Page:United States Statutes at Large Volume 48 Part 1.djvu/1286

 1260 73d C ONGRESS. SESS. II. CH. 847. JUNE 27, 1934 . Appointment of cor- (b) In the event that a Federal savings and loan association is in tor por ,r ece eciverer, conserva- default, the Corporation shall be appointed as conservator or receiver Power s. and is authorized as such (1) to take over the assets of and operate such association, (2) to take such action as may be necessary to put it in a sound and solvent condition, (3) to merge it with another insured institution, (4) to organize a new Federal savings and loan association to take over its assets, or (5) to proceed to liquidate its assets in an orderly manner, whichever shall appear to be to the best interests of the insured members of the association in default ; and in any event the Corporation shall pay the insurance as provided in Distribution of net proceeds. section 405 and all valid credit obligations of such association. The . net proceeds which may arise from the orderly liquidation of the ass ets of a ny s uch asso ciat ion, aft er r eimb urse ment of the Corp ora- tion of all amount s paid by it f or suc h insur ance, s hall b e distr ibuted pro rat a am ong the shar ehol ders of the asso ciat ion. custodian of Cor por ati on as insur ed (c) In the event any insured institution other than a Federal institution other tban savings and loan association is in default, the Corporation shall have savings and loan asso- ciati on. authority to act as conservator, receiver, or other legal custodian of such insured institution, and the services of the Corporation are hereby tendered to the court or other public authority having the Powers upon ap- power of appointment. If the Corporation is so appointed, it shall p ointm ent. have the same powers and duties with respect to the insured institu- tion in default as are conferred upon it under subsection (b) with Powers wh en not respect to Federal savings and loan associations. If the Corporation a ppoin ted' is not so appointed it shall pay the insurance as provided in section 405, and shall have power (1) to bid for the assets of the insured institution in default, (2) to negotiate for the merger of the insured institution or the transfer of its assets, or (3) to make any other disposition of the matter as it may deem in the best interests of all con cer ned. (d) In connection with the liquidation of insured institutions in default, the Corporation shall have power to carry on the business of and to collect all obligations to the insured institutions, to settle, compromise, or release claims in favor of or against the insured institutions, and to do all other things that may be necessary in connection therewith, subject only to the regulation of the court or other public authority having jurisdiction over the matter. Annual report of cor- poration. (e) The Corporation shall make an annual report to the Congress , of the operation by it of insured institutions in default, and shall keep a complete record of the administration by it of the assets of such insured institutions which shall be subject to inspection by any officer of any such insured institution or by any other interested party, and, if any such insured institution is operated under the laws of any State, Territory, or possession of the United States, or of the Di strict of Col umbia, such a nnual report s hall also be filed with the public authority which has jurisdiction over the insure d insti tution. Termination of in- TE RMI NATI ON OF I NSUR ANCE suran ce. At op tion of insu red insti tution SEe. 407 . (a) Any institution which is insured under the provi- s sions of this title may, up on not less t han ninety day s' written Notice. notice to the Corporation, terminate its status as an insured insti- tution upon a majority vote of its shareholders entitled to vote, or upon a majority vote of its board of directors or other similar governing body which is authorized to act for the institution. Rights to terminate. Thereupon its status as an insured insti tution shall i mmediately cease and all rights of its insured members to insurance under this