[Code of Federal Regulations]
[Title 27, Volume 1]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 27CFR25.98]

[Page 627-628]
 
            TITLE 27--ALCOHOL, TOBACCO PRODUCTS AND FIREARMS
 
 CHAPTER I--ALCOHOL AND TOBACCO TAX AND TRADE BUREAU, DEPARTMENT OF THE 
                                TREASURY
 
PART 25--BEER--Table of Contents
 
                 Subpart H--Bonds and Consents of Surety
 
Sec. 25.98  Surety or security.

    (a) Bond coverage. Bonds required by this part will be given with 
corporate surety or collateral security.
    (b) Corporate surety. Surety bonds may be given only with surety 
companies holding certificates of authority from the Secretary as 
acceptable sureties on Federal bonds, subject to the limitations set 
forth in the current revision of Treasury Department Circular No. 570, 
Companies Holding Certificates of Authority as Acceptable Reinsuring 
Companies.
    (c) Revisions of Circular No. 570. Treasury Department Circular No. 
570 is published in the Federal Register annually as of the first 
workday in July. As they occur, interim revisions of the circular are 
published in the Federal Register. Copies may be obtained from the 
Surety Bond Branch, Financial Management Service, Department of the 
Treasury, Washington, DC 20226.
    (d) More than one corporate surety. A bond may be executed by two or 
more corporate sureties. Each corporate surety may limit its liability 
in terms on the face of the bond in a specified amount. This amount may 
not exceed the limitations set forth for corporate security by the 
Secretary which are set forth in the current revision of Treasury 
Department Circular No. 570. The

[[Page 628]]

sum of the liabilities for the sureties will equal the required penal 
sum of the bond.
    (e) Deposit of collateral securities in lieu of corporate surety. 
Bonds or notes of the United States, or other obligations which are 
unconditionally guaranteed as to both interest and principal by the 
United States, may be pledged and deposited by principals as collateral 
security in lieu of corporate surety in accordance with 31 CFR Part 225.

(96 Stat. 1068, 1085 (31 U.S.C. 9304-9308); sec. 201, Pub. L. 85-859, 72 
Stat. 1388, as amended (26 U.S.C. 5401))