Page:United States Statutes at Large Volume 80 Part 1.djvu/128

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PUBLIC LAW 89-377-MAR. 28, 1966

[80 STAT.

Public Law 89-377 March 28, 1966 [H. R. 80 30]

AN ACT To provide for the discontinuance of the Postal Savings System, and for other purposes.

Be it enacted by the Senate and House of Representatives of the sy^t'e^m^^ ^^^i^g^ United States of America in Congress assembled, That title 39, United Discontinuance. States Codc, is amended by adding the following new sections to 74 Stat. 68 2. chapter 85 thereof:

R e g u l a t i o n s of Board of T r u s t e e s,

Annual report.

"§5225. Discontinuance of Postal Savings System " (a) The closing date for the Postal Savings System is the thirtieth day immediately following the date of the enactment of this Act. On and after the closing date no deposits shall be accepted in existing postal savings account and no new postal savings account shall be opened. After the closing date the Board of Trustees of the Postal Savings System shall not be required to maintain the 5 per centum reserve of postal savings funds otherwise required to be maintained by section 5214 of this title nor to apportion deposits in banks in accordance with sections 5215 and 5219 of this title. "(b) Interest on deposits in the Postal Savings System shall cease to accrue on the anniversary dates of the respective certificates occurring in the twelve-month period starting with the closing date. "§5226. Liquidation of accounts " (a) During the closing period beginning on the closing date and ending on the last day of the first fiscal year which shall begin after such closing date, the Postmaster General is authorized and directed, to the extent practicable, to terminate the business, settle and pay the accounts, liquidate the assets, discharge the obligations, and otherwise wind up the affairs of the Postal Savings System, in accordance with such rules, regulations, and authority as may be prescribed by the Board of Trustees of the Postal Savings System. "(b) In the settlement and payment of any Postal Savings account, including all interest accrued thereon, which is maintained in the name of the deceased, presumed dead or incompetent depositor, or which is determined payable to— "(1) a minor, " (2) a person adjudicated mentally incompetent or under other legal disability, or "(3) the estate of a person who is deceased or presumed dead, the payment of such account, or any appropriate share thereof, may be made to a legal representative of the depositor, or to a legal representative of the person or property of such claimant. Where there are no outstanding guardianship or administration proceedings on the person or estate of the depositor, or the person or estate of such claimant, the Board of Trustees of the Postal Savings System shall determine the person who is otherwise qualified to receive payment according to theJ laws of descent and distribution of the State where the account is held. Payment made under this subsection shall be a bar to recovery by any other claimant of amounts so paid. " (c) Until the last day of the first fiscal year which shall begin after the closing date for the Postal Savings System, the Postmaster General shall continue to cover into the postal revenues the excess of interest and profit accruing from the deposit or investment of postal savings funds after the payment of interest due to depositors m the Postal Savings System. " (d) The annual report of the Post Office Department for the fiscal year which includes the closing date shall include a statement with

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