[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: 31CFR330.4]

[Page 225]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 330--REGULATIONS GOVERNING PAYMENT UNDER SPECIAL ENDORSEMENT OF UNITED STATES SAVINGS BONDS AND UNITED STATES SAVINGS NOTES (FREEDOM SHARES)--Table of Contents
 
Sec. 330.4  Guaranty given to the United States.

    By the act of paying or presenting to a designated Federal Reserve 
Bank, for payment or exchange, a security on which it has affixed the 
special endorsement, a payment agent shall be deemed to have:
    (a) Unconditionally guaranteed to the United States the validity of 
the transaction, including the identification of the owner and the 
disposition of the proceeds or the new bonds, as the case may be, in 
accordance with the presenter's instruction;
    (b) Assumed complete and unconditional liability to the United 
States for any loss which may be incurred by the United States as a 
result of the transaction; and
    (c) Unconditionally agreed to make prompt reimbursement for the 
amount of any loss, upon request of the Department of the Treasury.

[53 FR 37519, Sept. 26, 1988, as amended at 59 FR 10539, Mar. 4, 1994]