Chapter 622

2006 -- H 7653

Enacted 07/14/06

A N A C T

RELATING TO FINANCIAL INSTITUTIONS -- CREDIT UNIONS

Introduced By: Representatives Lewiss, Kennedy, Church, San Bento, and Lally

Date Introduced: February 16, 2006

It is enacted by the General Assembly as follows:

     SECTION 1. Section 19-5-14 of the General Laws in Chapter 19-5 entitled "Credit

Unions" is hereby amended to read as follows:

19-5-14. Powers and duties of supervisory committee. -- (a) The supervisory

committee shall make or cause to be made an annual audit and shall submit a report of that audit

to the board of directors and a summary of the report to the members at the next annual meeting

of the credit union.

      (b) If in the unanimous opinion of the supervisory committee there is Following a

detailed investigation performed by the supervisory committee that leads the supervisory

committee to reasonably conclude that a violation of this chapter or of the by-laws, or any

practice of the credit union is unsafe or unauthorized, the supervisory committee by unanimous

vote may suspend the credit committee, any director, or any officers elected by the board of

directors. Notice Written notice of this any such suspension shall be given to the director or the

director's designee and the deposit insuring agency by registered mail or hand-delivery within

twenty-four (24) hours of this vote. the vote to suspend. The suspension shall remain in place

until the next meeting of the credit union membership called pursuant to its by-laws.

      (c) If the supervisory committee of a credit union is elected by the membership, the

supervisory committee shall fill vacancies in its own number until the next annual meeting of the

credit union members. If the supervisory committee of a credit union is appointed by the board of

directors, the board of directors shall fill vacancies in accordance with the credit union's by-laws.

     SECTION 2. This act shall take effect upon passage.

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LC01850

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