Grounds for termination of insurance.

CFR · 2024-01-01 · US · Title 12

(a) (1) An insured depository institution or its directors or trustees have engaged or are engaging in unsafe or unsound practices in conducting the business of such depository institution; (2) An insured depository institution is in an unsafe or unsound condition such that it should not continue operations as an insured depository institution; or (3) An insured depository institution or its directors or trustees have violated an applicable law, rule, regulation, order, condition imposed in writing by the FDIC in connection with the granting of any application or other request by the insured depository institution or have violated any written agreement entered into between the insured depository institution and the FDIC. (b) (1) The act or practice has been, is, or is likely to be a cause of, or carried on in connection with or in furtherance of, an act or practice committed within any state, territory, or possession of the United States or the District of Columbia that, in and of itself, would be an appropriate basis for action by the FDIC; or (2) The act or practice committed outside the United States, if proven, would adversely affect the insurance risk of the FDIC. (c)

official document · source cfr-2024 · id 12:§ 308.120