Treatment of covered savings associations.

§ 101.4 Treatment of covered savings associations. (a) In general —(1) National bank activities. Except as provided in this section, a covered savings association may engage in any activity that is permissible for a similarly located national bank to engage in as part of, or incidental to, the business of banking, or explicitly authorized by statute for a national bank, subject to the same authorization, terms, and conditions that would apply to a similarly located national bank, as determined by the OCC for purposes of this part. (2) Treatment as a Federal savings association. A covered savings association shall continue to comply with the provisions of law that apply to Federal savings associations for purposes of: (i) Governance (including incorporation, bylaws, boards of directors, shareholders, members, and distribution of dividends); (ii) Consolidation, merger, dissolution, conversion (including conversion to a stock bank or to another charter), conservatorship, and receivership; (iii) Provisions of law applicable only to Federal mutual savings associations; (iv) Offers and sales of securities at an office of a Federal savings association; (v) Savings bank activities authorized by section 5(i)(4) of HOLA; (vi) Issuance of subordinated debt securities and mandatorily redeemable preferred stock; (vii) Increases in permanent capital of a Federal stock savings association; (viii) Rules of practice and procedure in adjudicatory proceedings; (ix) Rules for investigative proceedings and formal examination proceedings; (x) Removals, suspensions, and prohibitions where a crime is charged or proven; (xi) Security procedures; (xii) Maintenance of records and recordkeeping and confirmation requirements for securities transactions; (xiii) Accounting and disclosure standards; (xiv) Nondiscrimination; and (xv) Advertising. (b) Existing branches. A covered savings association may continue to operate any branch or agency that the covered savings association operated on the effective date of the election. (c) Assets greater than $20 billion. A covered savings association may continue to operate as a covered savings association if, after the effective date of the election, it has total consolidated assets greater than $20 billion.