Page:United States Statutes at Large Volume 122.djvu/2797

 12 2 STA T . 2 7 7 4PUBLIC LA W 11 0– 2 89—J UL Y3 0, 2008 boardsh a l l ve s tin andbee x er c isable b y the director or directors on the board not so s u s p ended , until such ti m e as there shall be a q uorum o f the board of directors .‘ ‘ (B)AP P OINTME NTO F TEMPO RA R YD IRE C TOR S . —I f all of the directors of a re g ulated entity are suspended pursu - ant to this section, the D irector shall appoint persons to serve temporarily as directors pending the termination of such suspensions, or until such time as those w ho have been suspended cease to be directors of the regulated entity and their respective successors ta k e office. ‘‘( 4 ) H EARIN G REGARDING CONTIN U ED PARTICIPATION.— ‘‘(A) IN GENERA L .— N ot later than 30 days after the date of service of any notice of suspension or order of removal issued pursuant to paragraph ( 1 )or( 2 ), the entity- affiliated party may request in writing an opportunity to appear before the Director to show that the continued service or participation in the conduct of the affairs of the regulated entity by such party does not, or is not likely to, pose a threat to the interests of the regulated entity, or threaten to impair public confidence in the regu- lated entity. ‘‘(B) T IMING AND FORM OF H EARING.— U pon receipt of a request for a hearing under subparagraph (A), the Director shall fix a time (not later than 30 days after the date of receipt of such request, unless extended at the request of such party) and place at which the entity- affiliated party may appear, personally or through counsel, before the Director or 1 or more designated employees of the Director to submit written materials (or, at the discretion of the Director, oral testimony) and oral argu- ment. ‘‘( C ) DETERMINATION.—Not later than 6 0 days after the date of a hearing under subparagraph (B), the Director shall notify the entity-affiliated party whether the suspen- sion or prohibition from participation in any manner in the conduct of the affairs of the regulated entity will be continued, terminated, or otherwise modified, or whether the order removing such party from office or prohibiting such party from further participation in any manner in the conduct of the affairs of the regulated entity will be rescinded or otherwise modified. S uch notification shall contain a statement of the basis for any adverse decision of the Director. ‘‘( 5 ) R ULES.—The Director is authori z ed to prescribe such rules as may be necessary to carry out this subsection. ’ ’. (b) CONFORMING AMENDMENTS.— (1) SAFETY AND SOUNDNESS ACT.—Subtitle C of the F ederal Housing E nterprises Financial Safety and Soundness Act of 1 9 92 (12 U.S.C. 4501 et seq.) is amended— (A) in section 131 7 (f), by striking ‘‘section 1379B’’ and inserting ‘‘section 1379D’’ (B) in section 1373(a)— (i) in paragraph (1), by striking ‘‘or 1376(c)’’ and inserting ‘‘, 1376(c), or 1377’’; (ii) in paragraph (2), by inserting ‘‘or 1377’’ after’’ 1371’’; and 12USC463 3 . 12USC4 5 1 7 . Deadlin e. Not i f i c ation.

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