Page:Emergency Economic Stabilization Act of 2008.djvu/35

 0:k4Y0k4Y008 C04.xaxd 1 2 3 35 eluding auctions or reverse auctions, where appro- priate. (c) DIRECT PURCHSES.--If the Secretary deter- 4 mines that use of a market mechanism under subsection 5 (b) is not feasible or appropriate, and the pm?oses of' the 6 Act are best met through direct purchases from an indi- 7 vidual financial institution, the Secretroy shall pursue ad- 8 ditional measures to ensure that prices paid for assets are 9 reasonable and reflect the underlying value of the asset. 10 (d) CONDITIONS ON PURCHASE AUTHORITY FOR ll WARRANTS AND DEBT INSTRUMENTS.-- 12 13 14 15 16 17 18 19 20 21 22 23 24 (1) IN GENERaL.--The SecretaT may not pur- chase, or make any commitment to purchase, any troubled asset under the authority of' this Act, unless the Secretroy receives from the financial institution from which such assets are to be purchased- (A) in the case of' a financial institution that is regSstered (or approved for regSstration) and traded on a national securities exchange or a national securities association regSstered pur- suant to section 15A of' the Securities Exchange Act of' 1934 (15 U.S.C. 780-3), a warrant gSv- ing the right to the SecretaT to receive non- voting common stock or preferred stock in such

�