§ 265. — Insured banks as depositaries of public money; duties; security; discrimination between banks prohibited; repeal of inconsistent laws.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC265]
TITLE 12--BANKS AND BANKING
CHAPTER 3--FEDERAL RESERVE SYSTEM
SUBCHAPTER V--FEDERAL DEPOSIT INSURANCE CORPORATION
Sec. 265. Insured banks as depositaries of public money; duties;
security; discrimination between banks prohibited; repeal of
inconsistent laws
All insured banks designated for that purpose by the Secretary of
the Treasury shall be depositaries of public money of the United States
(including, without being limited to, revenues and funds of the United
States, and any funds the deposit of which is subject to the control or
regulation of the United States or any of its officers, agents, or
employees, and Postal Savings funds), and the Secretary is authorized to
deposit public money in such depositaries, under such regulations as may
be prescribed by the Secretary; and they may also be employed as
financial agents of the Government; and they shall perform all such
reasonable duties, as depositaries of public money and financial agents
of the Government as may be required of them. The Secretary of the
Treasury shall require of the insured banks thus designated satisfactory
security by the deposit of United States bonds or otherwise, for the
safekeeping and prompt payment of public money deposited with them and
for the faithful performance of their duties as financial agents of the
Government: Provided, That no such security shall be required for the
safekeeping and prompt payment of such parts of the deposits of the
public money in such banks as are insured deposits and each officer,
employee, or agent of the United States having official custody of
public funds and lawfully depositing the same in an insured bank shall,
for the purpose of determining the amount of the insured deposits, be
deemed a depositor in such custodial capacity separate and distinct from
any other officer, employee, or agent of the United States having
official custody of public funds and lawfully depositing the same in the
same insured bank in custodial capacity. Notwithstanding any other
provision of law, no department, board, agency, instrumentality,
officer, employee, or agent of the United States shall issue or permit
to continue in effect any regulations, rulings, or instructions or enter
into or approve any contracts or perform any other acts having to do
with the deposit, disbursement, or expenditure of public funds, or the
deposit, custody, or advance of funds subject to the control of the
United States as trustee or otherwise which shall discriminate against
or prefer national banking associations, State banks members of the
Federal Reserve System, or insured banks not members of the Federal
Reserve System, by class, or which shall require those enjoying the
benefits, directly or indirectly, of disbursed public funds so to
discriminate. All Acts or parts thereof in conflict herewith are
repealed. The terms ``insured bank'' and ``insured deposit'' as used in
this section shall be construed according to the definitions of such
terms in section 1813 of this title.
(June 11, 1942, ch. 404, Sec. 10, 56 Stat. 356; Sept. 3, 1954, ch. 1263,
Sec. 26, 68 Stat. 1235.)
Codification
Section was formerly classified to section 1110 of the Appendix to
Title 50, War and National Defense.
Amendments
1954--Act Sept. 3, 1954, substituted ``section 1813'' for ``section
264'' in last sentence.
Section Referred to in Other Sections
This section is referred to in title 49 section 22106.
