§2297h–3 Establishment of private corporation

Summary

Directors must form a private, for-profit company under state law to take the Corporation’s assets and obligations at privatization and keep its business running. The directors can be the incorporators and must do the paperwork to create the company. Employees, officers, or board members who act for the new company under these rules are treated as if they are acting in their official roles for the Corporation for the purposes of federal law 18 U.S.C. 205. The new company is not a U.S. government agency or government-controlled corporation. Its debts are not obligations of the United States or of the Corporation unless this subchapter says otherwise, and the debts must say that. You cannot bring a claim against the United States under 28 U.S.C. 1491 based on the private company’s actions. Starting on the privatization date, the rules in 18 U.S.C. 207(a)–(d) do not apply to someone doing official duties for the private company if they were an officer or employee of the Corporation continuously during the 45 days before privatization. If privatization does not happen, the private company must be dissolved within 1 year of incorporation unless the Secretary of the Treasury (or a delegate) agrees to delay dissolution for one more year.