(a) Except as provided in regulations of the Board, a sale, encumbrance, assignment, merger, barter, exchange or other transfer of shares, interest or participation in the capital of an international financial services entity may not be initiated without the previous written authorization of the Board, if by way of such transaction, a person could acquire, directly or indirectly, control of 10 percent or more of any class of stock, interest or participation in the capital of an international financial services entity.
(b) Every sale, encumbrance, assignment, merger, barter, exchange or other transfer of shares of capital stock, interest or participation in the capital of an international financial services entity, as set forth in subsection (a) of this section, is void “ab initio” if the written authorization of the Board has not been obtained. The written authorization of the Board may not be unreasonably withheld.
(c) The international financial services entity shall notify the Board, 30 days in advance of the transfers referred to in subsection (a), the identity of the transferor and of the transferee and the nature of the transaction. The Board may require such additional information as he considers necessary to determine if the transfer would be detrimental to the security or financial solvency of the international financial services entity or if it would violate any law, rule or regulation governing the international financial services entity, in which case the Board may deny the authorization for such transaction; but any person to whom such authorization is denied shall have the right to request a hearing pursuant to the regulations provided in section 749.