[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: 31CFR357.23]

[Page 406]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 357--REGULATIONS GOVERNING BOOK-ENTRY TREASURY BONDS, NOTES AND BILLS (DEPARTMENT OF THE TREASURY CIRCULAR, PUBLIC DEBT SERIES NO. 2-86)--Table of Contents
 
   Subpart C--Treasury Direct Book-Entry Securities System (TREASURY 
                                 DIRECT)
 
Sec. 357.23  Judicial proceedings--sovereign immunity.

    (a) Department and Federal Reserve Banks not proper parties. The 
Department and the Federal Reserve Banks are not proper defendants in a 
judicial proceeding involving competing claims to a security held in 
TREASURY DIRECT nor are they subject to any injunction or restraining 
order issued with respect to a security. The Department will not 
recognize a notice of a pending or contemplated judicial or 
administrative proceeding affecting a security in TREASURY DIRECT.
    (b) Orders--(1) Ownership rights. The Department will recognize a 
final order entered by a court that affects ownership rights in a 
security in TREASURY DIRECT if:
    (i) The order is consistent with the provisions of this subpart and 
the terms and conditions of the security; and
    (ii) The Department has received evidence of the order, as provided 
in paragraph (c) of this section.
    (2) Transaction request. The Department will honor a transaction 
request submitted by a person appointed by a court and having authority 
under an order of a court to dispose of the security or payment with 
respect thereto if:
    (i) The ordered disposition of the security or payments with respect 
thereto is consistent with the provisions of this subpart and the terms 
and conditions of the security; and
    (ii) The Department has received evidence of the appointment and 
order, as provided in paragraph (c) of this section.
    (c) Evidence required. Before the Department will recognize an order 
or determination entered by a court, the Department must have received a 
certified copy of the judgment, decree, or order and any additional 
documents deemed necessary by the Department. A certificate from the 
clerk of the court, bearing the seal of the court, must also be 
submitted stating that the judgment, decree, or order is still in full 
force and has not been stayed or appealed, and that the time for filing 
an appeal has passed. Before the Department will honor a transaction 
request submitted by a person appointed by a court, the Department must 
receive a certified copy of the order making the appointment and 
describing specifically the person's authority, and any additional 
documents deemed necessary by the Department.

(Approved by the Office of Management and Budget under control number 
1535-0068)