Page:United States Statutes at Large Volume 103 Part 1.djvu/229

 PUBLIC LAW 101-73—AUG. 9, 1989 103 STAT. 201 "(I) during the 1-year period beginning on the date of the enactment of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989, the savings association had tangible capital of less than 4 percent during the preceding quarter; and "(II) during the 1-year period beginning after the end of the 1-year period referred to in subclause (I), the savings association had tangible capital of less -^^- than 5 percent during the preceding quarter; and "(v) the transaction would comply with the require- ments of section 3(d) of the Bank Holding Company Act of 1956 if, at the time of such transaction, the savings association were a State bank which the bank holding company was applying to acquire. "(F) ALLOCATION OF COSTS IN EVENT OF DEFAULT. —I f any subsidiary bank referred to in subparagraph (A) is in de- fault or danger of default at any time before this paragraph ceases to apply, any loss incurred by the Corporation shall be allocated between the Bank Insurance Fund and the Savings Association Insurance Fund, in amounts reflecting the amount of insured deposits of such bank subsidiary (other than the adjusted attributable deposit amount) which is insured by the Bank Insurance Fund and the adjusted attributable deposit amount which is insured by the Savings Association Insurance Fund pursuant to subparagraph (B)(iii). " (G) SUBSEQUENT APPROVAL OF CONVERSION TRANS- ACTION.—T his paragraph shall cease to apply if— "(i) after the end of the 5-year period referred to in paragraph (2)(A), the Corporation approves an applica- tion by the bank described in subparagraph (A) to treat the transaction described in subparagraph (A) as a conversion transaction; and "(ii) such hank pays the amount of any exit and entrance fee assessed by the Corporation under para- graph (2)(E) with respect to such transaction. " (e) LLABILTTY OF COMMONLY CONTROLLED DEPOSITORY INSTITU- TIONS. — "(1) IN GENERAL. — "(A) LIABILITY ESTABLISHED. —Any insured depository institution shall be liable for any loss incurred by the I Corporation, or any loss which the Corporation reasonably anticipates incurring, after the date of the enactment of the Financisd Institutions Reform, Recovery, and Enforcement Act of 1989 in connection with— "(i) the default of a commonly controlled insured depository institution; or '(ii) any assistance provided by the Corporation to any commonly controlled insured depository institution in danger of default. "(B) PAYMENT UPON NOTICE. —An insured depository institution shall pay the amount of any liability to the Corporation under subparagraph (A) upon receipt of writ- ten notice by the (Corporation in accordance with this subsection. " (C) NOTICE REQUIRED TO BE PROVIDED WITHIN 2 YEARS OF LOSS. —No insured depository institution shall be liable to

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