PUBLIC LAW 101-550—NOV. 15, 1990 104 STAT. 2723 effective, if it finds that any person designated as trustee under such indenture is not eligible to act as such under subsection (a) of section 310, but no order shall be issued except after notice and opportunity for hearing within the periods and in the manner required with respect to refusal orders pursuant to section 8(b) of the Securities Act of 1933. If after notice and opportunity for hearing the Commission issues an order under this provision, the obligor shall within 5 calendar days appoint a trustee meeting the requirements of subsection (a) of section 310. No such appointment shall be effective and such refusal order shall not be rescinded by the Commission until a person eligible to act as trustee under subsection (a) of section 310 has been appointed. If no order is issued, an application filed pursuant to this paragraph shall be effective the tenth day after filing thereof or such earlier date as the Commission may determine, having due regard to the adequacy of information provided therein, the public interest, and the protection of investors.". SEC. 405. WHEN QUALIFICATION BECOMES EFFECTIVE. Section 309(b) of the Trust Indenture Act of 1939 (15 U.S.C. 77iii(b)) is amended by inserting after "such Act" the following: ", or the failure of the issuer to file an application as provided for by section 30503)(2)". SEC. 406. PERSONS ELIGIBLE FOR APPOINTMENT AS TRUSTEE. Section 310(a) of the Trust Indenture Act of 1939 (15 U.S.C. 77ijj(a)) is amended— (1) by inserting at the end of paragraph (1) the following: "The Commission may, pursuant to such rules and regulations as it may prescribe, or by order on application, permit a corporation or other person organized and doing business under the laws of a foreign government to act as sole trustee under an indenture qualified or to be qualified pursuant to this title, if such corporation or other person (i) is authorized under such laws to exercise corporate trust powers, and (ii) is subject to supervision or examination by authority of such foreign government or a political subdivision thereof substantially equivalent to supervision or examination applicable to United States institutional trustees. In prescribing such rules and regulations or making such order, the Commission shall consider whether under such laws, a United States institutional trustee is eligible to act as sole trustee under an indenture relating to securities sold within the jurisdiction of such foreign government."; (2) by striking "The indenture to be qualified shall require that there shall" in paragraph (1) and inserting "There shall"; (3) by striking "thereunder" in paragraph (1) and inserting ' "under every indenture qualified or to be qualified pursuant to this title"; (4) by inserting "or a corporation or other person permitted to act as trustee by the Commission" before "(referred to" in pargigraph (1); (5) by striking "The indenture to be qualified shall require that such institution" in paragraph (2) and inserting "Such institution"; (6) by striking "such indenture shall provide that" in paragraph (3);
�
