DFI-SL 17.14(10)(b)
(b) At the end of each accounting period all interest payments which are due but unpaid with respect to mortgages in the fund shall be charged against the reserve account to the extent available and credited to income distributed to participants. If interest payments are subsequently recovered by the fund, the reserve account shall be credited with the amount recovered.
DFI-SL 17.14(11)
(11) An association administering a collective investment fund shall exclusively manage the fund. The association may charge a fee for the management of the collective investment fund. The fractional part of the fee proportionate to the interest of each participant shall not, when added to any other compensations charged by an association to a participant, exceed the total amount of compensations which would have been charged to the participant if no assets of the participant had been invested in participations in the fund. The association shall absorb the costs of establishing or reorganizing a collective investment fund.
DFI-SL 17.14(12)
(12) No association administering a collective investment fund may issue any certificate or other document evidencing a direct or indirect interest in the fund in any form.
DFI-SL 17.14(13)
(13) No mistake made in good faith and in the exercise of due care in connection with the administration of a collective investment fund violates this chapter if promptly after the discovery of the mistake the association takes whatever action may be practicable in the circumstances to remedy the mistake.
DFI-SL 17.14 History
History: Cr.
Register, June, 1989, No. 402, eff. 7-1-89; correction made under s. 13.93 (2m) (b) 1.,
Register, September, 1995, No. 477.
DFI-SL 17.15 History
History: Cr.
Register, June, 1989, No. 402, eff. 7-1-89.
DFI-SL 17.16(1)(1)
Any association may surrender its rights to exercise trust powers by filing with the division a certified copy of a resolution of its board of directors.
DFI-SL 17.16(2)
(2) Upon receipt of the resolution under sub. (1) the division shall make an investigation and if satisfied that the association has been discharged from all fiduciary duties which it has undertaken, the division shall issue a certificate to the association certifying that it is no longer authorized to exercise fiduciary powers.
DFI-SL 17.16(3)
(3) On issuance of a certificate by the division, an association:
DFI-SL 17.16(3)(c)
(c) Shall not exercise any of the powers granted by this chapter without first applying for and obtaining new authorization to exercise trust powers.
DFI-SL 17.16 History
History: Cr.
Register, June, 1989, No. 402, eff. 7-1-89.
DFI-SL 17.17
DFI-SL 17.17
Effect of trust accounts of appointment of conservator or receiver or voluntary dissolution of association. DFI-SL 17.17(1)(1)
Appointment of liquidator, conservator or receiver. Whenever a liquidator, conservator or receiver is appointed for an association, the liquidator, receiver or conservator shall, pursuant to the instructions of the division and the orders of the court having jurisdiction, close such of the association's trust accounts as can be closed promptly and transfer all other trust accounts to substitute fiduciaries.
DFI-SL 17.17(2)
(2)
Voluntary dissolution. Whenever an association exercising trust powers is placed in voluntary dissolution, the liquidating agent shall, in accordance with local law, proceed at once to liquidate the affairs of the trust department as follows:
DFI-SL 17.17(2)(a)
(a) All trusts and estates over which a court is exercising jurisdiction shall be closed or disposed of as soon as practicable in accordance with the order or instructions of the court; and
DFI-SL 17.17(2)(b)
(b) All other accounts which can be closed promptly shall be closed as soon as practicable and final accounting made for the closed accounts and all remaining accounts shall be transferred by appropriate legal proceedings to substitute fiduciaries.
DFI-SL 17.17 History
History: Cr.
Register, June, 1989, No. 402, eff. 7-1-89.
DFI-SL 17.18(1)(1)
Notice of intent. In addition to the other sanctions available, if, in the opinion of the division, an association is unlawfully or unsoundly exercising, or has failed for a period of 5 consecutive years to exercise, the powers granted by this chapter or otherwise fails to comply with the requirements of this chapter, the division may issue and serve upon the association a notice of intent to revoke the authority of the association to exercise the powers granted by this chapter. The notice shall contain a statement of the facts constituting the alleged unlawful or unsound exercise of powers, or failure to exercise powers, or failure to comply, and shall fix a time and place at which a hearing will be held to determine whether an order revoking authority to exercise trust powers should be issued against the association.
DFI-SL 17.18(2)
(2)
Hearing. A hearing under sub. (1) shall be conducted as a contested class 2 hearing under ch.
227, Stats.
DFI-SL 17.18(3)
(3)
Revocation order. Unless the association served under sub. (1) appears at the hearing by a duly authorized representative, it is deemed to have consented to the issuance of the revocation order. In the event of consent or if, upon the record made at the hearing, the division finds that any allegation specified in the notice of charges has been established, the division may issue and serve upon the association an order prohibiting it from accepting any new or additional trust accounts and revoking authority to exercise powers granted by this chapter except that the order shall permit the association to continue to service all previously accepted trust accounts pending their expeditious divestiture or termination.
DFI-SL 17.18(4)
(4)
Effective period. A revocation order is effective not earlier than the expiration of 30 days after service of the order upon the association, except a consent revocation order which is effective at the time specified in the order, and shall remain effective and enforceable, except to the extent it is stayed, modified, terminated, or set aside by action of the division or a reviewing court.
DFI-SL 17.18 History
History: Cr.
Register, June, 1989, No. 402, eff. 7-1-89.
