
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: 12USC2279d]

 
                       TITLE 12--BANKS AND BANKING
 
                     CHAPTER 23--FARM CREDIT SYSTEM
 
          SUBCHAPTER VII--RESTRUCTURING OF SYSTEM INSTITUTIONS
 
Part B--Mergers, Transfers of Assets, and Powers of Associations Within 
                               a District
 
         subpart 4--termination and dissolution of institutions
 
Sec. 2279d. Termination of System institution status


(a) Conditions

    A System institution may terminate the status of the institution as 
a System institution if--
        (1) the institution provides written notice to the Farm Credit 
    Administration Board not later than 90 days prior to the proposed 
    termination date;
        (2) the termination is approved by the Farm Credit 
    Administration Board;
        (3) the appropriate Federal or State authority grants approval 
    to charter the institution as a bank, savings and loan association, 
    or other financial institution;
        (4) the institution pays to the Farm Credit Assistance Fund, as 
    created under section 2278b-5 of this title, if the termination is 
    prior to January 1, 1992, or pays to the Farm Credit Insurance Fund, 
    if the termination is after such date, the amount by which the total 
    capital of the institution exceeds, 6 percent of the assets;
        (5) the institution pays or makes adequate provision for payment 
    of all outstanding debt obligations of the institution;
        (6) the termination is approved by a majority of the 
    stockholders of the institution voting, in person or by written 
    proxy, at a duly authorized stockholders' meeting, held prior to 
    giving notice to the Farm Credit Administration Board; and
        (7) the institution meets such other conditions as the Farm 
    Credit Administration Board by regulation considers appropriate.

(b) Effect

    On termination of its status as a System institution--
        (1) the Farm Credit Administration Board shall revoke the 
    charter of the institution; and
        (2) the institution shall no longer be an instrumentality of the 
    United States under this chapter.

(Pub. L. 92-181, title VII, Sec. 7.10, as added Pub. L. 100-233, title 
IV, Sec. 416, Jan. 6, 1988, 101 Stat. 1650.)

                  Section Referred to in Other Sections

    This section is referred to in sections 2278a-9, 2278b-6, 2279c-2 of 
this title.
