§ 511.735-44 Specific provisions of Agency regulations for special Government employees.

(a) Except as provided in paragraph (b) of this section, each special Government employee shall submit on Form 511B a statement of employment and financial interests which reports:

(1) All other employment; and

(2) The financial interests of the special Government employee which are determined to be relevant in the light of the duties he is to perform.

(b) The Board may waive the requirement in paragraph (a) of this section for the submission of a statement of employment and financial interests in the case of a special Government employee who is not a consultant or an expert when the Agency finds that the duties of the position held by that special Government employee are of a nature and at such a level of responsibility that the submission of the statement by the incumbent is not necessary to protect the integrity of the Agency and the Government. For the purpose of this paragraph, "consultant" and "expert" have the meaning given those terms by Chapter 304 of the Federal Personnel Manual, but do not include a physician, dentist, or allied medical specialist whose services are procured to provide care and service to patients.

(c) The statement of employment and financial interests required to be submitted under this section shall be submitted in accordance with the provisions of § 511.735-35. Supplemental information, as required, shall be filed on Form 511B. The provisions of §§ 511.735-40, 511.735-41, 511.735-42 and 511.735-43 shall apply to statements of employment and financial interest of special Government employees, where appropriate.

[31 F.R. 4277, Mar. 11, 1966, as amended at 32 FR. 14817, Oct. 26, 1967]

Subpart E-Reporting Conflicts-Disciplinary or Remedial Action-Miscellaneous Statutory Provisions

§ 511.735-50 Reporting unresolved conflicts of interest.

When conflicts of interest or other violations or apparent violations of this part cannot be resolved or explained to the satisfaction of the General Counsel, he shall report the matter to the Chairman of the Board.

[39 FR 11177, Mar. 26, 1974]

§ 511.735-51 Opportunity to be heard.

The employee or special Government employee concerned shall be given opportunity to explain such conflicts of interest before the matter is reported to the Chairman of the Board.

§ 511.735–52 Action by the Chairman.

The Chairman of the Board, after consideration of the matter and after an opportunity for the employee or special Government employee concerned to appear, shall decide what steps are to be taken to remedy the situation. Among other steps, the Chairman of the Board may:

(a) Attempt to remove any conflict of interest by requiring a change in duties, disqualification for a particular assignment, or divestment of the conflicting interest by the employee or special Government employee;

(b) Take other corrective action; or (c) Where corrective actions are inadequate, impose disciplinary action. § 511.735-53 Violations of this part cause for disciplinary action.

A violation of the regulations contained in this part by an employee or special Government employee may be cause for appropriate disciplinary action which may be in addition to any penalty prescribed by law.

§ 511.735-54 Remedial action to be effected in accordance with law and regulation.

Remedial action, whether disciplinary or otherwise, shall be effected in accordance with any applicable laws, executive orders, and regulations.

§ 511.735-55 Miscellaneous statutory provisions.

Each employee and each special Government employee shall acquaint himself with each statute that relates to his ethical and other conduct while an employee of the Agency. In particular, the following statutes shall be noted:

(a) House Concurrent Resolution 175, 85th Congress, 2d Session, 72 Stat. B12, the "Code of Ethics for Government Service."

(b) Chapter 11 of Title 18, United States Code, relating to bribery, graft, and conflicts of interest.

(c) The prohibtion against lobbying with appropriated funds (18 U.S.C. 1913) ($500 fine and/or 1 year in prison and removal from employment).

(d) The prohibitions against disloyalty and striking (5 U.S.C. 7311, 18 U.S.C. 1918) ($1,000 fine and/or 1 year and 1 day in prison).

(e) The prohibition against the employment of a member of a Communist organization (50 U.S.C. 784).

(f) The prohibitions against (1) the disclosure of classified information (18 U.S.C. 798, 50 U.S.C. 783) ($10,000 fine and/or 10 years in prison); and (2) the disclosure of confidential information (18 U.S.C. 1905) ($1,000 fine and/or 1 year in prison, and removal from employment).

(g) The provision relating to the habitual use of intoxicants to excess (5 U.S.C. 7352) (ineligibility for many positions).

(h) The prohibition against the misuse of a Government vehicle (suspension from duty or removal from employment). (31 U.S.C. 638a(c))..

(1) The prohibition against the misuse of the franking privilege (18 U.S.C. 1719) ($300 fine).

(1) The prohibition against the use of deceit in an examination or personnel action in connection with Government employment (18 U.S.C. 1917) ($1,000 fine and/or 1 year in prison).

(k) The prohibition against fraud or false statements in a Government matter (18 U.S.C. 1001) ($10,000 fine and/or 5 years in prison).

(1) The prohibtion against mutilating or destroying a public record (18 U.S.C. 2071) ($2,000 fine and/or 3 years in prison).

(m) The prohibition against counterfelting and forging transportation requests (18 U.S.C. 508) ($5,000 fine and/ or 10 years in prison).

(n) The prohibition against (1) embezzlement of Government money or property (18 U.S.C. 641); (2) failing to account for public money (18 U.S.C. 643) and (3) embezzlement of the money or property of another person in the possession of an employee by reason of his employment (18 U.S.C. 654) (fines from $1,000 to $10,000 and/or 1 to 10 years in prison).

(0) The prohibition against unauthorized use of documents relating to claims from or by the Government (18 U.S.C. 285) ($5,000 fine and/or 5 years in prison.

(p) The prohibition against political activities in subchapter III of chapter 73 of Title 5, United States Code and 18

This part prescribes rules of practice and procedure applicable to the conduct of investigative proceedings under section 408 (h) (2) of the National Housing Act (referred to in this part as the "Act"), as amended (12 U.S.C. 1730a (h) (2)), and to the conduct of formal examination proceedings with respect to insured institutions and affiliates under section 407(m) (2) of the Act, as amended (12 U.S.C. 1730 (m) (2)). This part does not apply to adjudicative proceedings as to which hearings are required by statute, the rules for which are contained in Part 509 of this chapter. § 512.2 Definitions.

As used in this part:

(a) "Board" means the Federal Home Loan Bank Board as the operating head of the Federal Savings and Loan Insurance Corporation;

(b) "Investigative proceeding" means an investigation conducted under section 408 (h) (2) of the Act;

(c) "Formal examination proceeding" means the administration of oaths and affirmations, taking and preserving of testimony, requiring the production of books, papers, correspondence, memoranda, and all other records, the issu

ance of subpenas, and all related activities in connection with examinations of insured institutions and affiliates thereof conducted under section 407(m) (2) of the Act; and

(d) "Designated representative" means the person or persons empowered by the Board to conduct an investigative proceeding or a formal examination proceeding.

§ 512.3

Confidentiality of proceedings.

All formal examination proceedings shall be private and, unless ordered otherwise by the Board, all investigative proceedings shall also be private. Unless otherwise ordered or permitted by the Board, or required by law, and except as provided in §§ 512.4 and 512.5, the entire record of any investigative proceeding or formal examination proceeding, including the Board resolution authorizing the proceeding, the transcript of such proceeding, and all documents and information obtained by the designated representative during the course of said proceeding, shall be for the confidential use of only the Board and its staff, and no part of such record shall be made public. § 512.4 Transcripts.

Transcripts, if any, of investigative proceedings or formal examination proceedings shall be recorded solely by an official reporter or by any other person or means authorized by the designated representative. A person who has submitted documentary evidence or given testimony in an investigative proceeding or formal examination proceeding shall be entitled to procure a copy of his documentary evidence or a transcript of his own testimony on payment of the cost thereof: Provided, That, in a private proceeding, a person seeking a transcript of his own testimony shall file a written request with the Board stating the reason he desires to procure such transcript, and the Board may for good cause deny such request. In any event, any witness (or his counsel) upon proper identification, shall have the right to inspect the transcript of the witness' own testimony.

§ 512.5 Rights of witnesses.

(a) Any person who is compelled or requested to furnish documentary evidence or give testimony at an investigative proceeding or formal examination proceeding shall have the right to examine, upon request, the Board resolution authorizing such proceeding. Copies of

such resolution shall be furnished, for their retention, to such persons only with the approval of the Director or the Deputy Director of the Office of Examinations and Supervision and the concurrence therewith of the General Counsel, the Deputy General Counsel, or an Associate General Counsel of the Board.

(b) Any witness at an investigative proceeding or formal examination proceeding may be accompanied, represented, and advised by counsel, who may be present with him during any investigative proceeding or formal examination proceeding. Such counsel may advise the witness before, during, and after the taking of his testimony and may briefly question the witness, on the record, at the conclusion of his testimony, for the sole purpose of clarifying any of the answers the witness has given. During the taking of the testimony of a witness, such counsel may make summary notes solely for the use of his client. All witnesses shall be sequestered, and, unless permitted in the discretion of the designated representative, no witness or accompanying counsel may be permitted to be present during the taking of the testimony of any other witness called in such proceeding.

(c) Unless otherwise ordered by the Board, in any public investigative proceeding (but in no other proceeding under this part), if the record shall contain implications of wrongdoing by any person, such person shall have the right to appear on the record; and in addition to the rights afforded other witnesses under this part, he shall have an opportunity to cross-examine and produce rebuttal testimony and/or documentary evidence. Such person shall be granted as full an opportunity to assert his position as may be consistent with administrative efficiency and with avoidance of undue delay, in the discretion of the designated representative.

(a) Service. Service of a subpena in connection with an investigative proceeding or formal examination proceeding shall be made upon the person named in the subpena by delivering a copy of the subpena to such person and by tendering the fees for 1 day's attendance and the mileage as specified by paragraph (c) of this section. When the subpena is issued at the instance of the Board or its staff, fees and mileage need not be tendered at the time of service. Delivery of a copy of a subpena and, when appropriate, tender of the fees to a natural person may be made by handing them to such person; or by leaving them at his office with the person in charge thereof or, if there is no one in charge, by leaving them in a conspicuous place therein; or by leaving them at his dwelling place or usual place of abode with some person of suitable age and discretion then residing therein; or by mailing them by registered or certified mail to him at his last known address; or by any method whereby actual notice is given to him and the fees are made available prior to the return date. When the person to be served is not a natural person, delivery of a copy of the subpena and tender of the fees (when appropriate) may be effected by handing them to a registered agent for service, or to any officer, director, or agent in charge of any office of such person; or by mailing them by registered or certified mail to any such representative at his last known address; or by any method whereby actual notice is given to any such representative and the fees are made available prior to the return date.

(b) Motions to quash. Any person to whom a subpena is directed may, prior to the time specified therein for compliance, but on no event more than 5 days after the date of service of such subpena, apply to the designated representative, or if he is unavailable, to the Board, to quash or modify such subpena, accompanying such application with a brief statement of the reasons therefor. The designated representative or the Board, as the case may be, may: (1) Deny the application; (2) quash or revoke the subpena; (3) modify the subpena; or (4) condition the granting of the application on such terms as the designated representative or the Board, as the case may be, determines, in his or its discretion, to be just, reasonable, and proper.

(c) Attendance of witnesses. Subpenas issued in connection with any investigative proceeding or formal examination proceeding may require the attendance and testimony of witnesses from any State or territory of the United States and the production by such witnesses of documentary or other tangible evidence at any designated place where the proceeding is being (or is to be) conducted. Witnesses summoned in any proceeding under this part shall be paid the same fees and mileage that are paid witnesses in the district courts of the United States. Witness fees and mileage shall be paid by the Board, except that whenever a person, during the course of a public investigative proceeding, calls witnesses on his own behalf as provided for by paragraph (c) of § 512.5, such person shall be responsible for the payment of fees and mileage with respect to those witnesses called by him.

The term "creditor liabilities" means every form of obligation or debt, secured or unsecured, including deposits, investment certificates, certificates of indebtedness, and all taxes, which the member is directly obligated to pay.

§ 521.5 Deposits in banks or trust companies.

The term "deposits in banks or trust companies" includes a checking account maintained by a Federal Home Loan Bank with the Treasurer of the United States, or a deposit in another Federal Home Loan Bank.

§ 521.6 Home mortgage.

The term" home mortgage" means a mortgage upon real estate in fee simple, or on a leasehold (a) under a lease for not less than 99 years which is renewable or (b) under a lease for not less than 50 years to run from the date the mortgage was executed, upon which is located, or which comprises or includes, one or more homes or other dwelling units, and includes, in addition to first mortgages. real estate sales contracts and such other classes of first liens as are commonly given to secure advances on real estate by institutions authorized under the act to become members under the laws of the State in which the real estate is located, together with the credit instruments, if any, secured thereby.

(Secs. 2, 10, 47 Stat. 725, as amended, 731, as amended; 12 U.S.C. 1422, 1430) [28 F.R. 4838, May 15, 1963]

§ 521.6-1 Home.

The term "home" means a structure designed for residential use for one family.

(Secs. 2, 10, 47 Stat. 725, as amended, 731 as amended; 12 U.S.C. 1422, 1430) [28 F.R. 4838, May 15, 1963]

§ 521.6-2 Other dwelling unit.

The term "other dwelling unit" means a single combination of rooms suitable for a family, in a structure designed primarily for residential use that is not a home as defined in § 521.6-1.

(Secs. 2, 10, 47 Stat. 725, as amended, 731 as amended; 12 U.S.C. 1422, 1430) [28 F.R. 4838, May 15, 1963]

The term "net assets" means gross assets less:

(a) An amount equivalent to the book value of shares pledged in connection with loans of the share account sinking fund type;

(b) An amount equivalent to unapplied credits or mortgage loans;

(c) An amount equivalent to mortgages in process carried as a liability;

(d) An amount equivalent to unassumed mortgages on real estate owned if carried as a liability;

(e) Inter-series loans; (f) Delinquent dues;

(g) An amount equivalent to reserves for depreciation on office building and furniture and fixtures unless these assets are carried at net figures with the reserves shown as a deduction from the original cost;

(h) An amount equivalent to special reserves established pursuant to § 545.18 of Subchapter C of this chapter and similar reserves established by Statechartered institutions pursuant to rules and regulations of State supervisory authorities:

(i) Current expenses;

(j) Any other similar contra item of an off-setting, bookkeeping nature. § 521.9 Obligations of the United States.

The term "obligations of the United States" means all evidences of indebtedness issued by the United States or fully guaranteed as to principal and interest by the United States.