Page:United States Statutes at Large Volume 113 Part 2.djvu/347

 PUBLIC LAW 106-102—NOV. 12, 1999 113 STAT. 1367 an investment company registered under the Investment Company Act of 1940, or an investment adviser registered by or on behalf of either the Securities and Exchange Commission or any State; and "(B) the State insurance authority for the insurance, company or the Securities and Exchange Commission for the registered broker, dealer, investment adviser (solely with respect to investment advisory activities or activities incidental thereto), or investment company, as the case may be, determines in writing sent to the holding company and the Board that the holding company shall not provide such funds or assets because such action would have a material adverse effect on the financial condition of the insurance company or the broker, dealer, investment company, or investment adviser, as the case may be. "(2) NOTICE TO STATE INSURANCE AUTHORITY OR SEC REQUIRED. —I f the Board requires a bank holding company, or an affiliate of a bank holding company, that is an insurance ,. company or a broker, dealer, investment company, or invest- . ment adviser described in paragraph (1)(A) to provide funds or assets to a depository institution subsidiary of the holding company pursuant to any regulation, order, or other action of the Board referred to in paragraph (1), the Board shall promptly notify the State insurance authority for the insurance company, the Securities and Exchange Commission, or State ,. securities regulator, as the case may be, of such requirement. "(3) DIVESTITURE IN LIEU OF OTHER ACTION. — If the Board receives a notice described in paragraph (1)(B) from a State insurance authority or the Securities and Exchange Commission with regard to a bank holding company or affiliate referred to in that paragraph, the Board may order the bank holding company to divest the depository institution not later than 180 days after receiving the notice, or such longer period as the Board determines consistent with the safe and sound operation of the depository institution. "(4) CONDITIONS BEFORE DIVESTITURE.— During the period , beginning on the date an order to divest is issued by the Board under paragraph (3) to a bank holding company and ending on the date the divestiture is completed, the Board may impose any conditions or restrictions on the holding companj^s ownership or operation of the depository institution, including restricting or prohibiting transactions between the depository institution and any affiliate of the institution, as are appropriate under the circumstances. "(5) RULE OF CONSTRUCTION.— No provision of this subsection may be construed as limiting or otherwise affecting, except to the extent specifically provided in this subsection, the regulatory authority, including the scope of the authority, of any Federal agency or department with regard to any entity that is within the jurisdiction of such agency or department.", (b) SUBSIDIARIES OF DEPOSITORY INSTITUTIONS.— The Federal Deposit Insurance Act (12 U.S.C. 1811 et seq.) is amended by adding at the end the following new section:

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