---
kind: "section"
citation: "12 U.S.C. § 1790a"
title: "12"
title_heading: "Banks and Banking"
number: "1790a"
heading: "Board disapproval of directors, committee members, and senior executive officers of insured credit unions"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/1790a"
units:
  - "Chapter 14 — Federal Credit Unions"
  - "Subchapter II — Share Insurance"
---

# §1790a. Board disapproval of directors, committee members, and senior executive officers of insured credit unions

- (a) **Prior notice required—** An [insured credit union](/usc/12/1752.md?p=7) shall notify the [Board](/usc/12/1752.md?p=4) of the proposed addition of any individual to the [board](/usc/12/1752.md?p=4) of [directors](/usc/12/5481.md?p=10) or committee or the employment of any individual as a senior executive officer of such [credit](/usc/12/5481.md?p=7) union at least 30 days before such addition or employment becomes effective, if the [insured credit union](/usc/12/1752.md?p=7)—
  - (1) has been chartered less than 2 years; or
  - (2) is in troubled condition, as determined on the basis of such [credit](/usc/12/5481.md?p=7) union’s most recent report of condition or report of examination.
- (b) **Disapproval by Board—** An [insured credit union](/usc/12/1752.md?p=7) may not add any individual to the [board](/usc/12/1752.md?p=4) of [directors](/usc/12/5481.md?p=10) or employ any individual as a senior executive officer if the [Board](/usc/12/1752.md?p=4) issues a notice of disapproval of such addition or employment before the end of the 30-day period beginning on the date the agency receives notice of the proposed action pursuant to [subsection (a)](#a).
- (c) **Exception in extraordinary circumstances—**
  - (1) **In general—** The [Board](/usc/12/1752.md?p=4) may prescribe by regulation conditions under which the prior notice requirement of [subsection (a)](#a) may be waived in the event of extraordinary circumstances.
  - (2) **No effect on disapproval authority of Board—** Such waivers shall not affect the authority of the [Board](/usc/12/1752.md?p=4) to issue notices of disapproval of such additions or employment of such individuals within 30 days after each such waiver.
- (d) **Additional information—** Any notice submitted to the [Board](/usc/12/1752.md?p=4) by any [insured credit union](/usc/12/1752.md?p=7) pursuant to [subsection (a)](#a) shall include—
  - (1) the information described in [section 1817(j)(6)(A) of this title](/usc/12/1817.md?p=j-6-A) about the individual; and
  - (2) such other information as the [Board](/usc/12/1752.md?p=4) may prescribe by regulation.
- (e) **Standard for disapproval—** The [Board](/usc/12/1752.md?p=4) shall issue a notice of disapproval with respect to a notice submitted pursuant to [subsection (a)](#a) if the competence, experience, character, or integrity of the individual with respect to whom such notice is submitted indicates that it would not be in the best interests of the depositors of the [insured credit union](/usc/12/1752.md?p=7) or in the best interests of the public to permit the individual to be employed by, or associated with, such [insured credit union](/usc/12/1752.md?p=7).
- (f) **Definition regulations—** The [Board](/usc/12/1752.md?p=4) shall prescribe by regulation a definition for the terms “troubled condition” and “senior executive officer” for purposes of [subsection (a)](#a).

## Source credit

(June 26, 1934, ch. 750, title II, § 212, as added Pub. L. 101–73, title IX, § 914(b), Aug. 9, 1989, 103 Stat. 485.)

## Notes

### Editorial Notes

### Codification

Section 914(b) of Pub. L. 101–73, which directed that this section be added to title II of “the Federal Credit Union Insurance Act (12 U.S.C. 1781 et seq.)” was executed by adding this section to the Federal Credit Union Act, which comprises this chapter, as the probable intent of Congress.