Bankowość · 30/12/1998

Repudiation and Asset-backed Securitizations and Loan Participations

In response to inquiries from insured depository institutions, accountants, and other parties involved in asset-backed securitizations and loan participations, the Board of Directors of the FDIC (Board) is proposing to adopt a Statement of Policy Regarding Treatment of Securitizations and Loan Participations After Appointment of the Federal Deposit Insurance Corporation as Conservator or Receiver (Statement of Policy) to clarify how the FDIC will treat securitizations and loan participations in its role as conservator or receiver of insured depository institutions. The proposed Statement of Policy provides that subject to certain conditions, the FDIC will not attempt to reclaim, recover, or recharacterize as property of the institution or the receivership estate in the case of a securitization, the financial assets transferred by the insured depository institution to a special purpose entity in connection with the securitization, or in the case of a loan participation, the undivided interest transferred to a participant in connection with the loan participation. It is anticipated that the proposed Statement of Policy would provide helpful guidance to insured depository institutions