Collapse to view only § 2279b. Transfer of lending authority
- § 2279b. Transfer of lending authority
- § 2279c. Equalization of loan-making powers of certain district associations
§ 2279b. Transfer of lending authority
(a) Voluntary transfers
A Federal land bank or a merged bank having a Federal land bank as one of its constituents, may transfer to a Federal land bank association, and the association may assume, the authority of the transferring bank in the territorial area served by the association, to make and participate in long-term real estate mortgage loans under this chapter if the transfer is approved by—
(1) the Farm Credit Administration Board;
(2) the Board of Directors of both institutions; and
(3) a majority of the stockholders of the bank and of the association, in accordance with the voting provisions of sections 2279a and 2279c–1 of this title, respectively.
(b) Direct loans and financial assistance
After a transfer described in subsection (a) or (d)—
(1) the Federal land bank association shall possess all of the direct long-term real estate mortgage loan authority, formerly possessed by the transferring bank, in the territory served by the association; and
(2) the bank may provide and extend financial assistance to, and discount for, or purchase from, the transferee Federal land bank association any note, draft, or other obligation with the endorsement or guarantee of the association, the proceeds of which have been advanced to persons eligible and for purposes of financing by the association under subsection (a).
(c) Regulations
(d) Mandatory transfer
(Pub. L. 92–181, title VII, § 7.6, formerly §§ 7.6, 7.7, as added Pub. L. 100–233, title IV, § 416, Jan. 6, 1988, 101 Stat. 1647; amended Pub. L. 100–399, title IV, § 408(f)–(j), Aug. 17, 1988, 102 Stat. 1001, 1002.)
§ 2279c. Equalization of loan-making powers of certain district associations
(a) Equalization of loan-making powers
(1) In general
(A) Federal land bank associations
(B) Production credit associations
(C) Farm Credit Bank
(2) Required approvals
An association may exercise the additional authority provided for in paragraph (1) only after the exercise of the authority is approved by—
(A) the board of directors of the association; and
(B) a majority of the voting stockholders of the association (or, if the association is a subsidiary of another association, the voting stockholders of the parent association) voting, in person or by proxy, at a duly authorized meeting of stockholders in accordance with the process described in section 2279e of this title.
(b) Applicability
(Pub. L. 92–181, title VII, § 7.7, as added Pub. L. 110–234, title V, § 5407(a), May 22, 2008, 122 Stat. 1159, and Pub. L. 110–246, § 4(a), title V, § 5407(a), June 18, 2008, 122 Stat. 1664, 1921.)