The director may serve upon a director, officer, or employee of any bank or trust company a written notice of the director's intention to remove the person from office or to prohibit the person from participation in the conduct of the affairs of the bank or trust company, or both, whenever:

     (1) In the opinion of the director any director, officer, or employee of any bank or trust company has committed or engaged in:

     (a) Any violation of law or rule or of a cease and desist order which has become final;

     (b) Any unsafe or unsound practice in connection with the bank or trust company; or

     (c) Any act, omission, or practice which constitutes a breach of his or her fiduciary duty as director, officer, or employee; and

     (2) The director determines that:

     (a) The bank or trust company has suffered or may suffer substantial financial loss or other damage; or

     (b) The interests of its depositors could be seriously prejudiced by reason of the violation or practice or breach of fiduciary duty; and

     (c) The violation or practice or breach of fiduciary duty is one involving personal dishonesty, recklessness, or incompetence on the part of the director, officer, or employee.

[1994 c 92 § 64; 1977 ex.s. c 178 § 5; 1955 c 33 § 30.12.040. Prior: 1933 c 42 § 1; 1917 c 80 § 10; RRS § 3217.]

NOTES:

     Severability -- 1977 ex.s. c 178: See note following RCW 30.04.450.