Skip to main content
Find a Lawyer

12 U.S.C. § 2265a - U.S. Code - Unannotated Title 12. Banks and Banking § 2265a. Removal and prohibition authority; industry-wide prohibition

Current as of January 01, 2024 | Updated by Findlaw Staff

(a)Definition of person

In this section, the term “person” means--

(1) an individual; and

(2) in the case of a specific determination by the Farm Credit Administration, a legal entity.

(b)Industry-wide prohibition

Except as provided in subsection (c), any person who, pursuant to an order issued under section 2264 or 2265 of this title, has been removed or suspended from office at a System institution or prohibited from participating in the conduct of the affairs of a System institution shall not, during the period of effectiveness of the order, continue or commence to hold any office in, or participate in any manner in the conduct of the affairs of--

(1) any insured depository institution subject to section 1818(e)(7)(A)(i) of this title;

(2) any institution subject to section 1818(e)(7)(A)(ii) of this title;

(3) any insured credit union under the Federal Credit Union Act (12 U.S.C. 1751 et seq.);

(4) any Federal home loan bank;

(5) any institution chartered under this chapter;

(6) any appropriate Federal financial institutions regulatory agency (as defined in section 1818(e)(7)(D) of this title);

(7) the Federal Housing Finance Agency; or

(8) the Farm Credit Administration.

(c)Exception for institution-affiliated party that receives written consent

(1)In general

(A)Affiliated parties

If, on or after the date on which an order described in subsection (b) is issued that removes or suspends an institution-affiliated party from office at a System institution or prohibits an institution-affiliated party from participating in the conduct of the affairs of a System institution, that party receives written consent described in subparagraph (B), subsection (b) shall not apply to that party--

(i) to the extent provided in the written consent received; and

(ii) with respect to the institution described in each written consent.

(B)Written consent described

The written consent referred to in subparagraph (A) is written consent received from--

(i) the Farm Credit Administration; and

(ii) each appropriate Federal financial institutions regulatory agency (as defined in section 1818(e)(7)(D) of this title) of the applicable institution described in any of paragraphs (1), (2), (3), or (4) of subsection (b) with respect to which the party proposes to be become  1 an affiliated party.

(2)Disclosure

Any agency described in clause (i) or (ii) of paragraph (1)(B) that provides a written consent under that paragraph shall--

(A) report the action to the Farm Credit Administration; and

(B) publicly disclose the action.

(3)Consultation between agencies

The agencies described in clauses (i) and (ii) of paragraph (1)(B) shall consult with each other before providing any written consent under that paragraph.

(d)Violations

A violation of subsection (b) by any person who is subject to an order described in that subsection shall be treated as violation  2 of that order.

1 So in original.
2 So in original. Probably should be preceded by “a”.
Previous Part of Code Next Part of Code
Back to Chapter List

Cite this article: FindLaw.com - 12 U.S.C. § 2265a - U.S. Code - Unannotated Title 12. Banks and Banking § 2265a. Removal and prohibition authority; industry-wide prohibition - last updated January 01, 2024 | https://codes.findlaw.com/us/title-12-banks-and-banking/12-usc-sect-2265a/

FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.

Was this helpful?

Welcome to FindLaw's Cases & Codes

A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw’s Learn About the Law.

Go to Learn About the Law

Latest Blog Posts

For Legal Professionals

Learn About The Law

Get help with your legal needs

FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.

Go to Learn About the Law

Need to Find an Attorney?

Search our directory by legal issue

Enter information in one or both fields (Required)

Copied to clipboard