‘‘(C) registering appropriate objections
with respect to the action or proceeding to the
extent the action or proceeding relates to or in-
volves such information.
‘‘(2) RIGHT TO APPEAL.—Any court order that
compels production of confidential supervisory infor-
mation may be immediately appealed by the Admin-
istration and the order compelling production shall
be automatically stayed, pending the outcome of
such appeal.
‘‘(f) REGULATIONS.—
‘‘(1) AUTHORITY TO PRESCRIBE.—The Board
may prescribe such regulations as the Board consid-
ers to be appropriate, after consultation with the
Federal banking agencies (as defined in section 3 of
the Federal Deposit Insurance Act), to carry out the
purposes of this section.
‘‘(2) AUTHORITY
TO
REQUIRE
NOTICE.—Any
regulations prescribed by the Administration under
paragraph (1) may require any person in possession
of confidential supervisory information to notify the
Administration whenever the person is served with a
subpoena, order, discovery request, or other judicial
or administrative process requiring the personal at-
tendance of such person as a witness or requiring
the production of such information in any proceed-
ing.
‘‘(g) ACCESS IN ACCORDANCE WITH REGULATIONS
AND ORDERS.—Notwithstanding any other provision of
this section, the Administration may, without waiving any
privilege, authorize access to confidential supervisory in-
formation for any appropriate governmental, law enforce-
ment, or public purpose in accordance with agency regula-
tions or orders.’’.
TITLE VI—TECHNICAL
CORRECTIONS
SEC. 601. TECHNICAL CORRECTION RELATING TO DEPOSIT
INSURANCE FUNDS.
(a) IN GENERAL.—Section 2707 of the Deposit In-
surance Funds Act of 1996 (12 U.S.C. 1821 note; Public
Law 104–208; 110 Stat. 3009–496) is amended by strik-
ing ‘‘7(b)(2)(C)’’ and inserting ‘‘7(b)(2)(E)’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall be deemed to have the same effective
date as section 2707 of the Deposit Insurance Funds Act
of 1996.
SEC. 602. RULES FOR CONTINUATION OF DEPOSIT INSUR-
ANCE FOR MEMBER BANKS CONVERTING
CHARTERS.
Section 8(o) of the Federal Deposit Insurance Act
(12 U.S.C. 1818(o)) is amended in the second sentence,
by striking ‘‘subsection (d) of section 4’’ and inserting
‘‘subsection (c) or (d) of section 4’’.
SEC. 603. WAIVER OF CITIZENSHIP REQUIREMENT FOR NA-
TIONAL BANK DIRECTORS.
Section 5146 of the Revised Statutes of the United
States (12 U.S.C. 72) is amended in the 1st sentence, by
inserting before the period ‘‘, and waive the requirement
of citizenship in the case of not more than a minority of
the total number of directors of a national bank which
is an affiliate (as defined in section 3(w)(6) of the Federal
Deposit Insurance Act) of a foreign bank’’.
SEC. 604. TECHNICAL AMENDMENT TO PROHIBITION ON
COMPTROLLER 
INTERESTS 
IN 
NATIONAL
BANKS.
Section 329 of the Revised Statutes of the United
States (12 U.S.C. 11) is amended by striking ‘‘to be inter-
ested in any association issuing national currency under
the laws of the United States’’ and inserting ‘‘to hold an
interest in any national bank’’.
SEC. 605. APPLICABILITY OF LIMITATION TO PRIOR IN-
VESTMENTS.
(a) IN GENERAL.—Section 18(s) of the Federal De-
posit Insurance Act (12 U.S.C. 1828(s)) is amended by
adding at the end the following new paragraph:
‘‘(5) CERTAIN
INVESTMENTS.—Paragraph (1)
shall not apply to investments lawfully made before
April 11, 1996, by a depository institution in a Gov-
ernment-sponsored enterprise.’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall apply as if such amendment had been
included in the amendment made by section 2615(b) of
the Economic Growth and Regulatory Paperwork Reduc-
tion Act of 1996 as of the effective date of such section.
TITLE VII—SPECIAL RESERVE
FUNDS
SEC. 701. ABOLITION OF SPECIAL RESERVE FUNDS.
(a) SAIF SPECIAL RESERVE.—Section 11(a)(6) of
the Federal Deposit Insurance Act (12 U.S.C. 1821(a)(6))
is amended by striking subparagraph (L).
(b) SPECIAL RESERVE OF THE DEPOSIT INSURANCE
FUND.—Section 2704 of the Deposit Insurance Funds
Act of 1996 is amended—
(1) by striking subsection (b);
(2) by striking paragraph (4) of subsection (d);
(3) in subsection (d)(6)(C)(i), by striking ‘‘(6)
and (7)’’ and inserting ‘‘(5), (6), and (7)’’; and
(4) in subsection (d)(6)(C)(ii), by striking ‘‘(6)’’
and inserting ‘‘(5)’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply as if such amendments had been
included in the Deposit Insurance Funds Act of 1996 as
of the date of the enactment of such Act.
Passed the House of Representatives October 9 (leg-
islative day, October 8), 1998.
Attest:
Clerk.