Cal. Code Regs. Tit. 10, § 10.3301.1 - Reasonable Promise of Successful Operation

In evaluating an application for authority to organize and establish a corporation to engage in the banking or trust business, Financial Code section 1023 requires the commissioner to ascertain whether a proposed applicant will have a reasonable promise of successful operation. As an administrative standard, reasonable promise of successful operation is evaluated by the likelihood of achieving the goals laid out in the applicant's financial projections, such as financial stability, solvency, and reserves.

Notes

Cal. Code Regs. Tit. 10, § 10.3301.1

1. New section filed 9-14-2021; operative 1-1-2022 (Register 2021, No. 38).

Note: Authority cited: Section 326, Financial Code. Reference: Section 1023, Financial Code.

1. New section filed 9-14-2021; operative 1/1/2022 (Register 2021, No. 38).