12 USC 5613 - Additional related matters

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

§ 5613.

Additional related matters

(a)

Suspension of parallel Federal Deposit Insurance Act authority

(b)

Omitted

(c)

Effect of default on an FDIC guarantee

If an insured depository institution or depository institution holding company (as those terms are defined in section 1813 of this title) participating in a program under section 5612 of this title, or any participant in a debt guarantee program established pursuant to section 1823(c)(4)(G)(i) of this title defaults on any obligation guaranteed by the Corporation after July 21, 2010, the Corporation shall—

(1)

appoint itself as receiver for the insured depository institution that defaults; and

(2)

with respect to any other participating company that is not an insured depository institution that defaults—

(A)

require—

(i)

consideration of whether a determination shall be made, as provided in section 5383 of this title to resolve the company under section 5382 of this title; and

(ii)

the company to file a petition for bankruptcy under section 301 of title 11 if the Corporation is not appointed receiver pursuant to section 5382 of this title within 30 days of the date of default; or

(B)

file a petition for involuntary bankruptcy on behalf of the company under section 303 of title 11.

(Pub. L. 111–203, title XI, § 1106, July 21, 2010, 124 Stat. 2125.)

cite as: 12 USC 5613