(a) Director means a
person who serves on the board of directors of a regulated institution,
except that this term does not include an advisory director who—
(1) is not elected by the
shareholders of the regulated institution;
(2) is not authorized to vote on any matters
before the board of directors or any committee thereof;
(3) solely provides general
policy advice to the board of directors and any committee thereof;
and
(4) has not been
identified by the Board or Reserve Bank as a person who performs the
functions of a director for purposes of this subpart.
(b) Regulated institution means a state member
bank or a bank holding company.
4-055.1
(c) Senior
executive officer means a person who holds the title or, without
regard to title, salary, or compensation, performs the function of
one or more of the following positions: president, chief executive
officer, chief operating officer, chief financial officer, chief lending
officer, or chief investment officer. Senior executive officer also includes any other person identified by the Board or Reserve
Bank, whether or not hired as an employee, with significant influence
over, or who participates in, major policymaking decisions of the
regulated institution.
(d) Troubled condition for a regulated institution means an institution that—
(1) has a composite rating, as determined
in its most recent report of examination or inspection, of 4 or 5
under the Uniform Financial Institutions Rating System or under the
Federal Reserve Bank Holding Company Rating System;
(2) is subject to a cease-and-desist order
or formal written agreement that requires action to improve the financial
condition of the institution, unless otherwise informed in writing
by the Board or Reserve Bank; or
(3) is informed in writing by the Board
or Reserve Bank that it is in troubled condition for purposes of the
requirements of this subpart on the basis of the institution’s most
recent report of condition or report of examination or inspection,
or other information available to the Board or Reserve Bank.
