LAC 10:VII.317. Grounds for Denial of Application for Conversion

A. The commissioner may disapprove an application for conversion if: 1. the plan of conversion adopted by the applicant's board of directors is not in compliance with this rule or policies of OFI, or would violate another law or regulation; 2. the conversion would cause the applicant to fail to meet the regulatory capital requirements of R.S. 6:1206; 3. the conversion may result in a taxable reorganization of the applicant under the Internal Revenue Code of 1986, as amended; 4. the converted savings bank would not have its accounts insured by the Federal Deposit Insurance Corporation (FDIC); 5. the commissioner determines that the application for conversion is manipulative, deceptive, or subverts the fairness of the conversion; or 6. the commissioner determines that the conversion is likely to result in injury to the savings bank; 7. the conversion will not meet the convenience and needs of the communities to be served by the converted savings bank.