Page:United States Statutes at Large Volume 92 Part 1.djvu/317

 9 2 STAT. 2 6 3

PUBLIC LAW 95-283—MAY 21, 1978

advances recovered securities which were apportioned to customer property pursuant to section 6(d); Ante, p. 259. " (B) second, to customers of such debtor, who shall share ratably i n such customer property on the basis and to the extent of their respective net equities; " (C) t h i r d, to S I P C as subrogee for the claims of customers; " (D) fourth, to S I P C in repayment of advances made by S I P C pursuant to section 9(c)(2). Any customer property remaining after allocation in accordance with this jjaragraph shall become part of the general estate of the debtor. To the extent customer property and S I P C advances pursuant to section 9(a) are not sufficient to p a y or otherwise satisfy in full the net equity claims of customers, such customers shall be entitled, to the extent only of their respective unsatisfied net equities, to participate in the general estate as unsecured creditors. For purposes of allocating customer property under this paragraph, securities to be delivered in payment of net equity claims for securities of the same class and series of an issuer shall be valued as of the close of business on the filing date. "(2)

DELIVERY OF CUSTOMER XAME SECURITIES.—The trustee

shall deliver customer name securities to or on behalf of a customer of the debtor entitled thereto if the customer is not indebted to the debtor. I f the customer is so indebted, such customer may, with the approval of the trustee, reclaim customer name securities upon payment to the trustee, within such period of time as the trustee determines, of all indebtedness of such customer to the debtor. "(3)

RECOVERY OF TRANSFERS.—Whenever customer

property

is not sufficient to p a y in full the claims set forth in subparagraphs (A) through (D) of paragraph (1), the trustee may recover any proj^erty transferred by the debtor which, except for such transfer, would have been customer property if and to the extent that such transfer is voidable or void under the provisions of the B a n k r u p t c y Act. Such recovered property shall be treated as Post, p. 2549. customer property. For purposes of such recovery, the property so transferred shall be deemed to have been the property of the debtor and, if such transfer was made to a customer or for his benefit, such customer shall be deemed to have been a creditor, the laws of any State to the contrary notwithstanding. " (d) PURCHASE OF SECURITIES.—The trustee shall, to the extent that securities can be purchased in a fair and orderly market, purchase securities as necessary for the delivery of securities to customers in satisfaction of their claims for net equities based on securities under section 7(b)(1) and for the transfer of customer accounts under subsection (f), in order to restore the accounts of such customers as of the filing date. To the extent consistent with subsection (c), customer property and moneys advanced by S I P C may be used by the trustee to paj for securities so purchased. Moneys advanced by S I P C for each account of a separate customer may not be used to purchase securities to the extent that the aggregate value of such securities on the filing date exceeded the amount permitted to be advanced by S I P C under the provisions of section 9(a).

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