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Code · BILL · 115th Congress · H.R. 3937 (Introduced in House) — To require the Federal prudential banking agencies to determine whether certain institutions they regulate engage in... · Sec. 102

Sec. 102. Receivership and limitation on transfer of assets

290 words·~1 min read·/bill/115/hr/3937/ih/section-102

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The Comptroller and the Board of Governors shall notify within 24 hours the Corporation of any determination made under section 101. For any insured depository institution identified by the Corporation under section 101, or upon being notified of the termination of a national bank or Federal savings association’s Federal charter or termination of a Federal license for an insured branch or agency of a bank under subsection (a), the Corporation shall— initiate an involuntary termination of the deposit insurance of the institution under section 8 of the Federal Deposit Insurance Act ( 12 U.S.C. 1818 ); and place the institution into receivership, with the Corporation acting as the receiver, pursuant to the procedures provided under section 11(c) of the Federal Deposit Insurance Act ( 12 U.S.C. 1821(c) ).
In its capacity as receiver of a national bank, Federal savings association, or branch, agency, commercial lending company, or representative office of a foreign bank under this section, the Corporation may transfer any assets of the institution only to banking organizations that were assigned a rating of satisfactory record of meeting community credit needs or better for complying with the Community Reinvestment Act of 1977 in their most recent evaluation, and may not transfer any assets of the institution to either— a global systemically important bank holding company, or any subsidiary of such a bank holding company; or a banking organization that has exhibited substantial noncompliance with Federal consumer protection laws as evidenced by any public enforcement actions, targeted supervisory exams, or a rating of less than satisfactory on its most recent consumer compliance examination.
When acting in the capacity of a receiver pursuant to subsection (b), the Corporation shall consult with the Office of Minority and Women Inclusion of the Corporation.
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Sec. 102
Receivership and limitation on transfer of assets
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