If at any time it shall appear to the Board of Governors of the Federal Reserve System that a member bank has failed to comply with the provisions of this subchapter, or the regulations of the Board of Governors of the Federal Reserve System made pursuant thereto, or has ceased to exercise banking functions without a receiver or liquidating agent having been appointed therefor, it shall be within the power of the board after hearing to require such bank to surrender its stock in the Federal reserve bank and to forfeit all rights and privileges of membership. The Board of Governors of the Federal Reserve System may restore membership upon due proof of compliance with the conditions imposed by this subchapter.
Dec. 23, 1913, ch. 6, § 938 Stat. 259June 21, 1917, ch. 32, § 340 Stat. 233Apr. 23, 1930, ch. 207, § 246 Stat. 251Aug. 23, 1935, ch. 61449 Stat. 704( (par.), ; , ; , ; , title II, § 203(a), .)
Editorial Notes
References in Text
This subchapter, referred to in text, was in the original “this section”, meaning section 9 of act , which is classified generally to this subchapter (§ 321 et seq.).
Codification
40 Stat. 23244 Stat. 122964 Stat. 458section 321 of this titleSection is comprised of the ninth par. of section 9 of act , as amended. The ninth par. constituted the seventh par. of section 9 in 1917 (), became the eighth par. in 1927 (), and became the ninth par. in 1950 (). For further details, see Codification note set out under .
Amendments
1930—Act , inserted “or has ceased to exercise banking functions without a receiver or liquidating agent having been appointed therefor,” to first sentence.
Statutory Notes and Related Subsidiaries
Change of Name
Section 203(a) of act , changed name of Federal Reserve Board to Board of Governors of the Federal Reserve System.