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HAWKEYE BANCORPORATION v. IOWA COLLEGE AID

No. 84-193.

360 N.W.2d 798 (1985)

HAWKEYE BANCORPORATION; State Bank of Allison; Hawkeye-Ankeny Bank and Trust; the Citizens National Bank of Boone-Stratford; Hawkeye Bank and Trust, Burlington; Hawkeye Bank and Trust, Camanche; United State Bank, Cedar Rapids; Hawkeye Bank and Trust, National Association, Centerville; First State Bank, Chariton; First National Bank, Clinton; State Bank and Trust, Council Bluffs; Hawkeye-Capital Bank & Trust, Des Moines; Hawkeye Bank & Trust of Des Moines; Hawkeye Bank & Trust, Eldora; Farmers Savings Bank, Grundy Center; Hawkeye Bank and Trust, Humboldt; Hawkeye State Bank, Iowa City; Lake City State Bank; Hawkeye Bank & Trust, Lake Mills; Hawkeye Bank and Trust, Maquoketa; Commercial State Bank, Marshalltown; Hawkeye Bank & Trust of Mason City; Security State Bank, Mount Ayr; Hawkeye Bank and Trust, Mount Pleasant; Jasper County Savings Bank, Newton; the Pella National Bank; Houghton State Bank, Red Oak; Lyon County State Bank, Rock Rapids; the First National Bank of Sibley; Hawkeye Bank & Trust, Sioux City; Hawkeye Bank and Trust, Spencer; the National Bank of Washington; and Waukon State Bank, Appellees, v. IOWA COLLEGE AID COMMISSION, Appellant.

Supreme Court of Iowa.

January 16, 1985.

Attorney(s) appearing for the Case

Thomas J. Miller, Atty. Gen., and Merle Wilna Fleming, Asst. Atty. Gen., for appellant.

Robert F. Holz, Jr. of Davis, Hockenberg, Wine, Brown & Koehn, Des Moines, for appellees.

Considered by UHLENHOPP, P.J., and HARRIS, McCORMICK, McGIVERIN, and SCHULTZ, JJ.

UHLENHOPP, Presiding Justice.

This case primarily involves the issue of whether the Iowa College Aid Commission (ICAC) must provide notice and hearing and must have cause in order to terminate the status of "eligible lender" under chapter 261 of the Iowa Code of 1966 and succeeding Codes. Our references are to the Code of 1983.

In May 1979, the State of Iowa created ICAC as a public guarantor of student loans pursuant to chapter 261 and an agreement with the...

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