§ 1453. — Capitalization of Federal Home Loan Mortgage Corporation.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC1453]
TITLE 12--BANKS AND BANKING
CHAPTER 11A--FEDERAL HOME LOAN MORTGAGE CORPORATION
Sec. 1453. Capitalization of Federal Home Loan Mortgage
Corporation
(a) Common stock; issuance
The common stock of the Corporation shall consist of voting common
stock, which shall be issued to such holders in the manner and amount,
and subject to any limitations on concentration of ownership, as may be
established by the Corporation.
(b) Par value
The voting common stock shall have such par value and other
characteristics as the Corporation provides. The voting common stock
shall be vested with all voting rights, each share being entitled to 1
vote. The free transferability of the voting common stock at all times
to any person, firm, corporation or other entity shall not be restricted
except that, as to the Corporation, it shall be transferable only on the
books of the Corporation.
(Pub. L. 91-351, title III, Sec. 304, July 24, 1970, 84 Stat. 454; Pub.
L. 101-73, title VII, Sec. 731(d)(1), (3), Aug. 9, 1989, 103 Stat. 432;
Pub. L. 102-550, title XIII, Sec. 1382(i), Oct. 28, 1992, 106 Stat.
4004.)
Amendments
1992--Subsec. (a). Pub. L. 102-550, Sec. 1382(i)(2), (3)(C),
redesignated par. (1) as subsec. (a), struck out provisions of par.
(1)(A) which related to common stock of Corporation consisting in part
of nonvoting common stock issued only to Federal home loan banks,
restate provisions of par. (1)(B) as text of subsec. (a), and
redesignated par. (2) as subsec. (b).
Subsec. (b). Pub. L. 102-550, Sec. 1382(i)(1), (3), redesignated
subsec. (a)(2) as (b), struck out ``nonvoting common stock and the''
before ``voting common stock shall have such'', struck out at end
``Nonvoting common stock of the Corporation shall be evidenced in the
manner and shall be transferable only to the extent, to the transferees,
and in the manner, provided by the Corporation.'', and struck out former
subsec. (b) which read as follows: ``The Federal home loan banks shall
from time to time subscribe, at such price not less than par as the
Corporation shall from time to time fix, for such amounts of nonvoting
common stock as the Corporation prescribes, and such banks shall pay
therefor at such time or times and in such amount or amounts as may from
time to time be fixed by call of the Corporation. The amount of the
payments for which such banks may be obligated under such subscriptions
shall not exceed a cumulative total of $100,000,000.''
Subsec. (c). Pub. L. 102-550, Sec. 1382(i)(1), struck out subsec.
(c) which read as follows: ``Subscriptions of the respective Federal
home loan banks to nonvoting common stock shall be allocated by the
Corporation.''
Subsec. (d). Pub. L. 102-550, Sec. 1382(i)(1), struck out subsec.
(d) which read as follows: ``The Corporation may retire at any time all
or any part of the nonvoting common stock of the Corporation, or may
call for retirement all or any part of the nonvoting common stock of the
Corporation by (1) publishing a notice of the call in the Federal
Register or providing such notice in such other manner as the
Corporation may determine to be appropriate, and (2) depositing with the
Treasurer of the United States, for the purpose of such retirement,
funds sufficient to effect such retirement. No call for the retirement
of any nonvoting common stock shall be made, and no nonvoting common
stock shall be retired without call, if immediately after such action,
the total of the nonvoting common stock not called for retirement and of
the reserves and surplus of the Corporation would be less than
$100,000,000. The retirement of nonvoting common stock shall be at the
par value thereof, or at the price at which such nonvoting common stock
was issued if such price is greater than par value. No declaration of
any dividend on nonvoting common stock of the Corporation shall be
effective with respect to nonvoting common stock which at the time of
such declaration is the subject of an outstanding retirement call the
effective date of which has arrived.''
1989--Subsec. (a). Pub. L. 101-73, Sec. 731(d)(1), amended subsec.
(a) generally. Prior to amendment, subsec. (a) read as follows: ``The
capital stock of the Corporation shall consist of nonvoting common stock
which shall be issued only to Federal home loan banks and shall have
such par value and such other characteristics as the Corporation
prescribes. Stock of the Corporation shall be evidenced in such manner
and shall be transferable only to such extent, to such transferees, and
in such manner as the Corporation prescribes.''
Subsec. (b). Pub. L. 101-73, Sec. 731(d)(3)(A), substituted
``nonvoting common stock'' for ``common stock''.
Subsec. (c). Pub. L. 101-73, Sec. 731(d)(3)(B), substituted
``nonvoting common stock'' for ``such stock''.
Subsec. (d). Pub. L. 101-73, Sec. 731(d)(3)(C), inserted ``nonvoting
common'' before ``stock'' wherever appearing.
Conversion of Stock
Section 731(d)(2) of Pub. L. 101-73 provided that: ``On the date of
the enactment of this Act [Aug. 9, 1989], each share of outstanding
senior participating preferred stock of the Federal Home Loan Mortgage
Corporation, with a par value of $2.50 per share, shall be changed into
and shall become 1 share of voting common stock of the Corporation. Such
voting common stock shall, with respect to the nonvoting common stock of
the Corporation, retain all of the rights, priorities and privileges of
the senior participating preferred stock. The transformation of the
senior participating preferred stock into voting common stock under this
paragraph shall be deemed to satisfy the obligation of the Corporation
to redeem senior participating preferred stock for non-callable common
stock.''