12 U.S.C. § 1723e — Repealed. Pub. L. 98–181, title I [title IV,

Page 778 TITLE 12—BANKS AND BANKING § 1723e comprises this chapter or of the Federal National Mort- gage Charter Association Act which comprises this sub- chapter. § 1723e. Repealed. Pub. L. 98–181, title I [title IV, § 483(a)], Nov. 30, 1983, 97 Stat. 1240 Section, act June 27, 1934, ch. 847, title III, § 313, as added Oct. 18, 1974, Pub. L. 93–449, § 3(a), 88 Stat. 1364; amended July 2, 1975, Pub. L. 94–50, title II §§ 201–206, 89 Stat. 254, 255; Aug. 3, 1976, Pub. L. 94–375, § 13(e)(1), 90 Stat. 1075; Oct. 12, 1977, Pub. L. 95–128, title IV, § 407(a)–(d), 91 Stat. 1137, 1138; Oct. 8, 1980, Pub. L. 96–399, title III, § 337(b), 94 Stat. 1655, related to the interim mortgage and security purchasing authority of the As- sociation. Statutory Notes and Related Subsidiaries SAVINGS PROVISION For continued application of former sections 1720 and 1723e of this title to any purchase or commitment to purchase any mortgage made pursuant to those sec- tions before Nov. 30, 1983, and the servicing and disposi- tion of any such mortgage, see section 483(b) of Pub. L. 98–181, set out as a note under section 1720 of this title. EFFECTIVE DATE Pub. L. 93–449, § 3(b), Oct. 18, 1974, 88 Stat. 1366, as amended by Pub. L. 94–50, title II, § 207, July 2, 1975, 89 Stat. 256; Pub. L. 94–375, § 13(d), Aug. 3, 1976, 90 Stat. 1075; Pub. L. 95–128, title IV, § 407(e), Oct. 12, 1977, 91 Stat. 1138; Pub. L. 95–406, § 3, Sept. 30, 1978, 92 Stat. 880; Pub. L. 95–557, title III, § 303, Oct. 31, 1978, 92 Stat. 2096; Pub. L. 96–71, § 3, Sept. 28, 1979, 93 Stat. 502; Pub. L. 96–105, § 3, Nov. 8, 1979, 93 Stat. 795; Pub. L. 96–153, title III, § 303, Dec. 21, 1979, 93 Stat. 1112; Pub. L. 96–372, § 4, Oct. 3, 1980, 94 Stat. 1364; Pub. L. 96–399, title III, § 337(a), Oct. 8, 1980, 94 Stat. 1655, which related to the effective date of former section 1723e of this title, was repealed by Pub. L. 98–181, title I [title IV, § 483(a)], Nov. 30, 1983, 97 Stat. 1240. EMERGENCY MORTGAGE PURCHASE ASSISTANCE; TRANSFER OF FUNDS Pub. L. 98–371, title I, July 18, 1984, 98 Stat. 1218, in part directed Secretary to transfer all assets acquired and liabilities incurred pursuant to this section to management and liquidating functions fund established pursuant to section 1721 of this title, and that on Oct. 1, 1984, each outstanding obligation issued by Secretary of Housing and Urban Development to Secretary of the Treasury pursuant to subsec. (c) of this section, to- gether with any promise to repay principal and unpaid interest which had accrued on each obligation, and any other term or condition specified by each such obliga- tion, was canceled. § 1723f. Repealed. Pub. L. 96–294, title V, § 533, June 30, 1980, 94 Stat. 740 Section, act June 27, 1934, ch. 847, title III, § 314, as added Nov. 9, 1978, Pub. L. 95–619, title II, § 242, 92 Stat. 3228, related to the purchase of energy conserving home improvement loans and advances of credit by the Asso- ciation under the direction of the Secretary. §§ 1723g, 1723h. Repealed. Pub. L. 102–550, title IX, § 912(i)(2), Oct. 28, 1992, 106 Stat. 3876 Section 1723g, act June 27, 1934, ch. 847, title III, § 315, as added Nov. 9, 1978, Pub. L. 95–619, title II, § 243, 92 Stat. 3230; amended June 30, 1980, Pub. L. 96–294, title V, § 531, 94 Stat. 737; Oct. 17, 1984, Pub. L. 98–479, title II, § 203(a)(4), 98 Stat. 2229, set out authority of Solar En- ergy and Energy Conservation Bank to purchase loans and advances of credit for energy conservation im- provements or solar energy systems. Section 1723h, act June 27, 1934, ch. 847, title III, § 316, as added Nov. 9, 1978, Pub. L. 95–619, title II, § 244, 92 Stat. 3231; amended June 30, 1980, Pub. L. 96–294, title V, § 532, 94 Stat. 739; Oct. 17, 1984, Pub. L. 98–479, title II, § 203(a)(5), 98 Stat. 2229, set out authority of Solar En- ergy and Energy Conservation Bank to purchase mort- gages secured by newly constructed homes with solar energy systems. § 1723i. Civil money penalties against issuers (a) In general (1) Authority Whenever an issuer or custodian approved under section 1721(g) of this title knowingly and materially violates any provisions of sub- section (b), the Secretary of Housing and Urban Development may impose a civil money penalty on the issuer or the custodian in ac- cordance with the provisions of this section. The penalty shall be in addition to any other available civil remedy or any available crimi- nal penalty and may be imposed whether or not the Secretary imposes other administra- tive sanctions. (2) Amount of penalty The amount of the penalty, as determined by the Secretary, may not exceed $5,000 for each violation, except that the maximum penalty for all violations by a particular issuer or cus- todian during any one-year period shall not exceed $1,000,000. Each violation of a provision of subsection (b)(1) shall constitute a separate violation with respect to each pool of mort- gages. In the case of a continuing violation, as determined by the Secretary, each day shall constitute a separate violation. (b) Violations for which penalty may be imposed (1) Violations The violations by an issuer or a custodian for which the Secretary may impose a civil money penalty under subsection (a) are the following: (A) Failure to make timely payments of principal and interest to holders of securi- ties guaranteed under section 1721(g) of this title. (B) Failure to segregate cash flow from pooled mortgages or to deposit either prin- cipal and interest funds or escrow funds into special accounts with a depository institu- tion whose accounts are insured by the Na- tional Credit Union Administration or by the Federal Deposit Insurance Corporation through the Deposit Insurance Fund. (C) Use of escrow funds for any purpose other than that for which they were re- ceived. (D) Transfer of servicing for a pool of mortgages to an issuer not approved under this subchapter, unless expressly permitted by statute, regulation, or contract approved by the Secretary. (E) Failure to maintain a minimum net worth in accordance with requirements pre- scribed by the Association; (F) Failure to promptly notify the Asso- ciation in writing of any changes that mate- rially affect the business status of an issuer. (G) Submission to the Association of false information in connection with any securi- ties guaranteed, or mortgages pooled, under section 1721(g) of this title.