Page:United States Statutes at Large Volume 98 Part 1.djvu/968

 98 STAT. 920

PUBLIC LAW 98-369—JULY 18, 1984 "(v) other investments permitted under regulations. "(C) EXCEPTION FOR HOUSING PROGRAMS.—

42 USC 14371.

"(i) IN GENERAL.—Except as provided in clause (ii), paragraph (1) shall not apply to— "(I) an obligation described in subsection (b)(4)(A) or a housing program obligation under section 11(b) of the United States Housing Act of 1937, "(II) a qualified mortgage bond (as defined in section 103A(c)(l)), or "(III) a qualified veterans' mortgage bond (as defined in section 103A(c)(3)). "(ii)

EXCEPTION NOT TO APPLY WHERE OBLIGATION

INVESTED IN FEDERALLY INSURED DEPOSITS OR ACCOUNTS.—Clause (i) shall not apply to any obligation which is federally guaranteed within the meaning of paragraph (2)(B)(ii). "(D)

LOANS TO, OR GUARANTEES BY, FINANCIAL INSTITU-

TIONS.—Except as provided in paragraph (2)(B)(ii), an obligation which is issued as part of an issue shall not be treated as federally guaranteed merely by reeison of the fact that the proceeds of such issue are used in making loans to a financial institution or there is a guarantee by a financial institution. "(4) DEFINITIONS.—For purposes of this subsection— "(A) TREATMENT OF CERTAIN ENTITIES WITH AUTHORITY TO

BORROW FROM UNITED STATES.—To the extent provided in regulations prescribed by the Secretary, any entity with statutory authority to borrow from the United States shall be treated as an instrumentality of the United States. Except in the case of a private activity bond (as defined in subsection (n)(7)), nothing in the preceding sentence shall be construed as treating the District of Columbia or any possession of the United States as an instrumentality of the United States. "(B) FEDERALLY INSURED DEPOSIT OR ACCOUNT.—The term 'federeilly insured deposit or account' means any deposit or account in a financial institution to the extent such deposit or account is insured under Federal law by the Federal Deposit Insurance Corporation, the Federal Savings and Loan Insurance Corporation, the National Credit Union Administration, or any similar federally chartered corporation. "(5) CERTAIN OBLIGATIONS SUBSIDIZED UNDER ENERGY PROGRAM.—

"(A) IN GENERAL.—An obligation to which this paragraph applies shall be treated as an obligation not described in subsection (a) if the payment of the principal or interest with respect to such obligation is to be made (in whole or in part) under a program of the United States, a State, or a political subdivision of a State the principal purpose of which is to encourage the production or conservation of energy. "(B)

OBLIGATIONS TO WHICH PARAGRAPH APPLIES.—This

paragraph shall apply to any obligations to which paragraph (1) of subsection (b) does not apply by reason of— "(i) subsection (b)(4)(H) (relating to qualified hydroelectric generating facilities), or

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