12 U.S.C. § 5386 — Mandatory terms and conditions for all orderly liquidation actions
submitted 16 years ago by Pub. L. 111-203 to r/title-12-BANKS-AND-BANKING · 183 words · no verdicts yet
A translation hasn’t been published for this section yet. The official text below is complete and authoritative.
In taking action under this subchapter, the Corporation shall—
determine that such action is necessary for purposes of the financial stability of the United States, and not for the purpose of preserving the covered financial company*;
ensure that the shareholders of a covered financial company* do not receive payment until after all other claims and the Fund* are fully paid;
ensure that unsecured creditors bear losses in accordance with the priority of claim* provisions in section 5390 of this title;
ensure that management responsible for the failed condition of the covered financial company* is removed (if such management has not already been removed at the time at which the Corporation is appointed receiver);
ensure that the members of the board of directors (or body performing similar functions) responsible for the failed condition of the covered financial company are removed, if such members have not already been removed at the time the Corporation is appointed as receiver; and
not take an equity interest in or become a shareholder of any covered financial company or any covered subsidiary*.
Source credit: (Pub. L. 111–203, title II, § 206, July 21, 2010, 124 Stat. 1459.)
- 2010Enacted · Pub. L. 111-203 · 124 Stat. 1459
A history note hasn’t been published yet. The record shows enactment by Pub. L. 111-203 on 2010-07-21.
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