PUBLIC LAW 100-233—JAN. 6, 1988
101 STAT. 1616
representatives may administer oaths and affirmations, and may examine, take, and preserve testimony under oath, as to any matter with respect to the affairs of any such institution. "(d)
COOPERATION WITH F C A EXAMINERS.—The examiners
ap-
pointed by the Board of Directors shall cooperate to the maximum extent possible with examiners of the Farm Credit Administration to minimize duplication of effort and minimize costs. .,, 12 USC 2277a-9.
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"SEC. 5.60. INSURANCE FUND.
"(a) ESTABLISHMENT.—There is hereby established a Farm Credit Insurance Fund (hereinafter referred to in this section as the 'Insurance Fund') for insuring the timely payment of principal and interest on insured obligations. The assets in the Fund shall be held by the Corporation for the uses and purposes of the Corporation. "(b) AMOUNTS IN FUND.—
Effective date.
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"(1) REVOLVING FUND.—All amounts in the revolving fund established by section 4.0 (in effect immediately before the date of the enactment of this part) shall be transferred into the Farm Credit Insurance Fund on January 1, 1989, or 12 months after the date of the enactment of this part, whichever is later, except that the obligations to, and rights of, any person in such revolving fund arising out of any event or transaction before the date of the enactment of this part shall remain unimpaired. "(2) DEPOSIT OF PREMIUMS.—Beginning 5 years after the date of the enactment of this part, the Corporation shall deposit in the Insurance Fund all premium payments received by the Corporation under this part. "(c) USES OF FUND.— "(1) MANDATORY USE.—Beginning 5 years after the date of the
enactment of this part, the Corporation shall expend amounts in the Insurance Fund to the extent necessary to insure the 1 c timely payment of interest and principal on insured obligations. "(2) OTHER MANDATORY USES.—Beginning 5 years after the date of enactment of this part, the Corporation shall use
amounts in the Insurance Fund to— "(A) satisfy System institution defaults through the puric chase of preferred stock or other payments as provided for in section 6.26(d)(3); and i "(B) ensure the retirement of borrower stock at par value ,ui f r and participation certificates or other similar equities at face value as provided for under section 4.9A(c)(2). "(3) PERMISSIVE USES.—The Corporation may expend amounts in the Insurance Fund to carry out section 5.61 and to cover the operating costs of the (Corporation. "(4) CORPORATE PAYMENT OR REFUNDS.—The Corporation shall make all payments and refunds required to be made by the Corporation under this part from amounts in the Insurance Fund. 12 USC 2277a-10.
"SEC. 5.61. POWERS OF CORPORATION WITH RESPECT TO TROUBLED INSURED SYSTEM BANKS. "(a) AUTHORITY TO PROVIDE ASSISTANCE.—
"(1) IN GENERAL.—The Corporation, in its sole discretion and on such terms and conditions as the Board of Directors may prescribe, may make loans to, purchase the assets or securities of, assume the liabilities of, or make contributions to, any i..6-»s. insured System bank if such action is taken—
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