
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: 12USC2268]

 
                       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. 2268. Penalty


(a) Forfeiture and payment; compromise, modification, or remitting by 
        Farm Credit Administration; assessment and collection by written 
        notice

    Any institution in the System that violates or any officer, 
director, employee, agent, or other person participating in the conduct 
of the affairs of such an institution who violates the terms of any 
order that has become final and was issued under section 2261 or 2262 of 
this title, shall forfeit and pay a civil penalty of not more than 
$1,000 per day for each day during which such violation continues. Any 
such institution or person who violates any provision of this chapter or 
any regulation issued under this chapter shall forfeit and pay a civil 
penalty of not more than $500 per day for each day during which such 
violation continues. Notwithstanding the preceding sentences, the Farm 
Credit Administration may, in its discretion, compromise, modify, or 
remit any civil money penalty that is subject to imposition or has been 
imposed under such authority. The penalty may be assessed and collected 
by the Farm Credit Administration by written notice.

(b) Factors determining amount

    Before determining whether to assess a civil money penalty and 
determining the amount of such penalty, the Farm Credit Administration 
shall notify the institution or person to be assessed of the violation 
or violations alleged to have occurred or to be occurring, and shall 
solicit the views of the institution or person regarding the imposition 
of such penalty. In determining the amount of the penalty, the Farm 
Credit Administration shall take into account the appropriateness of the 
penalty with respect to the size of financial resources and good faith 
of the System institution or person charged, the gravity of the 
violation, the history of previous violations, and such other matters as 
justice may require.

(c) Notice and hearing; final orders

    The System institution or person assessed shall be afforded an 
opportunity for a hearing by the Farm Credit Administration, upon 
request made within ten days after issuance of the notice of assessment. 
In such hearing all issues shall be determined on the record pursuant to 
section 554 of title 5. The Farm Credit Administration determination 
shall be made by final order which may be reviewed only as provided in 
subsection (d) of this section. If no hearing is requested as herein 
provided, the assessment shall constitute a final and unappealable 
order.

(d) Judicial review

    Any System institution or person against whom an order imposing a 
civil money penalty has been entered after a Farm Credit Administration 
hearing under this section may obtain review by the United States court 
of appeals for the circuit in which the home office of the System 
institution is located, or the United States Court of Appeals for the 
District of Columbia Circuit, by filing a notice of appeal in such court 
within twenty days after the service of such order, and simultaneously 
sending a copy of such notice by registered or certified mail to the 
Farm Credit Administration. The Farm Credit Administration shall 
promptly certify and file in such Court the record upon which the 
penalty was imposed, as provided in section 2112 of title 28. Final 
orders of the Farm Credit Administration issued under subsection (c) of 
this section shall be reviewable under chapter 7 of title 5.

(e) Action by Attorney General to recover amount assessed

    If any System institution or person fails to pay an assessment after 
it has become a final and unappealable order, or after the court of 
appeals has entered final judgment in favor of the Farm Credit 
Administration, the Farm Credit Administration shall refer the matter to 
the Attorney General, who shall recover the amount assessed by action in 
the appropriate United States district court. In such action, the 
validity and appropriateness of the final order imposing the penalty 
shall not be subject to review.

(f) Rules and regulations

    The Farm Credit Administration shall promulgate regulations 
establishing procedures necessary to implement section 2267 of this 
title and this section.

(g) Payment into Treasury

    All penalties collected under authority of this section shall be 
covered into the Treasury of the United States.

(h) Directives as final orders

    For purposes of this section, any directive issued under section 
2154(b)(2), 2154a(e), or 2202a(i) of this title shall be treated as an 
order that has become final and was issued under section 2261 of this 
title.

(Pub. L. 92-181, title V, Sec. 5.32, as added Pub. L. 99-205, title II, 
Sec. 204, Dec. 23, 1985, 99 Stat. 1700; amended Pub. L. 100-233, title 
IV, Sec. 423, title VIII, Secs. 804(a)(2), 805(dd), Jan. 6, 1988, 101 
Stat. 1656, 1714, 1717.)


                               Amendments

    1988--Subsec. (a). Pub. L. 100-233, Sec. 423(a), substituted 
``continues. Any such institution or person who violates any provision 
of this chapter or any regulation issued under this chapter shall 
forfeit and pay a civil penalty of not more than $500 per day for each 
day during which such violation continues. Notwithstanding the preceding 
sentences,'' for ``continues, but''.
    Subsec. (b). Pub. L. 100-233, Sec. 423(b), inserted ``Before 
determining whether to assess a civil money penalty and determining the 
amount of such penalty, the Farm Credit Administration shall notify the 
institution or person to be assessed of the violation or violations 
alleged to have occurred or to be occurring, and shall solicit the views 
of the institution or person regarding the imposition of such penalty.''
    Subsec. (d). Pub. L. 100-233, Sec. 423(c), substituted ``Final 
orders of the Farm Credit Administration issued under subsection (c) of 
this section shall be reviewable under chapter 7 of title 5'' for ``The 
findings of the Farm Credit Administration shall be set aside if found 
to be unsupported by substantial evidence as provided by section 
706(2)(E) of title 5''.
    Subsec. (f). Pub. L. 100-233, Sec. 805(dd), substituted ``section 
2267 of this title and this section'' for ``sections 2267 and 2268 of 
this title''.
    Subsec. (h). Pub. L. 100-233, Sec. 804(a)(2), added subsec. (h).


                             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.
