12 USC 3014 - Capitalization

U.S Code last checked for updates: Nov 22, 2024

§ 3014.

Capitalization

(a)

Subscriptions for capital; authorization of appropriations

(b)

Classes of stock; general requirements respecting rights, powers, privileges, and preferences

(c)

Class A notes; interest payments; redemption, etc.

(d)

Class B stock; ownership requirements, etc.

(e)

Class C stock; purchase, dividends, etc.

(f)

Nonvoting stock of other classifications and priorities; issuance, etc.

(g)

Voting requirements of bylaws

(1)

The bylaws of the Bank may provide for more than one vote on the basis of—

(A)

the amount of class B stock, class C stock, or both classes held, with such limitations as will encourage investments in class C stock;

(B)

the amount of patronage of the Bank; and

(C)

number of members in the cooperative.

(2)

Such bylaws shall avoid—

(A)

voting control of the Bank from becoming concentrated with the larger affluent or smaller less affluent organizations;

(B)

a disproportionately larger vote in one or more of the groups of cooperatives referred to in section 3013(d)(2)(A) of this title; and

(C)

the concentration of more than 5 per centum of the total voting control in any one class B or class C stockholder.

(h)

Acceptance by Bank of nonreturnable capital contributions

(i)

Patronage refunds

(Pub. L. 95–351, title I, § 104, Aug. 20, 1978, 92 Stat. 503; Pub. L. 97–35, title III, §§ 394(c)(1), 395(b)(2), 396(c), Aug. 13, 1981, 95 Stat. 436, 439; Pub. L. 101–206, § 2, Dec. 7, 1989, 103 Stat. 1832.)

cite as: 12 USC 3014