12 U.S.C. § 2161 — Repealed. Pub. L. 100–399, title I, § 101(a),

Page 1330 TITLE 12—BANKS AND BANKING § 2161 ‘‘(A) ASSISTANCE BOARD.—During the period in which the Assistance Board is in existence, the board of direc- tors of the Assistance Board shall designate one of its directors to serve as a nonvoting representative to the board of directors of the Corporation. ‘‘(B) INSURANCE CORPORATION.—After such period, the board of directors of the Farm Credit System Insurance Corporation may designate one of its directors to serve as a nonvoting representative to the board of directors of the Corporation. ‘‘(C) MEETINGS.—The persons so designated by the As- sistance Board and by the Farm Credit System Insur- ance Corporation may attend and participate in all de- liberations of the board of directors of the Corpora- tion.’’ 1988—Pub. L. 100–233 amended section generally. Prior to amendment, section read as follows: ‘‘A fiscal agen- cy shall be established by the banks for such of their functions relating to the issuance, marketing, and han- dling of their obligations, and interbank or intersystem flow of funds as may from time to time be required.’’ Subsec. (b)(3). Pub. L. 100–399, § 203(b), inserted ‘‘pred- ecessor Federal Farm Credit Banks’’ before ‘‘Funding Corporation’’. Subsec. (d)(2)(B), (C). Pub. L. 100–399, § 203(c), sub- stituted ‘‘directors of the Corporation’’ for ‘‘directors of the Federal Farm Credit Banks Funding Corpora- tion’’. Subsec. (e). Pub. L. 100–399, § 203(d), amended subsec. (e) generally. Prior to amendment, subsec. (e) read as follows: ‘‘Until a quorum of the board of directors of the Corporation is elected or appointed, the finance committee established under section 2156 of this title in effect before January 6, 1988, and the fiscal agency established under section 2160 of this title in effect be- fore January 6, 1988, shall continue to operate as if this section had not been enacted.’’ Subsec. (f). Pub. L. 100–399, § 203(a), added subsec. (f). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100–399 effective as if enacted immediately after enactment of Pub. L. 100–233, which was approved Jan. 6, 1988, see section 1001(a) of Pub. L. 100–399, set out as a note under section 2002 of this title. § 2161. Repealed. Pub. L. 100–399, title I, § 101(a), Aug. 17, 1988, 102 Stat. 989 Section, Pub. L. 92–181, title IV, § 4.9A, as added Pub. L. 99–205, title I, § 105, Dec. 23, 1985, 99 Stat. 1687, author- ized a central reserve for Farm Credit System. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF REPEAL Repeal effective immediately after enactment of Pub. L. 100–233, approved Jan. 6, 1988, see section 1001(a) of Pub. L. 100–399, set out as a note under section 2002 of this title. § 2162. Protection of borrower stock (a) Retirement of stock Notwithstanding any other section of this chapter, each institution of the Farm Credit System, when retiring eligible borrower stock in accordance with this chapter, shall retire such stock at par value. (b) Certain powers not affected This section does not affect the authority of any institution of the Farm Credit System— (1) to retire or cancel borrower stock at par value for application against a loan in default; (2) to cancel borrower stock at par value under section 2202b of this title; or (3) to apply, against any outstanding indebt- edness to a System association arising out of or in connection with a liquidation referred to in subsection (d)(2), the par value of borrower stock frozen in such liquidation. (c) Inability to retire stock at par value (1) In general If an institution is unable to retire eligible borrower stock at par value due to the liquida- tion of the institution, the Farm Credit Sys- tem Insurance Corporation, acting as receiver, shall retire such stock at par value as would have been retired in the ordinary course of business of the institution. (2) Funding The Farm Credit System Insurance Corpora- tion shall use such funds from the Farm Credit Insurance Fund as are sufficient to carry out this section. (d) Definitions For purposes of this section: (1) Borrower stock The term ‘‘borrower stock’’ means voting and nonvoting stock, equivalent contributions to a guaranty fund, participation certificates, allocated equities, and other similar equities that are subject to retirement under a revolv- ing cycle issued by any System institution and held by any person other than any System in- stitution. (2) Eligible borrower stock The term ‘‘eligible borrower stock’’ means borrower stock that— (A) is outstanding on January 6, 1988; (B) is issued or allocated after January 6, 1988, but prior to the earlier of— (i) in the case of each bank and associa- tion, the date of approval, by the stock- holders of such bank or association, of the capitalization requirements of the institu- tion in accordance with section 2154a of this title; or (ii) the date that is 9 months after Janu- ary 6, 1988; (C) was, after January 1, 1983, but before January 6, 1988, frozen by an institution that was placed in liquidation; or (D) was retired at less than par value by an institution that was placed in liquidation after January 1, 1983, but before January 6, 1988. (3) Institution The term ‘‘institution’’ means a bank or as- sociation chartered under this chapter. (4) Par value The term ‘‘par value’’ means— (A) in the case of stock, par value; (B) in the case of participation certificates and other equities and interests not de- scribed in subparagraph (C), face or equiva- lent value; or (C) in the case of participation certificates and allocated equities subject to retirement under a revolving cycle but that a System institution elects to retire out of order for application against a loan in default or oth-