Operating subsidiary

Operating subsidiary means any entity that satisfies all of the requirements for an operating subsidiary set forth in 159.3 of this part and that is designated by the parent Federal savings association as an operating subsidiary pursuant to 159.3 of this part. More than 50% of the voting shares of an operating subsidiary must be owned, directly or indirectly, by a Federal savings association and no other person or entity may exercise effective operating control. An operating subsidiary may only engage in activities permissible for a Federal savings association.

Source

12 CFR § 159.2


Scoping language

For purposes of this part:

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