Current through Register Vol. 54, No. 24, June 15, 2024
Section 10.5 - Unsafe operations(a) An institution or association which has leverage capital or risk-based capital below the minimum required levels with regard to § 10.3 (relating to minimum leverage capital requirement) or with regard to § 10.4 (relating to minimum risk-based capital requirement), shall be deemed to be conducting its business in an unsafe manner for the purposes of section 504 of the Department of Banking and Securities Code (71 P. S. § 733-504).(b) An institution or association which is in full compliance with a written agreement or an order issued by the Department under section 501 of the Department of Banking and Securities Code (71 P. S. § 733-501) or section 1404 of the Savings Association Code of 1967 (7 P. S. § 6020-224), or is in full compliance with a plan approved by the Department to increase its capital ratios and to take other actions as necessary for the institution or association so as not to be conducting its business in an unsafe manner, will not be deemed to be conducting its business in an unsafe manner based upon its capital ratios.(c) Notwithstanding the provisions of subsections (a) and (b), the Department may take action otherwise authorized against an institution or association which is in an unsafe or unsound condition, is conducting its business in an unsafe or unsound manner, or is in violation of any agreement, any order of the Department, another banking agency or a court, its charter or any provision of applicable law, or otherwise meets the jurisdictional standards for applicable action by the Department.