12 U.S. Code § 1790a - Board disapproval of directors, committee members, and senior executive officers of insured credit unions
(a) Prior notice required
An insured credit union shall notify the Board of the proposed addition of any individual to the board of directors or committee or the employment of any individual as a senior executive officer of such credit union at least 30 days before such addition or employment becomes effective, if the insured credit union—
(b) Disapproval by Board
An insured credit union may not add any individual to the board of directors or employ any individual as a senior executive officer if the Board issues a notice of disapproval of such addition or employment before the end of the 30-day period beginning on the date the agency receives notice of the proposed action pursuant to subsection (a) of this section.
(c) Exception in extraordinary circumstances
(1) In general
The Board may prescribe by regulation conditions under which the prior notice requirement of subsection (a) of this section may be waived in the event of extraordinary circumstances.
(d) Additional information
Any notice submitted to the Board by any insured credit union pursuant to subsection (a) of this section shall include—
(e) Standard for disapproval
The Board shall issue a notice of disapproval with respect to a notice submitted pursuant to subsection (a) of this section if the competence, experience, character, or integrity of the individual with respect to whom such notice is submitted indicates that it would not be in the best interests of the depositors of the insured credit union or in the best interests of the public to permit the individual to be employed by, or associated with, such insured credit union.
Source(June 26, 1934, ch. 750, title II, § 212, as added Pub. L. 101–73, title IX, § 914(b),Aug. 9, 1989, 103 Stat. 485.)
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