Page:United States Statutes at Large Volume 48 Part 1.djvu/1282

 1256 73d CONGRESS. SESS. II. CH. 847. JUNE 27, 1934 . in an insured institution and which is insured under the provisions of this title. "Default ." (d) The term "defaul t" means an ad judication or other officia l determination of a court of competent jurisdiction or other public authority pursuant to which a conservator, receiver, or other legal custodian is appointed for an insured institution for the purpose of liquidation. Federal Savings and Loan Ins urance Co r- CREATION OF FEDERAL SAVINGS AND LOAN INSURANCE CORPORATION poration. Creation. SEC. 402 . (a) There is hereby created a Federal Savings and Loan Insuran ce Corporatio n (hereinafter referred to as the " Corpora- tion "), which shall insure the accounts of institutions eligible for insurance as hereinafter provided, and shall be under the direction Composition. of a board of trustees to be composed of five members and operated by it under such bylaws, rules, and regulations as it may prescribe Board of trustees. for carrying out the purposes of this title. The members of the Federal Home Loan Bank Board shall constitute the board of trustees of the Corporation and shall serve as such without addi- Principal office . tional compensation. The principal office of the Corporation shall be in the District of Columbia. Capital stock, (b) The Corporation shall have a capital stock of $100,000,000, amount. which shall be divided into shares of $100 each. The total amount subscription. of such capital stock shall be subscribed for by the Home Owners' Loan Corp oration which is hereby aut horized and d irected to sub - Payment. scribe for such stock and make payment therefor in bonds of the Home Owners' Loan Corporation. The Corporation shall issue to Receipts to issue. the H ome Ow ners' Loan Corpor ation receip ts fo r paym ent fo r or on account of such stock, which shall serve as evidence of the owner- ship thereof, and the Home Owners' Loan Corporation shall be Dividends. entitled to the payment of dividends on such stock out of net earn- ings at a rate equal to the interest rate on such bonds, which divi- dends shall be cumulative. Corporate powers. (e) Upon the date of enactment of this Act, the Corporation shall become a body corporate, and shall be an instrumentality of the United States, and as such shall have power- ~1 To adopt and use a. corporate seal. 2 To have succ ession until dissolved by A ct of Congres s. (3) To make contracts. (4) To sue and be sued, complain and defend, in any court of law or equity, State or Federal. (5) To appoint and to fix the compensation, by its board of trustees, of such officers, employees, attorneys, or agents, as shall be necessary for the performance of its duties under this title, without regard to the provisions of any other laws relating to the employment or compensation of officers or employees of Appointments. the United States. Nothing in this title or any other provision of law shall be construed to prevent the appointment and com- pensation as an officer, attorney, or employee of the Corpora- tion, of any officer, attorney, or employee of any board, cor- poration, commission, establishment, executive department, or Assistance of other instrumentality of the Government. The Corporation, with Federal establish- ments. the consent of any board, corporation, commission, establish- ment, executive department, or instrumentality of the Govern- ment, including any field service thereof, may avail itself of the use of information, services, and facilities thereof in carry- ing out the provisions of this title. Fiscal transactions. (d) For the pu rposes of thi s title, the C orporation sh all have power to borro w money, and to issue notes, bonds, debe ntures, or