Page:United States Statutes at Large Volume 103 Part 1.djvu/483

 PUBLIC LAW 101-73 —AUG. 9, 1989 103 STAT. 455 (A) Section 8(f) of the Federal Deposit Insurance Act (12 U.S.C. 1818(f)) is amended— (i) by striking out "(e)(4)" and inserting in lieu thereof "(e)(3)"; and (ii) by striking out "(e)(1), (e)(2), or (e)(3)" and insert- ing in lieu thereof "(e)(1) or (e)(2)". (B) Section 8(g)(l) of the Federal Deposit Insurance Act (12 U.S.C. 1818(g)(l)) is amended by striking out "(1), (2), (3), or (4)" and inserting in lieu thereof "(1), (2), or (3)". (b) CREDIT UNIONS INSURED BY THE NCUA.— (1) IN GENERAL.— Section 206(g)(l) of the Federal Credit Union Act (12 U.S.C. 1786(g)(l)) is amended to read as follows: " (g) REMOVAL AND PROHIBITION AUTHORITY.— ^ "(1) AUTHORITY TO ISSUE ORDER.— Whenever the Board deter- mines that— "(A) any institution-affiliated party has, directly or in- directly— "(i) violated— "(I) any law or regulation; "(II) any cease-and-desist order which has • become final; "(III) any condition imposed in writing by the Board in connection with the grant of any applica- ' tion or other request by such credit union; or "(IV) any written agreement between such credit union and the Board; "(ii) engaged or participated in any unsafe or un- sound practice in connection with any insured credit union or business institution; or "(iii) committed or engaged in any act, omission, or practice which constitutes a breach of such party's fiduciary duty; "(B) by reason of the violation, practice, or breach de- scribed in any clause of subparagraph (A)— "(i) such insured credit union or business institution haB suffered or will probably suffer financial loss or other damage; "(ii) the interests of the insured credit union's mem- bers have been or could be prejudiced; or "(iii) such party has received financial gain or other benefit by reason of such violation, practice or breach; and "(C) such violation, practice, or breach— "(i) involves personal dishonesty on the part of such party; or "(ii) demonstrates such party's unfitness to serve as a director or officer of, or to otherwise participate in the conduct of the affairs of, an insured credit union, the Board may serve upon such party a written notice of the Board's intention to remove such party from office or to prohibit any further participation, by such party, in any manner in the conduct of the affairs of any insured credit union.". (2) TEMPORARY SUSPENSION OR PROHIBITION. —Section 206(g) of the Federal Credit Union Act (12 U.S.C. 1786(g)) is amended by striking out paragraphs (2) and (4), by redesignating paragraphs (3) and (5) as paragraphs (2) and (4), respectively, and by insert-

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