Change 53 to Update the Texas Rules for Credit Unions Page: 9,130
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(e) Prohibited conduct. A director shall not:
(1) Divulge or make use of, except in the performance of office duties, any fact,
information, or document not generally available to the membership that is acquired by virtue of
serving on the board of the credit union.
(2) Use the director's position to obtain or attempt to obtain special advantage or
favoritism for the director, any relative of the director, or any person residing in the director's
household.
(3) Accept, directly or indirectly, any gift, fee, or other present that is offered or could
be reasonably be.viewed as being offered to influence official action or to obtain information that
the director has access to by reason of serving on the board of the credit union.
(f) Recall of director(s).
(1) Petition. Under procedures set out in the credit union's bylaws, members may
request a special membership meeting to consider removing the entire board or individual
directors for cause relating to serious mismanagement or a breach of fiduciary duties. The board
shall conduct any resulting special meeting as prescribed in the credit union's bylaws.
(2) Membership Vote. The members of a credit union may remove a director by a
vote of two-thirds of those members voting at the special meeting; provided, however, that:
(A) a separate vote is conducted for each director sought to be recalled;
(B) the members voting shall constitute not less than 10% of the membership
eligible to vote in the recall election;
(C) all members are given at least 30 days notice of the meeting which shall
state the reasons why the meeting has been called; and
(D) the affected director(s) is afforded an opportunity to be heard at such
meeting prior to a vote on removal.
(3) Vacancy on the Board. If a vacancy occurs as a result of a recall, the vacancy
shall be filled by the affirmative vote of a majority of the remaining directors. If the entire board
is removed as a result of the recall, the members shall fill the vacancies at the recall meeting.
Directors elected to fill a recall vacancy shall hold office only until the next annual meeting
when any unexpired terms shall be filled by vote of the members.
(g) Absences. Any director who fails to attend three (3) consecutive regularly scheduled
meetings without an excuse approved by a majority vote of the board, or who fails to attend six
(6) regularly scheduled meetings during any twelve-month period following the director's
election or appointment is automatically removed from office. A new person shall be appointed
to fill any vacancies resulting from poor attendance within sixty days of the date of the meeting
that led to the automatic removal. The commissioner in the exercise of discretion may extend the
deadline for filling the vacancy.
Source: The provisions of this 91.501 adopted to be effective May 11, 2000, 25 TexReg 3951; amended
to be effective March 14, 2004, 29 TexReg 2636; amended to be effective July 8, 2007, 32 TexReg 3978;
reviewed and amended to be effective July 10, 2011, 36 TexReg 4110; reviewed and amended to be
effective July 13, 2014, 39 TexReg 5147; reviewed and readopted to be effective February 23, 2015, 40
TexReg 1112; reviewed and readopted to be effective March 8, 2019, 44 TexReg 1533.91-30
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Texas. Credit Union Department. Change 53 to Update the Texas Rules for Credit Unions, text, March 25, 2019; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth1364949/m1/4/: accessed July 3, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.