This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents. Prices of

new books are listed in the first FEDERAL

REGISTER issue of each week.

Rules and Regulations Federal Register

8795 

Vol. 75, No. 38 

Friday, February 26, 2010 

FEDERAL RETIREMENT THRIFT 

INVESTMENT BOARD 

5 CFR Part 1631 

Availability of Records 

AGENCY: Federal Retirement Thrift 

Investment Board. 

ACTION: Final rule. 

SUMMARY: The Federal Retirement Thrift 

Investment Board (Agency) is amending 

its regulations on availability of records 

to establish the manner of service for 

administrative subpoenas issued by the 

Agency and to delegate authority to the 

Agency’s General Counsel to issue 

administrative subpoenas. These 

changes implement section 107 of the 

Thrift Savings Plan Enhancement Act of 

2009, which gave the Agency authority 

to issue subpoenas duces tecum in order 

to carry out the Agency’s functions. 

DATES: This final rule is effective 

February 26, 2010. 

FOR FURTHER INFORMATION CONTACT: 

Laurissa Stokes at 202–942–1645. 

SUPPLEMENTARY INFORMATION: The 

Agency administers the Thrift Savings 

Plan (TSP), which was established by 

the Federal Employees’ Retirement 

System Act of 1986 (FERSA), Public 

Law 99–335, 100 Stat. 514. The TSP 

provisions of FERSA are codified, as 

amended, largely at 5 U.S.C. 8351 and 

8401–79. The TSP is a tax-deferred 

retirement savings plan for Federal 

civilian employees and members of the 

uniformed services. The TSP is similar 

to cash or deferred arrangements 

established for private-sector employees 

under section 401(k) of the Internal 

Revenue Code (26 U.S.C. 401(k)). 

This regulation was published in 

proposed form on January 19, 2010 (75 

FR 2822). No comments were received. 

Issuance of Subpoenas 

Section 107 of the Thrift Savings Plan 

Enhancement Act of 2009 (‘‘the Act’’), 

Public Law 111–31 (123 Stat. 1776, 

1853)(codified at 5 U.S.C. 8480) 

authorizes the Agency to issue 

administrative subpoenas to compel 

production of designated books, 

documents, records, electronically 

stored information, or tangible things. 

The Agency, like other financial 

institutions, has been the subject of 

fraudulent withdrawals from its 

participants’ accounts. The Agency 

anticipates using its subpoena authority 

to obtain information necessary to 

prevent or investigate fraudulent or 

otherwise improper routing of 

participants’ money to financial 

institutions. 

The Agency, therefore, needs an 

expeditious means to obtain information 

from financial institutions to which 

participants’ money is transferred. 

Prompt action and cooperation from 

financial institutions is the best way to 

recover or deter fraudulent or improper 

routing of participants’ money. 

This regulation provides three means 

by which the Agency may serve an 

administrative subpoena: (1) Certified or 

registered mail, return receipt requested, 

(2) fax or electronic transmission, 

provided the subpoenaed party gives 

prior approval, or (3) personal delivery 

at the principal place of business or the 

last known residential address of the 

subpoenaed party. This regulation also 

delegates authority to the General 

Counsel to issue administrative 

subpoenas. 

Allowing the use of several alternative 

means to accomplish service is intended 

to facilitate expeditious cooperation 

between the Agency and financial 

institutions in an effort to prevent or 

investigate fraudulent withdrawals and 

transfers. Delegation to the General 

Counsel of the authority to issue 

administrative subpoenas is intended to 

expedite the issuances of subpoenas, 

e.g. by removing the need for the staff 

of the Office of General Counsel to seek 

Executive Director approval for 

issuances that are routine or urgent. 

Regulatory Flexibility Act 

I certify that this regulation will not 

have a significant economic impact on 

a substantial number of small entities. 

This regulation will affect Federal 

employees and members of the 

uniformed services who participate in 

the Thrift Savings Plan, which is a 

Federal defined contribution retirement 

savings plan created under the Federal 

Employees’ Retirement System Act of 

1986 (FERSA), Public Law 99–335, 100 

Stat. 514, and which is administered by 

the Agency. Although it will also 

occasionally require financial 

institutions to provide information, 

such entities rarely constitute small 

entities. Additionally, this regulation 

provides the Agency with no new 

authority; it merely provides guidance 

on existing statutory authority. 

Paperwork Reduction Act 

I certify that these regulations do not 

require additional reporting under the 

criteria of the Paperwork Reduction Act. 

Unfunded Mandates Reform Act of 

1995 

Pursuant to the Unfunded Mandates 

Reform Act of 1995, 2 U.S.C. 602, 632, 

653, 1501–1571, the effects of this 

regulation on state, local, and tribal 

governments and the private sector have 

been assessed. This regulation will not 

compel the expenditure in any one year 

of $100 million or more by state, local, 

and tribal governments, in the aggregate, 

or by the private sector. Therefore, a 

statement under section 1532 is not 

required. 

Submission to Congress and the 

General Accounting Office 

Pursuant to 5 U.S.C. 810(a)(1)(A), the 

Agency submitted a report containing 

this rule and other required information 

to the U.S. Senate, the U.S. House of 

Representatives, and the Comptroller 

General of the United States before 

publication of this rule in the Federal 

Register. This rule is not a major rule as 

defined at 5 U.S.C. 804(2). 

List of Subjects in 5 CFR Part 1631 

Government employees, Courts, 

Freedom of information. 

Gregory T. Long, 

Executive Director, Federal Retirement Thrift 

Investment Board. 

■ For the reasons stated in the preamble, 

the Agency amends 5 CFR chapter VI as 

follows: 

PART 1631—AVAILABILITY OF 

RECORDS 

■ 1. Remove the existing authority 

citation for part 1631. 


sroberts on DSKD5P82C1PROD with RULES
8796 Federal Register / Vol. 75, No. 38 / Friday, February 26, 2010 / Rules and Regulations 

Subpart A—[Amended] 

■ 2. Add an authority citation to subpart 

A of part 1631 to read as follows: 

Authority: 5 U.S.C. 552. 

Subpart B—[Amended] 

■ 3. Add an authority citation to subpart 

B of part 1631 to read as follows: 

Authority: 5 U.S.C. 552. 

■ 4. Add subpart C to subpart 1631 to 

read as follows: 

Subpart C—Administrative Subpoenas 

Sec. 

1631.40 Subpoena authority. 

1631.41 Production of records. 

1631.42 Service. 

1631.43 Enforcement. 

Authority: 5 U.S.C. 8480. 

Subpart C—Administrative Subpoenas 

§ 1631.40 Subpoena authority. 

The Executive Director or General 

Counsel may issue subpoenas pursuant 

to 5 U.S.C. 8480. The General Counsel 

may delegate this authority to a Deputy 

General Counsel, Associate General 

Counsel, or Assistant General Counsel. 

§ 1631.41 Production of records. 

A subpoena may require the 

production of designated books, 

documents, records, electronically 

stored information, or tangible materials 

in the possession or control of the 

subpoenaed party when the individual 

signing the subpoena has determined 

that production is necessary to carry out 

any of the Agency’s functions. 

§ 1631.42 Service. 

(a) Return of service. Each subpoena 

shall be accompanied by a Return of 

Service certificate stating the date and 

manner of service and the names of the 

persons served. 

(b) Methods of service. Subpoenas 

shall be served by one of the following 

methods: 

(1) Certified or registered mail, return 

receipt requested to the principal place 

of business or the last known residential 

address of the subpoenaed party. 

(2) Fax or electronic transmission to 

the subpoenaed party or the subpoenaed 

party’s counsel, provided the 

subpoenaed party gives prior approval. 

(3) Personal delivery at the principal 

place of business or residence of the 

subpoenaed party during normal 

business hours. 

§ 1631.43 Enforcement. 

Upon the failure of any party to 

comply with a subpoena, the General 

Counsel shall request that the Attorney 

General seek enforcement of the 

subpoena in the appropriate United 

States district court. 

[FR Doc. 2010–3917 Filed 2–25–10; 8:45 am] 

BILLING CODE 6760–01–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Part 1 

[TD 9477] 

RIN 1545–BI14 

Use of Controlled Corporations To 

Avoid the Application of Section 304; 

Correction 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Correcting amendment. 

SUMMARY: This document contains 

corrections to final and temporary 

regulations (TD 9477) that were 

published in the Federal Register on 

Wednesday, December 30, 2009 (74 FR 

69021) regarding certain transactions 

that are subject to section 304 but that 

are entered into with a principal 

purpose of avoiding the application of 

section 304 to a corporation that is 

controlled by the issuing corporation in 

the transaction, or with a principal 

purpose of avoiding the application of 

section 304 to a corporation that 

controls the acquiring corporation in the 

transaction. 

DATES: These corrections are effective 

on February 26, 2010 and are applicable 

on or after December 29, 2009. 

FOR FURTHER INFORMATION CONTACT: 

Sean W. Mullaney, (202) 622–3860 (not 

a toll free number). 

SUPPLEMENTARY INFORMATION: 

Background 

The final and temporary regulations 

(TD 9477) that are the subject of these 

corrections are under section 304 of the 

Internal Revenue Code. 

Need for Correction 

As published, the final and temporary 

regulations (TD 9477) contain an error 

that may prove to be misleading and are 

in need of clarification. 

List of Subjects in 26 CFR Part 1 

Income taxes, Reporting and 

recordkeeping requirements. 

Correction of Publication 

■ Accordingly, 26 CFR part 1 is 

corrected by making the following 

correcting amendments: 

PART 1—INCOME TAXES 

■ Paragraph 1. The authority citation 

for part 1 continues to read in part as 

follows: 

Authority: 26 U.S.C. 7805 * * * 

■ Par. 2. Section 1.304–4T is amended 

by revising paragraph (e) to read as 

follows: 

§ 1.304–4T Special rule for the use of 

related corporations to avoid the 

application of section 304 (temporary). 

* * * * * 

(e) Expiration date. This section 

expires on or before December 28, 2012. 

Diane Williams, 

Federal Register Liaison, Publications and 

Regulations Branch, Legal Processing 

Division, Associate Chief Counsel (Procedure 

and Administration). 

[FR Doc. 2010–3927 Filed 2–25–10; 8:45 am] 

BILLING CODE 4830–01–P 

DEPARTMENT OF LABOR 

Employee Benefits Security 

Administration 

29 CFR Parts 2560 and 2570 

RIN 1210–AB31 

Civil Penalties Under ERISA Section 

502(c)(8) 

AGENCY: Employee Benefits Security 

Administration, Labor. 

ACTION: Final rule. 

SUMMARY: This document contains a 

final regulation that establishes 

procedures relating to the assessment of 

civil penalties by the Department of 

Labor under section 502(c)(8) of the 

Employee Retirement Income Security 

Act of 1974 (ERISA or the Act). Under 

the provision, which was added by the 

Pension Protection Act of 2006, the 

Secretary of Labor is granted authority 

to assess civil penalties not to exceed 

$1,100 per day against any plan sponsor 

of a multiemployer plan for certain 

violations of section 305 of ERISA. The 

regulation will affect multiemployer 

plans that are in either endangered or 

critical status. 

DATES: This final rule is effective on 

March 29, 2010. 

FOR FURTHER INFORMATION CONTACT: 

Michael Del Conte, Office of Regulations 

and Interpretations, Employee Benefits 

Security Administration, (202) 693– 

8500. This is not a toll-free number. 

SUPPLEMENTARY INFORMATION: 


sroberts on DSKD5P82C1PROD with RULES