106 STAT. 4052 PUBLIC LAW 102-550—OCT. 28,1992

53 of title 31, United States Code, and such violation
was not inadvertent or unintentional;

"(ii) an officer or director of an insured depository
institution has knowledge that an institution-affiliated
party of the insured depository institution has violated
any such provision or ajny provision of law referred
to in subsection (gXIXAXii); or

"(iii) an officer or director of an insured depository
institution has committed any violation of the Deposi-
tory Institution Management Interlocks Act,
the agency may serve upon such party, officer, or director
a written notice of the agency's intention to remove such
party from office.

*(B) FACTORS TO BE CONSIDERED.—In determining
whether an officer or director should be removed as a
result of the application of subparagraph (AXii), the agency
shall consider whether the officer or director took appro-
priate action to stop, or to prevent the recurrence of, a
violation described in such subparagraph.".
(2) CERTAIN FELONY CHARGES.—Section 8(gXD of the Fed-
eral Deposit Insurance Act (12 U.S.C. 1818(gXD) is amended
to read as follows:

"(1) SUSPENSION OR PROHIBITION.—

"(A) IN GENERAL.—Whenever any institution-affiliated
party is charged in any information, indictment, or com-
plaint, with the commission of or participation in—

"(i) a crime involving dishonesty or breach of trust
which is punishable by imprisonment for a term
exceeding one year under State or Federal law, or
"(ii) a criminal violation of section 1956, 1957,
or 1960 of title 18, United States Code, or section
5322 of title 31, United States Code,
the appropriate Federal banking agency may, if continued
service or participation by such party may pose a threat
to the interests of the depository institution's depositors
or may threaten to impair public confidence in the deposi-
tory institution, by written notice served upon such party,
suspend such party from office or prohibit such party from
further participation in any manner in the conduct of the
affairs of the depository institution.

"(B) PROVISIONS APPLICABLE TO NOTICE.—

"(i) COPY.—A copy of any notice under subpara-
graph (A) shall also be served upon the depository
institution.

"(ii) EFFECTIVE PERIOD.—A suspension or prohibi-
tion under subparagraph (A) shall remain in effect
until the information, indictment, or complaint referred
to in such subparagraph is finally disposed of or until
terminated by the agency.
a(C) REMOVAL OR PROHIBITION.—

a(i) IN GENERAL.—If a judgment of conviction or
an agreement to enter a pretrial diversion or other
similar program is entered against an institution-affili-
ated party in connection with a crime described in
subparagraph (AXi), at such time as such judgment
is not subject to further appellate review, the appro-
priate Federal banking agency may, if continued serv-