Brief ⁽¹⁾

HB 2753, as amended, concerns the list of bank stockholders' names submitted annually to the Bank Commissioner. The bill makes confidential and not subject to disclosure under the Kansas Open Records Act, the names and addresses of those stockholders owning less than 5 percent of the capital stock of the bank.

Background

HB 2753 was requested by the Community Bankers Association of Kansas (CBA) whose representative explained that only Kansas and Iowa have such disclosure laws for minority stockholders. Apparently, a number of Kansas bank minority stockholders have received solicitations from out-of-state investment partnerships offering to purchase their stock at prices less than its true value. The CBA finds the solicitations to be an invasion of privacy when other investment information is confidential and when the information required to be provided to the Commissioner is accessed and used for private gain.

The bill as drafted would have exempted the names and addresses of minority stockholders from the annual filing requirement. The Bank Commissioner explained the reasons for collecting the names and addresses of all stockholders and proposed the amendment to treat as confidential the minority stockholder information.

The fiscal note prepared by the Division of the Budget indicates that passage of the bill will have no fiscal effect.

1. *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.ink.org/public/legislative/bill_search.html