
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: 12USC4808]

 
                       TITLE 12--BANKS AND BANKING
 
        CHAPTER 48--FINANCIAL INSTITUTIONS REGULATORY IMPROVEMENT
 
Sec. 4808. Revising regulatory requirements for transfers of all 
        types of assets with recourse
        

(a) Review and revision of regulations

                           (1) In general

        During the 180-day period beginning on September 23, 1994, each 
    appropriate Federal banking agency shall, consistent with the 
    principles of safety and soundness and the public interest--
            (A) review the agency's regulations and written policies 
        relating to transfers of assets with recourse by insured 
        depository institutions; and
            (B) in consultation with the other Federal banking agencies, 
        promulgate regulations that better reflect the exposure of an 
        insured depository institution to credit risk from transfers of 
        assets with recourse.

                      (2) Regulations required

        Before the end of the 180-day period beginning on September 23, 
    1994, each appropriate Federal banking agency shall prescribe the 
    regulations developed pursuant to paragraph (1)(B).

(b) Regulations required

                           (1) In general

        After the end of the 180-day period beginning on September 23, 
    1994, the amount of risk-based capital required to be maintained, 
    under regulations prescribed by the appropriate Federal banking 
    agency, by any insured depository institution with respect to assets 
    transferred with recourse by such institution may not exceed the 
    maximum amount of recourse for which such institution is 
    contractually liable under the recourse agreement.

               (2) Exception for safety and soundness

        The appropriate Federal banking agency may require any insured 
    depository institution to maintain risk-based capital in an amount 
    greater than the amount determined under paragraph (1), if the 
    agency determines, by regulation or order, that such higher amount 
    is necessary for safety and soundness reasons.

(c) Coordination with section 1835(b) of this title

    This section shall not be construed as superseding the applicability 
of section 1835(b) of this title.

(d) Definitions

    For purposes of this section, the terms ``appropriate Federal 
banking agency'', ``Federal banking agency'', and ``insured depository 
institution'' have the same meanings as in section 1813 of this title.

(Pub. L. 103-325, title III, Sec. 350, Sept. 23, 1994, 108 Stat. 2242.)
