The bill amends existing Louisiana law regarding the representation of shares in banks and financial institutions, specifically addressing the use of stock certificates and the introduction of uncertificated shares. It stipulates that shares shall be represented by certificates unless the issuing corporation participates in the Direct Registration System or similar systems, or as outlined in the new provisions. The board of directors of a corporation is granted the authority to issue shares as uncertificated shares, which can be documented through electronic methods. Additionally, the bill clarifies that these provisions apply to state-chartered banks and their holding companies.

Furthermore, the bill includes amendments to the regulations governing capital stock issuance for savings banks, allowing them to issue capital stock through their articles of incorporation or amendments. It reinforces that the provisions regarding stock representation also apply to Louisiana state-chartered savings banks and their holding companies. Overall, the bill modernizes the framework for share representation in the banking sector, accommodating advancements in electronic documentation and registration systems.

Statutes affected:
SB279 Original: 6:255(A)
SB279 Engrossed: 6:255(A)
SB279 Enrolled: 6:255(A)
SB279 Act: 6:255(A)