[Congressional Record Volume 170, Number 50 (Thursday, March 21, 2024)]
[Senate]
[Page S2540]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 1714. Mr. VANCE submitted an amendment intended to be proposed by
him to the bill H.R. 2882, to reauthorize the Morris K. Udall and
Stewart L. Udall Trust Fund, and for other purposes; which was ordered
to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. _____. FAILED BANK MERGERS AND ACQUISITIONS.
(a) Failed Bank Mergers.--Section 18(c)(13)(B) of the
Federal Deposit Insurance Act (12 U.S.C. 1828(c)(13)(B)) is
amended by striking ``section 13.'' and inserting ``section
13, if--
``(i) at the time the responsible agency proposes to
approve the application, there is no application or proposed
application (other than an application that also would be
subject to the prohibition in subparagraph (A)) to acquire
the 1 or more insured depository institutions in default or
in danger of default pending before any appropriate Federal
banking agency that would, according to the responsible
agency for such application, meet all applicable standards
for approval by the responsible agency;
``(ii) the Corporation would provide assistance under
section 13 with respect to the interstate merger transaction;
and
``(iii) the Corporation has determined that the interstate
merger transaction that is the subject of the application to
the responsible agency is the only proposed transaction to
acquire, directly or indirectly, the 1 or more insured
depository institutions in default or in danger of default
pending before the Corporation (other than an interstate
merger transaction that also would be subject to the
prohibition in subparagraph (A)) that would permit the
Corporation to--
``(I) comply with the least-cost resolution requirements
set forth in section 13(c)(4); or
``(II) avoid the serious adverse effects on economic
conditions or financial stability that would occur absent
exercise of the authority in section 13(c)(4)(G), if a
systemic risk determination has been made under such section
with respect to the insured depository institution or
institutions that are the subject of the application.''.
(b) Failed Bank Acquisitions.--Section 3(d)(5) of the Bank
Holding Company Act of 1956 (12 U.S.C. 1842(d)(5)) is
amended--
(1) by redesignating subparagraphs (A) and (B) as clauses
(i) and (ii), respectively, and adjusting the margins
accordingly;
(2) in the matter preceding clause (i), as so redesignated,
by striking ``The Board may approve'' and inserting the
following:
``(A) Except as provided in subparagraph (B), the Board may
approve''; and
(3) by inserting at the end the following:
``(B) Notwithstanding subparagraph (A), the Board may
approve an application that would otherwise be subject to the
prohibition in subparagraph (A) or (B) of paragraph (2) if--
``(i) at the time the Board proposes to approve the
application, there is no application or proposed application
(other than an application that also would be subject to the
prohibitions in subparagraph (A) or (B) of paragraph (2)) to
acquire, directly or indirectly, the 1 or more banks in
default or in danger of default, or the acquisition with
respect to which assistance is provided under section 13(c)
of the Federal Deposit Insurance Act (12 U.S.C. 1823(c)),
pending before the Board that would meet all applicable
standards for approval under this section;
``(ii) the Federal Deposit Insurance Corporation would
provide assistance under section 13 of the Federal Deposit
Insurance Act (12 U.S.C. 1823) with respect to the
acquisition that is the subject of the application to the
Board; and
``(iii) the Federal Deposit Insurance Corporation has
determined that the acquisition is the only proposed
transaction to acquire, directly or indirectly, the 1 or more
banks in default or in danger of default pending before the
Corporation (other than an acquisition that also would be
subject to the prohibition in subparagraph (A) or (B) of
paragraph (2)) that would permit the Corporation to--
``(I) comply with the least-cost resolution requirements
set forth in section 13(c)(4) of the Federal Deposit
Insurance Act (12 U.S.C. 1823(c)(4)); or
``(II) avoid the serious adverse effects on economic
conditions or financial stability that would occur absent
exercise of the authority in section 13(c)(4)(G) of the
Federal Deposit Insurance Act (12 U.S.C. 1823(c)(4)(G)), if a
systemic risk determination has been made under such section
with respect to the bank or banks that are the subject of the
application.''.
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