Chapter IV: Municipal credit banks

Caisses de crédit municipaux are established by decree countersigned by the Minister for the Economy and the Minister for Local Authorities, at the request of the municipal council or councils concerned. The funds are managed by a director, under the supervision of a guidance and supervisory board. The director is appointed by the mayor of the municipality in which the caisse has its head office, on the advice of the…

The organisation and operation of the caisses de crédit municipal, and in particular the powers of the guidance and supervisory board and the financial system, are determined by decrees of the Conseil d’Etat issued on the report of the Minister responsible for the economy.

The decrees mentioned in article L. 514-3 set the rules according to which the surpluses arising at the end of the financial year and the bonuses acquired by prescription after realisation of pledges are allocated to the funds of the caisses. If these surpluses and bonuses are not used in full for this purpose, the remainder is allocated to other social welfare organisations.