Page:United States Statutes at Large Volume 103 Part 1.djvu/252

 103 STAT. 224 PUBLIC LAW 101-73 —AUG. 9, 1989 "(i) existed with respect to such institution at the time— "(I) the conservator, receiver, or other legal custodian was appointed; or "(II) such institution was closed; or "(ii) exist at any time— - ' "(I) during the appointment of the conservator, receiver, or other legal custodian; or ^ "(II) while such institution is closed. " (5) GROUNDS FOR PARAGRAPH (4) APPOINTMENT.—The grounds referred to in paragraph (4)(B) for the appointment of the Corporation as conservator or receiver for any insured State depository institution are as follows: "(A) Insolvency in that the assets of the institution are less than the institution's obligations to its creditors and others, including members of the institution. ^ "(B) Substantial dissipation of assets or earnings due to— "(i) any violation of any law or regulation; or ' "(ii) any unsafe or unsound practice. "(C) An unsafe or unsound condition to transact business, ' including substantially insufficient capital or otherwise. "(D) Any willful violation of a cease-and-desist order which has become final. "(E) Any concealment of books, papers, records, or assets of the institution or any refusal to submit books, papers, records, or affairs of the institution for inspection to any / examiner or to any lawful agent of the appropriate Federal banking agency or State bank or savings association super- visor. "(F) The likelihood that the institution will not be able to ' meet the demands of its depositors or pay its obligations in the normal course of business. < "(G) The incurrence or likely incurrence of losses by the institution that will deplete all or substantially all of its capital with no reasonable prospect for the replenishment of the capital of the institution without Federal assistance. "(H) Any violation of any law or regulation, or an unsafe or unsound practice or condition which is likely to cause insolvency or substantial dissipation of assets or earnings, or is likely to weaken the condition of the institution or otherwise seriously prejudice the interests of its depositors. " (6) APPOINTMENT BY DIRECTOR OF THE OFFICE OF THRIFT SUPERVISION. — "(A) CONSERVATOR. — The Corporation or the Resolution Trust Corporation may, at the discretion of the Director of the Office of Thrift Supervision, be appointed conservator and the Corporation may accept any such appointment. "(B) RECEIVER. —Whenever the Director of the Office of Thrift Supervision appoints a receiver under the provisions ^ of section 5(d)(2)(C) of the Home Owner's Loan Act for the purpose of liquidation or winding up any savings associa- tion's affairs— "(i) during the 3-year period beginning on the date of the enactment of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989, the Resolution Trust Corporation shall be appointed; and

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