§ 83. Loans by bank on its own stock

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.

1. undated

   R.S. § 5201

   Enacted · 12 U.S.C. § 83

   R.S. § 5201

   Unresolved: No Public Law or Statutes at Large citation in the Code source.

   Source evidence

   Code source credit
   R.S. § 5201

2. 2000

   Financial Regulatory Relief and Economic Efficiency Act of 2000

   Pub. L. 106–569 title XII § 1207(a) · 114 Stat. 2944

   Amended · 12 U.S.C. § 83

   Pub. L. 106–569 amended section catchline and text generally. Prior to amendment, text read as follows: “No association shall make any loan or discount on the security of the shares of its own capital stock, nor be the purchaser or holder of any such shares, unless such security or purchase shall be necessary to prevent loss upon a debt previously contracted in good faith; and stock so purchased or acquired shall, within six months from the time of its purchase, be sold or disposed of at public or private sale; or, in default thereof, a receiver may be appointed to close up the business of the association, according to section 192 of this title.”

   Source evidence

   Code amendment note
   Pub. L. 106–569 amended section catchline and text generally. Prior to amendment, text read as follows: “No association shall make any loan or discount on the security of the shares of its own capital stock, nor be the purchaser or holder of any such shares, unless such security or purchase shall be necessary to prevent loss upon a debt previously contracted in good faith; and stock so purchased or acquired shall, within six months from the time of its purchase, be sold or disposed of at public or private sale; or, in default thereof, a receiver may be appointed to close up the business of the association, according to section 192 of this title.”

   Enacted provision · exact public law section
   (a) Amendment to the Revised Statutes.— Section 5201 of the Revised Statutes of the United States (12 U.S.C. 83) is amended to read as follows: “SEC. 5201. LOANS BY BANK ON ITS OWN STOCK “(a) General Prohibition.— No national bank shall make any loan or discount on the security of the shares of its own capital stock. “(b) Exclusion.— For purposes of this section, a national bank shall not be deemed to be making a loan or discount on the security of the shares of its own capital stock if it acquires the stock to prevent loss upon a debt previously contracted for in good faith.”.

1 of 2 references resolved to an enrolled provision · 1 unresolved