Any licensee that voluntarily has ceased to do the business for which it is licensed shall immediately notify the commissioner and proceed to liquidate its affairs. Any share or deposit or other sum that has not been paid to the person entitled thereto within six months after the licensee ceased to conduct a business shall be paid into the State Treasury. The deposits with the State Treasury shall be deemed to have been received under the provisions of Chapter 7 (commencing with Section
1500) of Title 10 of Part 3 of the Code of Civil Procedure and shall be subject to claim or other disposition as provided in that chapter. If the commissioner has reason to conclude that the liquidation of the licensee is not being safely or expeditiously conducted, he or she may take possession of the business and property of the licensee in the same manner and with the same effect and subject to the same rights accorded the licensee as if he or she had taken possession pursuant to Chapter 7 (commencing with Section 600), and he or she may proceed to liquidate the licensee’s affairs in the same manner as provided in that article. When the licensee has been completely liquidated, its corporate existence shall be dissolved in the manner provided by law.
Chapter 8Voluntary Liquidation
Section § 720
If a business with a license stops operating, it must tell the commissioner right away and start winding up its affairs. Any unclaimed money after six months must be turned over to the State Treasury. This money will be handled according to certain rules where people can claim it. If the commissioner thinks the process isn't going well, they can take control of the business to ensure proper liquidation. After everything is settled, the business's official status is ended legally.
licensee cessation notification to commissioner liquidate affairs unclaimed deposits State Treasury payment Code of Civil Procedure claim procedures commissioner intervention business possession business dissolution corporate liquidation process conducting safe liquidation expedited liquidation turn over unclaimed funds Chapter 7 of Title 10
Section § 721
If a state-chartered credit union is taken over by the commissioner, they can appoint either a liquidating agent or a committee from the credit union's members to handle the closing and distribution of its assets. Instead of a certain required certificate, the commissioner will file a certificate of liquidation start in the state records. This applies when the credit union is involuntarily closed. The agent managing this process doesn't need to be part of the credit union and could be an individual, company, or organization.
If the licensee referred to in Section 720 is a state-chartered credit union and the commissioner has taken possession of the business and property of the credit union, the commissioner may appoint a liquidating agent or a liquidating committee of three members of the credit union to liquidate the business and assets of the credit union in the manner provided in Article 2 (commencing with Section 15250) of Chapter 9 of Division 5, except that, in lieu of the certificate required under
Section 15252, the commissioner shall prepare and file in the office of the Secretary of State a certificate of commencement of liquidation proceedings upon taking possession of the business and assets, and the commissioner or his or her authorized deputy shall countersign the certificate referred to in Sections 15257 and 15258 whenever liquidation is involuntary. The commissioner may, however, prepare and file a final certificate whenever he or she retains possession of the assets of any credit union for the purpose of liquidation. The liquidating agent need not be a member of the credit union to be liquidated and may be a person, firm, or corporation, as determined by the commissioner.
state-chartered credit union commissioner possession of business liquidating agent liquidating committee asset liquidation certificate of commencement involuntary liquidation final certificate credit union assets liquidation process appointed liquidator liquidation proceedings liquidation of assets business takeover
