---
kind: "section"
citation: "12 U.S.C. § 2262"
title: "12"
title_heading: "Banks and Banking"
number: "2262"
heading: "Temporary cease and desist orders"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/2262"
units:
  - "Chapter 23 — Farm Credit System"
  - "Subchapter V — Farm Credit Administration Organization"
  - "Part C — Enforcement Powers of Farm Credit Administration"
---

# §2262. Temporary cease and desist orders

- (a) Whenever the Farm [Credit](/usc/12/5481.md?p=7) Administration shall determine that the [violation](/usc/12/2271.md?p=2) or threatened [violation](/usc/12/2271.md?p=2) or the [unsafe or unsound practice](/usc/12/2271.md?p=5) or practices, specified in the notice of charges served upon the [institution](/usc/12/2271.md?p=3) or any [director](/usc/12/2279bb.md?p=3), officer, employee, agent, or other [person](/usc/12/5481.md?p=19) participating in the conduct of the affairs of such [institution](/usc/12/2271.md?p=3) under [section 2261 of this title](/usc/12/2261.md), or the continuation thereof, is likely to cause insolvency or substantial dissipation of assets or earnings of the [institution](/usc/12/2271.md?p=3), or is likely to seriously weaken the condition of the [institution](/usc/12/2271.md?p=3) or otherwise seriously prejudice the interests of the investors in Farm [Credit](/usc/12/5481.md?p=7) System obligations or shareholders in the [institution](/usc/12/2271.md?p=3) prior to the completion of the proceedings conducted under [section 2261 of this title](/usc/12/2261.md), the Farm [Credit](/usc/12/5481.md?p=7) Administration may issue a temporary order requiring the [institution](/usc/12/2271.md?p=3) or such [director](/usc/12/2279bb.md?p=3), officer, employee, agent, or other [person](/usc/12/5481.md?p=19) to cease and desist from any such [violation](/usc/12/2271.md?p=2) or practice and to take affirmative action to prevent such insolvency, dissipation, condition, or prejudice pending completion of such proceedings. Such order shall become effective upon service upon the [institution](/usc/12/2271.md?p=3) or such [director](/usc/12/2279bb.md?p=3), officer, employee, agent, or other [person](/usc/12/5481.md?p=19) participating in the conduct of the affairs of such [institution](/usc/12/2271.md?p=3) and, unless set aside, limited, or suspended by a court in proceedings authorized by [subsection (b)](#b), shall remain effective and enforceable pending the completion of the administrative proceedings pursuant to such notice and until such time as the Farm [Credit](/usc/12/5481.md?p=7) Administration shall dismiss the charges specified in such notice, or if a cease and desist order is issued against the [institution](/usc/12/2271.md?p=3) or such [director](/usc/12/2279bb.md?p=3), officer, employee, agent, or other [person](/usc/12/5481.md?p=19), until effective date of such order.
- (b) Within ten days after the [institution](/usc/12/2271.md?p=3) concerned or any [director](/usc/12/2279bb.md?p=3), officer, employee, agent, or other [person](/usc/12/5481.md?p=19) participating in the conduct of the affairs of such [institution](/usc/12/2271.md?p=3) has been served with a temporary cease and desist order, the [institution](/usc/12/2271.md?p=3) or such [director](/usc/12/2279bb.md?p=3), officer, employee, agent, or other [person](/usc/12/5481.md?p=19) may apply to the United States district court for the judicial district in which the home [office](/usc/12/2279bb.md?p=4) of the [institution](/usc/12/2271.md?p=3) is located, or the United States district court for the District of Columbia, for an injunction setting aside, limiting, or suspending the enforcement, operation, or effectiveness of such order pending the completion of the administrative proceedings pursuant to the notice of charges served upon the [institution](/usc/12/2271.md?p=3) or such [director](/usc/12/2279bb.md?p=3), officer, employee, agent, or other [person](/usc/12/5481.md?p=19) under [section 2261 of this title](/usc/12/2261.md), and such court shall have jurisdiction to issue such injunction.

## Source credit

(Pub. L. 92–181, title V, § 5.26, as added Pub. L. 99–205, title II, § 204, Dec. 23, 1985, 99 Stat. 1695.)

## Notes

### Editorial Notes

### Prior Provisions

A prior section 5.26 of Pub. L. 92–181 was renumbered section 5.40 and is set out in part as notes under section 2001 of this title.

### Statutory Notes and Related Subsidiaries

### Effective Date

Section effective thirty days after Dec. 23, 1985, see section 401 of Pub. L. 99–205, set out as an Effective Date of 1985 Amendment note under section 2001 of this title.