---
kind: "section"
citation: "12 U.S.C. § 4581"
title: "12"
title_heading: "Banks and Banking"
number: "4581"
heading: "Cease and desist proceedings"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/4581"
units:
  - "Chapter 46 — Government Sponsored Enterprises"
  - "Subchapter I — Supervision and Regulation of Enterprises"
  - "Part B — Additional Authorities of the Director"
  - "Subpart 3 — enforcement"
---

# §4581. Cease and desist proceedings

- (a) **Grounds for issuance—** The [Director](/usc/12/4502.md?p=9) may issue and serve a notice of charges under this section upon an [enterprise](/usc/12/4502.md?p=10) if the [Director](/usc/12/4502.md?p=9) determines that—
  - (1) the [enterprise](/usc/12/4502.md?p=10) has failed to submit a report under [section 4547](/usc/12/4547.md)[^1] of this title, following a notice of such failure, an opportunity for comment by the [enterprise](/usc/12/4502.md?p=10), and a final determination by the [Director](/usc/12/4502.md?p=9);
  - (2) the [enterprise](/usc/12/4502.md?p=10) has failed to submit the information required under subsection (m) or (n) of [section 1723a of this title](/usc/12/1723a.md), or subsection (e) or (f) of [section 1456 of this title](/usc/12/1456.md);
  - (3) solely with respect to the housing goals established under sections [4562(a)](/usc/12/4562.md?p=a) and [4563(a)(1)](/usc/12/4563.md?p=a-1) of this title, the [enterprise](/usc/12/4502.md?p=10) has failed to submit a housing plan that complies with [section 4566(c) of this title](/usc/12/4566.md?p=c) within the applicable period; or
  - (4) solely with respect to the housing goals established under sections [4562(a)](/usc/12/4562.md?p=a) and [4563(a)(1)](/usc/12/4563.md?p=a-1) of this title, the [enterprise](/usc/12/4502.md?p=10) has failed to comply with a housing plan under [section 4566(c) of this title](/usc/12/4566.md?p=c).
- (b) **Procedure—**
  - (1) **Notice of charges—** Each notice of charges issued under this section shall contain a statement of the facts constituting the alleged conduct and shall fix a time and place at which a hearing will be held to determine on the record whether an order to cease and desist from such conduct should issue.
  - (2) **Issuance of order—** If the [Director](/usc/12/4502.md?p=9) finds on the record made at a hearing described in [paragraph (1)](#b-1) that any conduct specified in the notice of charges has been established (or the [enterprise](/usc/12/4502.md?p=10) consents pursuant to [section 4582(a)(4) of this title](/usc/12/4582.md?p=a-4)), the [Director](/usc/12/4502.md?p=9) may issue and serve upon the [enterprise](/usc/12/4502.md?p=10) an order requiring the [enterprise](/usc/12/4502.md?p=10) to—
    - (A) submit a report under [section 4547](/usc/12/4547.md)[^1] of this title;
    - (B) solely with respect to the housing goals established under sections [4562(a)](/usc/12/4562.md?p=a) and [4563(a)(1)](/usc/12/4563.md?p=a-1) of this title, submit a housing plan in compliance with [section 4566(c) of this title](/usc/12/4566.md?p=c);
    - (C) solely with respect to the housing goals established under sections [4562(a)](/usc/12/4562.md?p=a) and [4563(a)(1)](/usc/12/4563.md?p=a-1) of this title, comply with the housing plan in compliance with [section 4566(c) of this title](/usc/12/4566.md?p=c); or
    - (D) provide the information required under subsection (m) or (n) of [section 1723a of this title](/usc/12/1723a.md), or subsection (e) or (f) of [section 1456 of this title](/usc/12/1456.md).
- (c) **Effective date—** An order under this section shall become effective upon the expiration of the 30-day period beginning on the date of service of the order upon the [enterprise](/usc/12/4502.md?p=10) (except in the case of an order issued upon consent, which shall become effective at the time specified therein), and shall remain effective and enforceable as provided in the order, except to the extent that the order is stayed, modified, terminated, or set aside by action of the [Director](/usc/12/4502.md?p=9) or otherwise, as provided in this subpart.

## Footnotes

[^1]: See References in Text note below.

## Source credit

(Pub. L. 102–550, title XIII, § 1341, as added Pub. L. 110–289, div. A, title I, § 1130(c)(2), July 30, 2008, 122 Stat. 2708.)

## Notes

### Editorial Notes

### References in Text

Section 4547 of this title, referred to in subsecs. (a)(1) and (b)(2)(A), was repealed by Pub. L. 110–289, div. A, title I, § 1104(b), July 30, 2008, 122 Stat. 2667.

### Prior Provisions

A prior section 4581, Pub. L. 102–550, title XIII, § 1341, Oct. 28, 1992, 106 Stat. 3964, related to cease-and-desist proceedings, prior to repeal by Pub. L. 110–289, div. A, title I, § 1130(c)(1), July 30, 2008, 122 Stat. 2708.