[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. 1725 Introduced in Senate (IS)]

103d CONGRESS
  1st Session
                                S. 1725

   To amend the Federal Deposit Insurance Act to clarify provisions 
  intended to protect the Corporation from having bank loans or other 
               assets diluted by secret side agreements.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

            November 19 (legislative day, November 2), 1993

   Mr. Cohen (for himself, Mr. Mack, Mr. Bennett, and Mr. Faircloth) 
introduced the following bill; which was read twice and referred to the 
            Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
   To amend the Federal Deposit Insurance Act to clarify provisions 
  intended to protect the Corporation from having bank loans or other 
               assets diluted by secret side agreements.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. CLARIFICATION.

    Section 11(d)(9)(A) of the Federal Deposit Insurance Act (12 U.S.C. 
1821(d)(9)(A)) is amended by striking ``any agreement which does not 
meet the requirements set forth in section 13(e)'' and inserting ``any 
agreement which tends to diminish or defeat the interest of the 
Corporation in any asset acquired by the Corporation as security for a 
loan, by purchase, or as receiver of an insured depository institution, 
and which does not meet the requirements of section 13(e).''.

SEC. 2. APPLICABILITY.

    Notwithstanding any other provision of law, the amendment made by 
section 1 shall apply to any claim pending, under judicial review, or 
on appeal on or after October 1, 1993.

                                 <all>