PART 51—RECEIVERSHIPS FOR UNINSURED NATIONAL BANKS Authority: 12 U.S.C. 16, 93a, 191-200, 481, 482, 1831c, and 1867. Source: 81 FR 92602, Dec. 20, 2016, unless otherwise noted. § 51.1 Purpose and scope. (a) Purpose. (b) Scope. 31 31 § 51.2 Appointment of receiver. (a) In general. (b) Grounds for appointment. (c) Judicial review. § 51.3 Notice of appointment of receiver. Upon appointment of a receiver for an uninsured bank, the OCC will provide notice to the public of the receivership, including by publication in a newspaper of general circulation for three consecutive months. The notice of the receivership will provide instructions for creditors and other claimants seeking to submit claims with the receiver for the uninsured bank. § 51.4 Claims. (a) Submission of claims for consideration by the OCC. (2) The OCC will establish a date by which any person seeking to present a claim against the uninsured bank for consideration by the OCC must present their claim for determination. The deadline for filing such claims will not be less than 30 days after the end of the three-month notice period in § 51.3. (3) The OCC will allow any claim against the uninsured bank received on or before the deadline for presenting claims if such claim is established to the OCC's satisfaction by the information on the uninsured bank's books and records or otherwise submitted. The OCC may disallow any portion of any claim by a creditor or claim of a security, preference, set-off, or priority which is not established to the satisfaction of the OCC. (b) Submission of claims to a court. (c) Right of set-off. § 51.5 Order of priorities. The OCC will pay receivership expenses and proved claims against the uninsured bank in receivership in the following order of priority: (a) Administrative expenses of the receiver; (b) Unsecured creditors of the uninsured bank, including secured creditors to the extent their claim exceeds their valid and enforceable security interest; (c) Creditors of the uninsured bank, if any, whose claims are subordinated to general creditor claims; and (d) Shareholders of the uninsured bank. § 51.6 Administrative expenses of receiver. (a) Priority of administrative expenses. (b) Scope of administrative expenses. (c) Types of administrative expenses. (1) Salaries, costs, and other expenses of the receiver and its staff, and costs of contracts entered into by the receiver for professional services relating to performing receivership duties; and (2) Expenses necessary for the operation of the uninsured bank, including wages and salaries of employees, expenses for professional services, contractual rent pursuant to an existing lease or rental agreement, and payments to third-party or affiliated service providers, that in the opinion of the receiver are of benefit to the receivership, until the date the receiver repudiates, terminates, cancels, or otherwise discontinues the applicable contract. § 51.7 Powers and duties of receiver; disposition of fiduciary and custodial accounts. (a) Marshalling of assets. (1) Takes possession of the books, records and other property and assets of the uninsured bank, including the value of collateral pledged by the uninsured bank to the extent it exceeds valid and enforceable security interests of a claimant; (2) Collects all debts, dues and claims belonging to the uninsured bank, including claims remaining after set-off; (3) Sells or compromises all bad or doubtful debts, subject to approval by a court of competent jurisdiction; (4) Sells the real and personal property of the uninsured bank, subject to approval by a court of competent jurisdiction, on such terms as the court shall direct; and (5) Deposits all receivership funds collected from the liquidation of the uninsured bank in an account designated by the OCC. (b) Disposition of fiduciary and custodial accounts. (c) Other powers. (d) Reports to OCC. (e) Receiver subject to removal; modification of fees. (2) The Comptroller may reduce the fees of the receiver for an uninsured bank if, in the Comptroller's discretion, the Comptroller finds the performance of the receiver to be deficient, or the fees of the receiver to be excessive, unreasonable, or beyond the scope of the work assigned to the receiver. § 51.8 Payment of claims and dividends to shareholders. (a) Claims. (2) Dividend payments to creditors and other claimants of an uninsured bank will be made solely from receivership funds, if any, paid to the OCC by the receiver after payment of the expenses of the receiver. (b) Fiduciary and custodial assets. (c) Timing of dividends. (d) Distribution to shareholders. § 51.9 Termination of receivership. If there are assets remaining after full payment of the expenses of the receiver and all claims of creditors for an uninsured bank and all fiduciary accounts of the bank have been closed or transferred to a successor fiduciary and fiduciary powers surrendered, the Comptroller shall call a meeting of the shareholders of the uninsured bank, as provided in 12 U.S.C. 197, for the shareholders to decide the manner in which the liquidation will continue. The liquidation may continue by: (a) Continuing the receivership of the uninsured bank under the direction of the Comptroller; or (b) Ending the receivership and oversight by the Comptroller and replacing the receiver with a liquidating agent to proceed to liquidate the remaining assets of the uninsured bank for the benefit of the shareholders, as set out in 12 U.S.C. 197.