20 U.S.C. § 2009 : US Code - Section 2009: Harry S Truman Memorial Scholarship Trust Fund

Search 20 U.S.C. § 2009 : US Code - Section 2009: Harry S Truman Memorial Scholarship Trust Fund

(a) Establishment
There is established in the Treasury of the United States a trust
fund to be known as the Harry S Truman Memorial Scholarship Trust
Fund. The fund shall consist of amounts appropriated to it by
section 2013 of this title.
(b) Investment in interest bearing obligations
It shall be the duty of the Secretary to invest in full the
amounts appropriated to the fund. Such investments may be made only
in interest-bearing obligations of the United States or in
obligations guaranteed as to both principal and interest by the
United States. For such purpose, such obligations may be acquired
(1) on original issue at the issue price, or (2) by purchase of
outstanding obligations at the market place. The purposes for which
obligations of the United States may be issued under chapter 31 of
title 31, are hereby extended to authorize the issuance at par of
special obligations exclusively to the fund. Such special
obligations shall bear interest at a rate equal to the average rate
of interest, computed as to the end of the calendar month next
preceding the date of such issue, borne by all marketable interest-
bearing obligations of the United States then forming a part of
the public debt; except that where such average rate is not a
multiple of one-eighth of 1 per centum, the rate of interest of
such special obligations shall be the multiple of one-eighth of 1
per centum next lower than such average rate. Such special
obligations shall be issued only if the Secretary determines that
the purchase of other interest-bearing obligations of the United
States, or of obligations guaranteed as to both principal and
interest by the United States or original issue or at the market
price, is not in the public interest.
(c) Sale and redemption of obligations
Any obligation acquired by the fund (except special obligations
issued exclusively to the fund) may be sold by the Secretary at the
market price, and such special obligations may be redeemed at par
plus accrued interest.
(d) Credit to the fund of interest and proceeds of sale or
redemption
The interest on, and the proceeds from the sale or redemption of,
any obligations held in the fund shall be credited to and form a
part of the fund.