued and addresses the conversion of national banking associations into trust companies.