12 U.S.C. § 5327 — Treatment of certain companies that cease to be bank holding companies

(a) Applicability. This section applies to— (1) any entity that— (A) was a bank holding company^* with total consolidated assets equal to or greater than $50,000,000,000 as of January 1, 2010; and (B) received financial assistance under, or participated in, the Capital Purchase Program established under the Troubled Asset Relief Program authorized by the Emergency Economic Stabilization Act of 2008 [12 U.S.C. 5201 et seq.]; and (2) any successor entity, as defined by the Board of Governors in consultation with the Council, to an entity described in paragraph (1). (b) Treatment. If an entity described in subsection (a) stops being a bank holding company at any time after January 1, 2010, that entity must be treated as a nonbank financial company supervised by the Board of Governors^*, as if the Council had made a determination under section 5323 of this title about that entity. (c) Appeal. (1) Request for hearing. An entity may make a written request for an opportunity for a written or oral hearing before the Council to appeal its treatment as a nonbank financial company^* supervised by the Board of Governors under this section. After receiving the request, the Council must set a time, no later than 30 days after receiving the request, and a place where the entity may appear in person^* or through counsel to submit written materials. At the Council’s sole discretion, the entity may instead submit oral testimony and oral argument. (2) Decision. (A) Proposed decision. The Council may grant an appeal under this subsection only by a vote of at least ⅔ of the voting members then serving, including an affirmative vote by the Chairperson^*. No later than 60 days after the hearing under paragraph (1), the Council must submit a report to, and may testify before, the Senate Committee on Banking, Housing, and Urban Affairs and the House of Representatives Committee on Financial Services about the Council’s proposed decision on the appeal under paragraph (1). The report must state^* the basis for the Council’s proposed decision. (B) Notice of final decision. The Council must notify the entity of its final decision on the appeal under paragraph (1). The notice must state the basis for the final decision. The Council must provide the notice no later than 60 days after the later of— (i) the date the report under subparagraph (A) was submitted; or (ii) if, no later than 1 year after that report was submitted, either the Senate Committee on Banking, Housing, and Urban Affairs or the House of Representatives Committee on Financial Services holds one or more hearings about the report, the date of the last such hearing. (C) Considerations. When deciding an appeal under paragraph (1), the Council must consider whether the company meets the standards under section 5323(a) or 5323(b) of this title, as applicable, and the definition of “nonbank financial company” under section 5311 of this title. The Council’s decision is final, subject to review under paragraph (3). (3) Review. If the Council denies an appeal under this subsection, it must review and reconsider the decision at least once each year.