Title 12 — Banks and Banking
Part B · Chapter 46 — Government Sponsored Enterprises
§ 4585. Civil money penalties
Statutory text
Authority
The Director may impose a civil money penalty, in accordance with the provisions of this section, on any enterprise that has failed to—
submit a report under section 4547 1 of this title, following a notice of such failure, an opportunity for comment by the enterprise, and a final determination by the Director;
submit the information required under subsection (m) or (n) of section 1723a of this title or subsection (e) or (f) of section 1456 of this title;
solely with respect to the housing goals established under sections 4562(a) and 4563(a)(1) of this title, submit a housing plan or perform its responsibilities under a remedial order issued pursuant to section 4566(c) of this title within the required period; or
solely with respect to the housing goals established under sections 4562(a) and 4563(a)(1) of this title, comply with a housing plan for the enterprise under section 4566(c) of this title.
Amount of penalty
The amount of a penalty under this section, as determined by the Director, may not exceed—
for any failure described in paragraph (1), (5), or (6) of subsection (a), $100,000 for each day that the failure occurs; and
for any failure described in paragraph (2), (3), or (4) of subsection (a), $50,000 for each day that the failure occurs.
Procedures
Establishment
The Director shall establish standards and procedures governing the imposition of civil money penalties under this section. Such standards and procedures—
shall provide for the Director to notify the enterprise in writing of the determination of the Director to impose the penalty, which shall be made on the record;
shall provide for the imposition of a penalty only after the enterprise has been given an opportunity for a hearing on the record pursuant to section 4582 of this title; and
may provide for review by the Director of any determination or order, or interlocutory ruling, arising from a hearing.
Factors in determining amount of penalty
In determining the amount of a penalty under this section, the Director shall give consideration to factors including—
the gravity of the offense;
any history of prior offenses;
ability to pay the penalty;
injury to the public;
benefits received;
deterrence of future violations;
the length of time that the enterprise should reasonably take to achieve the goal; and
such other factors as the Director may determine, by regulation, to be appropriate.
Action to collect penalty
If an enterprise fails to comply with an order by the Director imposing a civil money penalty under this section, after the order is no longer subject to review, as provided in sections 4582 and 4583 of this title, the Director may bring an action in the United States District Court for the District of Columbia to obtain a monetary judgment against the enterprise, and such other relief as may be available. The monetary judgment may, in the court’s discretion, include the attorneys’ fees and other expenses incurred by the United States in connection with the action. In an action under this subsection, the validity and appropriateness of the order imposing the penalty shall not be subject to review.
Settlement by Director
The Director may compromise, modify, or remit any civil money penalty which may be, or has been, imposed under this section.
Deposit of penalties
The Director shall use any civil money penalties collected under this section to help fund the Housing Trust Fund established under section 4568 of this title.
Footnotes
- 1 See References in Text note below.
Legislative history
Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.
Federal Housing Enterprises Financial Safety and Soundness Act of 1992
Pub. L. 102–550 title XIII § 1345 · 106 Stat. 3672
Enacted · 12 U.S.C. § 4585
(Pub. L. 102–550, title XIII, § 1345, as added Pub. L. 110–289, div. A, title I, § 1130(d)(2), July 30, 2008, 122 Stat. 2709.)
Source evidence
Code source credit
(Pub. L. 102–550, title XIII, § 1345, as added Pub. L. 110–289, div. A, title I, § 1130(d)(2), July 30, 2008, 122 Stat. 2709.)Enacted provision · exact public law section
SEC. 1345. CIVIL MONEY PENALTIES. (a) Authority.— The Secretary may impose a civil money penalty, in accordance with the provisions of this section, on any enterprise that has failed— (1) to submit a housing plan that substantially complies with section 1336(c) within the applicable period; (2) to make a good faith effort to comply with a housing plan for the enterprise submitted and approved under section 1336(c); or (3) to submit the information required under subsection (m) or (n) of section 309 of the Federal National Mortgage Association Charter Act, subsection (e) or (f) of section 307 of the Federal Home Loan Mortgage Corporation Act, or section 1337 of this title. (b) Amount of Penalty.— The amount of the penalty, as deter-mined by the Secretary, may not exceed— (1) for any failure described in subsection (a)(1), $25,000 for each day that the failure occurs; and (2) for any failure described in subsection (a) (2) or (3), $10,000 for each day that the failure occurs. (c) Procedures.— (1) Establishment.— The Secretary shall establish standards and procedures governing the imposition of civil money penalties under this section. Such standards and procedures— (A) shall provide for the Secretary to notify the enterprise in writing of the Secretary’s determination to impose the penalty, which shall be made on the record; (B) shall provide for the imposition of a penalty only after the enterprise has been given an opportunity for a hearing on the record pursuant to section 1342; and (C) may provide for review by the Director for any determination or order, or interlocutory ruling, arising from a hearing. (2) Factors in determining amount of penalty.— In determining the amount of a penalty under this section, the Secretary shall give consideration to such factors as the gravity of the offense, any history of prior offenses, ability to pay the penalty, injury to the public, benefits received, deterrence of future violations, and such other factors as the Secretary may determine, by regulation, to be appropriate. (d) Action To Collect Penalty.— If an enterprise fails to comply with an order by the Secretary imposing a civil money penalty under this section, after the order is no longer subject to review as provided by sections 1342 and 1343, the Secretary may request the Attorney General of the United States to bring an action in the United States District Court for the District of Columbia to obtain a monetary judgment against the enterprise and such other relief as may be available. The monetary judgment may, in the court’s discretion, include the attorneys fees and other expenses incurred by the United States in connection with the action. In an action under this subsection, the validity and appropriateness of the order imposing the penalty shall not be subject to review. (e) Settlement by Secretary.— The Secretary may com-promise, modify, or remit any civil money penalty which may be, or has been, imposed under this section. (f) Transition Period Limitation.— The Secretary may not impose any civil money penalty under this section for any failure by an enterprise, during the 2-year period beginning on January 1, 1993, to comply with an approved housing plan, unless the Secretary determines that the enterprise has intentionally failed to make a good faith effort to comply with an approved plan. (g) Deposit of Penalties.— The Secretary shall deposit any civil money penalties collected under this section into the general fund of the Treasury.
1 of 1 references resolved to an enrolled provision
Editorial Notes
References in Text
Section 4547 of this title, referred to in subsec. (a)(1), was repealed by Pub. L. 110–289, div. A, title I, § 1104(b), , 122 Stat. 2667.
Prior Provisions
A prior section 4585, Pub. L. 102–550, title XIII, § 1345, , 106 Stat. 3966, related to civil money penalties, prior to repeal by Pub. L. 110–289, div. A, title I, § 1130(d)(1), , 122 Stat. 2709.
Credits
(Pub. L. 102–550, title XIII, § 1345, as added Pub. L. 110–289, div. A, title I, § 1130(d)(2), , 122 Stat. 2709.)