
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 12USC2262]

 
                       TITLE 12--BANKS AND BANKING
 
                     CHAPTER 23--FARM CREDIT SYSTEM
 
          SUBCHAPTER V--FARM CREDIT ADMINISTRATION ORGANIZATION
 
        Part C--Enforcement Powers of Farm Credit Administration
 
Sec. 2262. Temporary cease and desist orders

    (a) Whenever the Farm Credit Administration shall determine that the 
violation or threatened violation or the unsafe or unsound practice or 
practices, specified in the notice of charges served upon the 
institution or any director, officer, employee, agent, or other person 
participating in the conduct of the affairs of such institution under 
section 2261 of this title, or the continuation thereof, is likely to 
cause insolvency or substantial dissipation of assets or earnings of the 
institution, or is likely to seriously weaken the condition of the 
institution or otherwise seriously prejudice the interests of the 
investors in Farm Credit System obligations or shareholders in the 
institution prior to the completion of the proceedings conducted under 
section 2261 of this title, the Farm Credit Administration may issue a 
temporary order requiring the institution or such director, officer, 
employee, agent, or other person to cease and desist from any such 
violation or practice and to take affirmative action to prevent such 
insolvency, dissipation, condition, or prejudice pending completion of 
such proceedings. Such order shall become effective upon service upon 
the institution or such director, officer, employee, agent, or other 
person participating in the conduct of the affairs of such institution 
and, unless set aside, limited, or suspended by a court in proceedings 
authorized by subsection (b) of this section, shall remain effective and 
enforceable pending the completion of the administrative proceedings 
pursuant to such notice and until such time as the Farm Credit 
Administration shall dismiss the charges specified in such notice, or if 
a cease and desist order is issued against the institution or such 
director, officer, employee, agent, or other person, until effective 
date of such order.
    (b) Within ten days after the institution concerned or any director, 
officer, employee, agent, or other person participating in the conduct 
of the affairs of such institution has been served with a temporary 
cease and desist order, the institution or such director, officer, 
employee, agent, or other person may apply to the United States district 
court for the judicial district in which the home office of the 
institution is located, or the United States district court for the 
District of Columbia, for an injunction setting aside, limiting, or 
suspending the enforcement, operation, or effectiveness of such order 
pending the completion of the administrative proceedings pursuant to the 
notice of charges served upon the institution or such director, officer, 
employee, agent, or other person under section 2261 of this title, and 
such court shall have jurisdiction to issue such injunction.

(Pub. L. 92-181, title V, Sec. 5.26, as added Pub. L. 99-205, title II, 
Sec. 204, Dec. 23, 1985, 99 Stat. 1695.)


                            Prior Provisions

    A prior section 5.26 of Pub. L. 92-181 was renumbered section 5.40 
and is set out in part as notes under section 2001 of this title.


                             Effective Date

    Section effective thirty days after Dec. 23, 1985, see section 401 
of Pub. L. 99-205, set out as an Effective Date of 1985 Amendment note 
under section 2001 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 2263, 2268 of this title.
