[Code of Federal Regulations]
[Title 31, Volume 2]
[Revised as of July 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 31CFR309.11]

[Page 162]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 309--ISSUE AND SALE OF TREASURY BILLS--Table of Contents
 
Sec. 309.11  Tenders; payment of accepted tenders.

    Settlement for accepted tenders in accordance with the bids must be 
made or completed at the appropriate Federal Reserve Bank or branch or 
at the Bureau of the Public Debt in cash or other immediately available 
funds on or before the date specified, except that the Secretary of the 
Treasury, in his discretion, when inviting tenders for Treasury bills, 
may provide:
    (a) That any qualified depositary may make such settlement by 
credit, on behalf of itself and its customers, up to any amount for 
which it shall be qualified in excess of existing deposits, when so 
notified by the Federal Reserve Bank of its District or
    (b) That such settlement may be made in maturing Treasury bills 
accepted in exchange.

Whenever the Secretary provides for settlement in maturing Treasury 
bills, cash adjustments will be made for differences between the par 
value of the maturing bills and the issue price of the new bills.