Section 209. Restrictions on executive officers of foreign banking corporations and national banks

1. No executive officer  of  a  foreign  banking  corporation  maintaining  a  branch  in  this  state  may be an
  executive officer, director or trustee  of  a  bank  or  trust  company,
  savings  bank,  savings  and  loan association, national bank located in
  this state, federal savings and loan association located in this  state,
  bank  holding company or another foreign banking corporation maintaining
  a branch in this state, unless permission therefor has been  granted  by
  the  banking  board  pursuant  to the provisions of subdivision three of
  this section, except that an executive  officer  of  a  foreign  banking
  corporation  maintaining a branch in this state which is a subsidiary of
  a bank holding company may be  (i)  an  executive  officer  and  (ii)  a
  director  of  the  bank  holding  company  of which such foreign banking
  corporation is  a  subsidiary,  and  of  one  or  more  of  the  banking
  institutions  which  are  subsidiaries of such bank holding company; and
  provided, however, that, except as stated in the  foregoing  exceptions,
  an  executive  officer  of  a  foreign banking corporation maintaining a
  branch in this state, who on the  effective  date  of  this  act  is  an
  executive  officer,  director  or  trustee  of  a bank or trust company,
  savings bank, savings and loan association,  national  bank  located  in
  this  state, federal savings and loan association located in this state,
  bank holding company or another foreign banking corporation  maintaining
  a  branch in this state, may continue to hold such other office, without
  permission from the banking board, until the expiration of the  term  of
  such  office  or  the  close  of  business  on the last day of December,
  nineteen hundred seventy-four, whichever occurs sooner.
    2. No executive officer of a national bank located in this  state  may
  be an executive officer, director or trustee of a bank or trust company,
  savings  bank,  savings  and  loan  association, bank holding company or
  foreign banking corporation maintaining a branch in this  state,  unless
  permission  therefor  has  been granted by the banking board pursuant to
  the provisions of subdivision three of this section, except that (1)  an
  executive  officer  of a national bank located in this state, which is a
  subsidiary of a bank holding company may be (i) an executive officer and
  (ii) a director of the bank holding company and of one or  more  banking
  institutions  which  are  subsidiaries  of  such  bank  holding company;
  provided, however, that, except as stated in the  foregoing  exceptions,
  an  executive  officer  of a national bank located in this state, who on
  the effective date of this act is  an  executive  officer,  director  or
  trustee  of  a  bank  or  trust  company, savings bank, savings and loan
  association,  bank  holding  company  or  foreign  banking   corporation
  maintaining  a  branch  in  this  state, may continue to hold such other
  office, without permission from the banking board, until the  expiration
  of  the  term of such office or the close of business on the last day of
  December, nineteen hundred seventy-four, whichever occurs sooner.
    3. The banking board shall have the power to determine  by  regulation
  who shall be considered, under the provisions of this subdivision, to be
  an  executive  officer,  and by a general or specific regulation, upon a
  three-fifths vote  of  all  its  members,  to  grant  permission  to  an
  executive  officer of a foreign banking corporation maintaining a branch
  in this state and to an executive officer of a national bank located  in
  this  state,  to  be  at  the same time an executive officer, trustee or
  director or both an executive officer and a trustee  or  director  of  a
  bank  or  trust  company,  savings  bank,  savings and loan association,
  national  bank  located  in  this  state,  federal  savings   and   loan
  association  located  in  this  state, bank holding company, and foreign
  banking corporation maintaining a branch in this state. Such  permission
  may be granted only if in the judgment of the banking board such service

  by the executive officer will be consistent with the policy of the state
  of  New  York  as  declared  in section ten of this chapter. The banking
  board shall have the power to revoke such  permission  by  a  like  vote
  whenever  it  finds,  after  reasonable  notice and an opportunity to be
  heard, that the public interest requires such revocation.
    4. For the purposes  of  this  subdivision,  the  terms  "subsidiary",
  "banking institution" and "bank holding company" shall each be given the
  same  meaning  as is contained in their respective definition in section
  one hundred forty-one of this chapter, except  that  the  definition  of
  "bank  holding  company" is modified by deleting the phrase "each of two
  or more" and substituting the word "institution" for "institutions", and
  the definition of the term "banking institution" is modified to  include
  a foreign banking corporation maintaining a branch in this state.
    5.  All  other restrictions and limitations imposed by this chapter on
  executive  officers  and  directors  of  foreign  banking   corporations
  maintaining a branch in this state and on national banks located in this
  state shall continue in effect.