ACTS, 1965. — CHAP.
430.
229
volved. If it is so determined that no exterior architectural feature is
involved, the secretary of the commission shall endorse on the application forthwith a certificate of such determination and return the application, plans, specifications and other material to the applicant.
SECTION 4. The second paragraph of section 7 of said chapter 616
is hereby amended by striking out, in line 1, the word "five" and inserting in place thereof the word: —eight—, and by inserting after the
word "commission", in line"3, the words: — or such commissioner or
commissioners as the commission may from time to time designate
so to do.
.
SECTION 5. The third paragraph of said section 7, as amended by
section 2 of chapter 314 of the acts of 1958, is hereby further amended
by striking out, in line 2, the word "twenty" and inserting in place
thereof the word: — thirty.
SECTION 6. The fourth paragraph of said section 7, as so amended,
is hereby further amended by striking out the last sentence and inserting in place thereof the following sentence: — Thereupon the secretary of the commission shall forthwith by mail, postage prepaid, give
notice of such determination to the applicant and to every person filing
written request for such notice, transmitting therewith an attested copy
of the reasons and recommendations, if any, spread upon the records of
the commission.
• SECTION 7. Section 10 of said chapter 616 is hereby amended by
striking out the first sentence and inserting in place thereof the following
sentence: — Any person aggrieved by a determination of the commission may, within thirty days after the making of such determination,
appeal to the superior court sitting in equity for the county of Suffolk;
provided that within eight days, exclusive of Saturdays, Sundays and
legal holidays, after the secretary of the commission mails the notices
provided for by the fourth paragraph of section seven, such person files
with such secretary written notice of his intention to appeal.
SECTION 8. The first paragraph of section 11 of said chapter 616, as
appearing in section 5 of. chapter 314 of the acts of 1958, is hereby
amended by adding at the end the following sentence: — Whoever, after
notice from the secretary of the commission, maintains any exterior
architectural feature now or hereafter in the Historic Beacon Hill District in violation of this act shall be punished by a fine of not less than
ten dollars nor more than one hundred dollars, and each day during any
portion of which such violation is allowed to continue shall be considered
a separate offense.
Approved May 5, 1965.
Chap. 430. A N ACT BELATIVE TO THE CONVERSION OF CO-OPERATIVE
BANKS INTO FEDERAL SAVINGS AND LOAN ASSOCIATIONS.
Be it enacted, etc., as follows:
SECTION 1. Section 49 of chapter 170 of the General Laws is hereby
amended by striking out the first three paragraphs and inserting in place
thereof the following two subsections:— '•"'
(A) 1. Any such corporation may convert itself into a federal savings
and loan association, subject to the conditions hereinafter set forth.
Such corporation, hereinafter referred to as the applicant, shall file in
triplicate with the board of bank incorporation, hereinafter referred to
230
ACTS, 1965. — CHAP.
430.
as the board, an application in such form as the board shall prescribe,
and the board forthwith shall cause a copy to be furnished to The Cooperative Central Bank. The application shall be signed and sworn
to by the president, treasurer and at least two thirds of all the applicant's directors. The application shall contain the following: —
(a) A detailed statement of the reasons why the applicant wishes to
convert. If the applicant alleges as a reason, in substance, that the
charter of a federal savings and loan association or the powers granted
thereby are broader than those of a co-operative bank, the application
shall specifically set forth the differences claimed, and shall be accompanied by copies of the applicable federal laws and regulations and the
laws and regulations of the commonwealth relied upon by the applicant
in support of such allegation.
(b) A statement authorizing the commissioner of banks to furnish to
the board copies of any criticism contained in reports of examination
or audit of the applicant, together with any correspondence in reference
thereto and such other information as the board may deem material.
(c) A statement giving specific reasons why and in what respects
public convenience and advantage will be promoted by the conversion.
(d) A detailed statement as to the reasons why the conversion will
result in no undue injury to any other banking institution chartered by
the commonwealth and located in the city or town in which the applicant
is situated, and will have no adverse effect upon the co-operative bank
system or the savings bank system of the commonwealth, upon the
banking system of the commonwealth, as a whole, or upon the public.
(e) A statement of the reasons why no consolidation is feasible between the applicant and another co-operative bank or banks situated
in the same county as the applicant, and a summary of any negotiations
for consolidation had with any other co-operative bank or banks and the
names thereof and the results of such negotiations.
(J) A detailed statement setting forth a summary of any discussions
or negotiations which at any time have occurred between the applicant
and any federal savings and loan association for their merger or consolidation, including the name of such association and the results of such
discussions or negotiations; and a statement as to whether the applicant
contemplates merger or consolidation or sale of all or substantially all
of its assets to any federal savings and loan association after the applicant's conversion, if consummated. Said application shall have attached thereto a copy of the charter or certificate of incorporation of the
applicant, and a copy of the statement of assets and liabilities of the
applicant as of its bank day next preceding the date of the application,
to which statement shall be attached an exhibit setting forth the total
number of all shareholders of the applicant as shown by its last preceding annual report to the commissioner.
2. The board, after receipt of such application in form and substance
satisfactory to it, shall furnish the applicant with a form of notice specifying the name and location of the applicant and its proposed name
after conversion, and assigning a date and place for a public hearing on
the application. The applicant shall publish the notice at least once a
week for three successive weeks, in one or more newspapers designated
by said board and published in the town wherein the main office of the
applicant is located or, if there is no newspaper in said town, in the
ACTS, 1965. — CHAP. 430.
231
town nearest to the location of the applicant wherein a newspaper is
published.
3. The hearing before the board shall be conducted in accordance
with the provisions of chapter thirty A. The board shall receive evidence as to whether or not public convenience and advantage will be
promoted by the proposed conversion, and such other evidence as the
board may deem material; provided, however, that there shall not be
admitted in evidence any letter or oral statement appearing in substance
to favor or not object to the application, or appearing to be in opposition
thereto, unless offered at the hearing as testimony by the person who
shall have signed such letter or made such statement. The Co-operative
Central Bank and the Massachusetts Co-operative Bank League, respectively, shall be admitted as parties upon request of their counsel or
duly authorized officer. The division of banks and loan agencies shall be
an adverse party and it shall be represented by its general counsel or, in
his absence or disability, by counsel of such division designated by the
commissioner of banks. Any such party shall be deemed to be an aggrieved party in the event a petition for review is filed pursuant to paragraph 7 of this subsection.
4. In determining whether or not public convenience and advantage
will be promoted by the proposed conversion, the board shall give careful consideration to the following factors: —
(a) The convenience and advantage of the conversion to the applicant
and its shareholders, and to the people in the immediate community
who do business with the applicant.
(b) The effect of the conversion, if approved, upon the co-operative
bank system and the savings bank system of the commonwealth, upon
the banking system of the commonwealth, as a whole, and upon the
public.
(c) That the conversion, if approved, will not be incompatible with
legislative policies entrusted to the board for observance.
(d) That the necessity exists in the community in which the applicant
is situated for a federal savings and loan association in lieu of a cooperative bank.
(e) That there is a reasonable probability that the applicant, if converted, will be more successful as a federal savings and loan association
than it would be if it continued as a co-operative bank.
(/) That the applicant can be converted without undue injury to any
other properly conducted banking institution chartered by the commonwealth and located in the same city or town as the applicant.
(gf) That because changes in many of the charter provisions and
powers of federal savings and loan associations may be accomplished at
any time by federal regulation, whereas changes in charter provisions
and powers of co-operative banks usually may be accomplished only by
the general court, any advantage in charter provisions or powers appearing to be possessed at the time of the hearing by federal savings and
loan associations over co-operative banks may be temporary, and properly may be the subject of a change in the state banking laws by the
general court.
5. If in the judgment of the board, the applicant shall have affirmatively shown at the public hearing that the public interest will be better
served by the conversion than without it, and if after considering the
232
ACTS, 1965. — CHAP.
430.
evidence properly admitted:at such hearing.and the factors specified
in paragraph 4, the board determines that public convenience and advantage, will be promoted by the'conversion,, the board shall'grant
approval thereof which shall be deemed.revoked if the applicant does
not consummate such conversion within one year after the date .of. such
approval.
' '•; '
6. If the board refuses to grant approval of the conversion, no further
proceedings shall be had, but a new application may be filed after one
year from the date of the refusal, and such application shall be subject
to "all of the requirements of this section.
7. Upon the grant of or refusal to grant such approval by the board; .
the Supreme judicial court upon application of a person aggrieved
thereby shall have jurisdiction to review and to confirm, modify or set
aside the action of the board.
(B) 1. If the board shall grant its approval of the conversion, such
conversion may be effected if authorized by an affirmative vote of a
number of shareholders of such corporation entitled to vote, "equal at
least to a majority of the total number of all shareholders of such corporation as shown by its last preceding annual report to the commissioner; provided, that such vote, shall be by shareholders voting in person or by proxy at a meeting especially called to consider the subject.
Notice of such special meeting, containing a statement of the time,
place and purpose of the meeting, and a form of proxy shall be sent, by
the clerk of the corporation to each shareholder at his last addressapr
pearing upon the records of such corporation, by mail, postage prepaid,
at least thirty days before the date of the meeting.
2. There also shall be mailed with the notice of such special meeting
such form of letter concerning the proposed conversion as the commissioner may approve; provided, that if the commissioner shall fail to
approve the form of such letter within thirty days after receipt by him
of a written request therefor, such corporation may mail with said notice
such form of letter as the board of directors may approve. No additional letters shall be sent to the shareholders concerning the proposed
conversion until approved by the commissioner.
3. A proxy used at such meeting shall not be valid unless it, is in
writing, signed by the shareholder, and is in such form as clearly will
enable such shareholder to select and indicate his choice as to whether
he favors or opposes the proposed conversion.
4. The commissioner, by his examiners or by a certified public accountant designated by him, may, at the expense ,of such corporation,
supervise the preparation and mailing of such notice, statement, letters
and form of proxy and may cause the proxies received by such corporation from shareholders to be examined and verified prior to, at or after
such meeting. !
•,';.:.••
SECTION 2. Said section 49 of said chapter 170 is hereby further
amended by striking out the fourth paragraph, as appearing in section 1
of chapter 371 of the acts of 1950, and inserting in place thereof the following subsection:—
(C) After compliance with subsection (A) and approval of such conversion by the shareholders as required by subsection (B) and upon
the approval,of the conversion by the appropriate federal supervising
authority to the extent required by applicable provisions of federal law
ACTS, 1965. — CHAP. 431.
233
and regulations thereunder, and the issuance by such authority of a
federal savings and loan association charter, such corporation shall cease
to be a member bank of The Co-operative Central Bank, referred to in
section one of chapter forty-five of the acts of nineteen hundred and
thirty-two, as amended, and in section one of chapter seventy-three of
the acts of nineteen hundred and thirty-four, as amended, hereinafter
called the central bank, and shall cease to be a participating bank in
the Co-operative Banks Employees Retirement Association referred to
in sections fifty-one to fifty-three, inclusive, of this chapter.
SECTION 3. The fifth paragraph of said section 49 of said chapter 170,
as so appearing, is hereby amended by striking out, in line 1, the word
"After" and inserting in place thereof the following: — (D) After.
SECTION 4. Chapter three hundred and eighty-six of the acts of nineteen hundred and sixty-four is hereby repealed.
SECTION 5. This act shall take effect on January first, nineteen hundred and sixty-six.
Approved May 5, 1965.
Chap. 431.
A N A C T AUTHORIZING T H E CITY OP PALL RIVER TO A P PROPRIATE MONEY FOR THE PAYMENT OF, AND TO PAY,
CERTAIN UNPAID BILLS.
Be it enacted, etc., as follows:
SECTION 1. The city of Fall River is hereby authorized to appropriate money for the payment of, and after such appropriation, the
treasurer of said city is hereby authorized to pay, such of the unpaid
bills incurred by the Veterans' Benefits department of said city and
totaling fourteen thousand and sixty dollars and eighty-four cents as
set forth in a list on file in the office of the director of accounts in the
department of corporations and taxation, as are legally unenforceable
against said city, by reason of their being incurred in excess of available
appropriations, and as are certified for payment by said Veterans' Benefits department, wherein the bills were contracted; provided, "that the
money so appropriated to pay such bills shall be raised by taxation in
said city.
- .
[ SECTION .2'. No bill shall be approved by the city auditor of said city
for payment or paid by the treasurer thereof under authority of this
act unless and until certificates have been signed and filed with said city
..auditor, stating under the penalties of perjury that the goods, materials
or services for which bills have been submitted were ordered by an official
or an employee of said city, and that such goods and materials were
delivered and actually received by said city or that such services were
rendered to said city, or both.
SECTION 3. Any person who knowingly files a certificate required by
section two, which is false and who thereby receives payment for goods,
materials or services which were not received by or rendered to said city,
shall be punished by imprisonment for not more than one year or by
a fine of not more than three hundred dollars, or both.
SECTION 4. This act shall take effect upon its acceptance by the city
of Fall River.
Approved May 5, 1965.