Page:United States Statutes at Large Volume 102 Part 4.djvu/687

 PUBLIC LAW 100-647—NOV. 10, 1988

102 STAT. 3657

"(iv) In the case of a financial institution to which section 585 applies— "(I) the term 'title 11 or similar case' means only a case in which the applicable authority (which shall be treated as the court in such case) makes the certification described in subclause (II), and "(II) clause (ii) shall apply to such institution, except that for purposes of clause (iiXHI), the applicable authority must certify that the grounds set forth in such clause (modified in such manner as the Secretary determines necessary because such institution is not an institution to which section 593 applies) exist with respect to such transferor or will exist in the near future in the absence of action by the applicable authority. For purposes of this clause, the term 'applicable authority' means the Comptroller of the Currency or the Federal Deposit Insurance Corporation, or if neither has the supervisory authority with respect to the transfer, the equivalent State authority. "(v) For purposes of this subparagraph, in applying section 593, the determination as to whether a corporation is a domestic building and loan association shall be made without regard to section 7701(a)(19XC)." (B) Subclause (I) of section 382(l)(5)(F)(iii) of the 1986 Code is amended by inserting "(as modified by section 368(a)(3)(D)(iv))" after "section 368(a)(3)(D)(ii)". (C)(i) The amendment made by subparagraph (A) shall 26 USC 368 note. apply to acquisitions after the date of the enactment of this Act and before January 1, 1990. (ii) The amendment made by subparagraph (B) shall 26 USC 382 note. apply to any ownership change occurring after the date of the enactment of this Act and before January 1, 1990. (2) ASSISTANCE PAYMENTS.—

(A) Section 597(a) of the 1986 Code (as in effect before the amendments made by section 904(b) of the Reform Act) is amended by adding at the end thereof the following new sentence: "Gross income of a bank does not include any amount of money or other property received from the Federal Deposit Insurance Corporation pursuant to sections 13(c), 15(c)(l), and 15(c)(2) of the Federal Deposit Insurance Act (12 U.S.C. 1821(f) and 1823 (c)(1) and (c)(2)), regardless of whether any note or other instrument is issued in exchange therefor." (B) Section 597(b) of the 1986 Code, as amended by subsection (c)(D, is amended by adding at the end thereof the following new subsection: "(d) DOMESTIC BUILDING AND LOAN ASSOCIATION.—For purposes of

this section, the term 'domestic building and loan association' has the meaning given such term by section 7701(a)(19) without regard to subparagraph (C) thereof." (C) Section 5970)) of the 1986 Code (as so in effect) is amended by inserting "or bank" after "association". i (D)(i) The heading for section 597 of the 1986 Code (as so in effect) is amended by inserting "or FDIC" after "FSLIC".

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