§ 1747d. — Excess earnings used for amortization of original investment.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC1747d]
TITLE 12--BANKS AND BANKING
CHAPTER 13--NATIONAL HOUSING
SUBCHAPTER VII--INSURANCE FOR INVESTMENTS IN RENTAL HOUSING FOR FAMILIES
OF MODERATE INCOME
Sec. 1747d. Excess earnings used for amortization of original
investment
For all of the purposes of any insurance contract made pursuant to
this subchapter, 50 per centum of the excess earnings, if any, for any
operating year may be applied, in addition to the minimum annual return,
to return on the outstanding investment but only to the extent that such
application thereof does not result in an annual return of more than 5
per centum of the outstanding investment for such operating year, and
the balance of any such excess earnings shall be applied, in addition to
the minimum annual amortization charge, to amortization of the
outstanding investment: Provided, That if in any preceding operating
years the gross income shall have been less than the operating expenses,
such excess earnings shall be applied to the extent necessary in whole
or in part, first, to the reimbursement of the amount of the difference
between such expenses (exclusive of any premium charges previously
waived hereunder) and such income, and, second, to the payment of any
premium charges previously waived hereunder.
(June 27, 1934, ch. 847, title VII, Sec. 705, as added Aug. 10, 1948,
ch. 832, title IV, Sec. 401, 62 Stat. 1277.)
Section Referred to in Other Sections
This section is referred to in section 1747l of this title.
