Except as provided in paragraph (b) of this section, a regulated entity shall make no capital distribution while in conservatorship.
The Director may authorize, or may delegate the authority to authorize, a capital distribution that would otherwise be prohibited by paragraph (a) of this section if he or she determines that such capital distribution:
Will enhance the ability of the regulated entity to meet the risk-based capital level and the minimum capital level for the regulated entity;
Will contribute to the long-term financial safety and soundness of the regulated entity;
Is otherwise in the interest of the regulated entity; or
Is otherwise in the public interest.
This section is intended to supplement and shall not replace or affect any other restriction on capital distributions imposed by statute or regulation.
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