Page:United States Statutes at Large Volume 100 Part 2.djvu/299

 PUBLIC LAW 99-498—OCT. 17, 1986

100 STAT. 1401

Treasury may at any time sell any of the notes or other obligations acquired under this subsection. All redemptions, purchases, and sales by the Secretary of the Treasury of such notes or other obligations shall be treated as public debt transactions of the United States. Sums borrowed under the subsection shall be deposited in the fund and redemption of such notes and obligations shall be made by the Secretary from such fund. "LEGAL POWERS AND RESPONSIBILITIES

432. (a) GENERAL POWERS.—In the performance of, and with 20 USC 1082. respect to, the functions, powers, and duties, vested in him by this part, the Secretary may— "(1) prescribe such regulations as may be necessary to carry out the purposes of this part; "(2) sue and be sued in any court of record of a State having general jurisdiction or in any district court of the United States, and such district courts shall have jurisdiction of civil actions arising under this part without regard to the amount in controversy, and action instituted under this subsection by or against the Secretary shall survive notwithstanding any change in the person occupying the office of Secretary or any vacancy in that office; but no attachment, injunction, garnishment, or other similar process, mesne or final, shall be issued against the Secretary or property under the Secretary's control and nothing herein shall be construed to except litigation arising out of activities under this part from the application of sections 509, 517, 547, and 2679 of title 28 of the United States Code; "(3) include in any contract for Federal loan insurance such Contracts. terms, conditions, and covenants relating to repayment of principal and payment of interest, relating to the Secretary's obligations and rights to those of eligible lenders, and borrowers in case of default, and relating to such other matters as the Secretary determines to be necessary to assure that the purposes of this part will be achieved; and any term, condition, and covenant made pursuant to this paragraph or pursuant to any other provision of this part may be modified by the Secretary, after notice and opportunity for a hearing on the record, if the Secretary finds that the modification is necessary to protect the United States from the risk of unreasonable loss; "(4) subject to the specific limitations in this part, consent to modification, with respect to rate of interest, time of payment of ,Br,nmhm: any installment of principal and interest or any portion thereof, or any other provision of any note or other instrument evidencing a loan which has been insured by the Secretary under this part; "(5) enforce, pay, or compromise, any claim on, or arising because of, any such insurance or any guaranty agreement under section 428(c); and "(6) enforce, pay, compromise, waive, or release any right, title, claim, lien, or demand, however acquired, including any equity or any right of redemption. "SEC.

"(b)

FINANCIAL OPERATIONS RESPONSIBIUTIES.—The

Secretary

shall, with respect to the financial operations arising by reason of this part—

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