Tenn. Code § 45-4-1103

Current through Acts 2023-2024, ch. 1069

Section 45-4-1103 - Powers

The corporation may:

(1) Enter into contracts of any nature including contracts for reinsurance;

(2) Sue and be sued;

(3) Adopt, use and display a corporate seal;

(4) Advance funds in accordance with agreed terms and conditions to aid member credit unions to operate and to meet liquidity requirements;

(5) Upon the written direction of the commissioner, or of the appropriate supervisory authority of any credit union that becomes a member under § 45-4-1107(c) or (d), assume control of the property and business of any member credit union and operate the credit union in accordance with any recommendations the commissioner or other authority may offer;

(6) Assist in the merger, consolidation or liquidation of credit unions;

(7) Receive money or other property from its member credit unions, or any corporation, association or person;

(8) Invest its funds in:

(A) Bonds, notes or securities of the federal government or its agencies;

(B) Investments authorized under § 35-3-120;

(C) Any investment that is lawful for federal credit unions chartered under title 12 of the United States Code;

(D) Obligations of a territory of the United States, a province of the Dominion of Canada, a subdivision or instrumentality of a state or territory of the United States, an authority organized under state law, an interstate compact or by substantially identical legislation adopted by two (2) or more states; provided, that the obligations are general obligation bonds and are given "Investment Grade" ratings by Moodys Investors Service, Inc. or by Standard and Poor's Corporation and are bank eligible investments as defined by the comptroller of the currency;

(E) Obligations of a corporation chartered by the United States or a state of the United States, doing business in the United States; provided, that the investments do not exceed more than ten percent (10%) of the funds invested by the corporation;

(F) Any agency or association organized either as a stock company, mutual association, or membership corporation; provided, that the purposes for which the agency or association is organized are designed to service, aid or otherwise assist credit unions; and

(G) Other investments, other than investments in credit unions or central credit unions that are members of the corporation, that are deemed prudent by the directors, but these other investments shall not exceed twenty percent (20%) of the funds of the corporation;

(9) Borrow money from any source, upon the terms and conditions that the directors determine, for the purpose of this section;

(10) Purchase in its own name, hold and convey property of any nature;

(11) Receive by assignment or purchase, from its member credit unions, any property of any nature owned by those member credit unions;

(12) Sell, assign, mortgage, encumber or transfer property of any nature; and

(13) Adopt and amend bylaws and rules and regulations for carrying out the purposes of this section.

T.C.A. § 45-4-1103

Acts 1974, ch. 577, § 3; T.C.A., § 45-1837; Acts 1983, ch. 93, § 4; 1984, ch. 715, § 3.