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HRS §412:2-402

Other reasons a financial institution can be taken over

This section lets the state banking commissioner take over a Hawaii financial institution in two extra situations: if the institution agrees by a majority vote of its board or owners, or if its federal deposit insurance is involuntarily ended. The takeover cannot be challenged in court.

financial institutions

The statute, as written — Additional grounds for appointment

The commissioner may also appoint a conservator or receiver to take over the possession and control of any Hawaii financial institution: (1) Which consents to such appointment by an affirmative vote of a majority of its board of directors, or by a majority vote of its shareholders or members; or (2) Whose status as an insured institution has been involuntarily terminated by the federal insurer of its deposits or accounts. An appointment pursuant to this section shall not be subject to judicial review.
Read the official text at capitol.hawaii.gov ↗as published Jan 6, 2026our copy taken Aug 20, 2026

LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.