7 U.S.C. § 926 : US Code - Section 926: Certain rural development investments by qualified telephone borrowers not treated as dividends or distributions

Search 7 U.S.C. § 926 : US Code - Section 926: Certain rural development investments by qualified telephone borrowers not treated as dividends or distributions

(a) In general
The Secretary and the Governor of the telephone bank shall not - 
(1) treat any amount invested by any qualified telephone
borrower for any purpose described in section 2204b(c)(2) of this
title (including any investment in, or extension of credit,
guarantee, or advance made to, an affiliated company of the
borrower, that is used by such company for such a purpose) as a
dividend or distribution of capital to the extent that,
immediately after such investment, the aggregate of such
investments does not exceed  1/3  of the net worth of the
borrower; or
(2) require a qualified telephone borrower to obtain the
approval of the Secretary or the Governor of the telephone bank
in order to make an investment described in paragraph (1).
(b) "Qualified telephone borrower" defined
As used in subsection (a) of this section, the term "qualified
telephone borrower" means a person - 
(1) to whom a telephone loan has been made or guaranteed under
this chapter; and
(2) whose net worth is at least 20 percent of the total assets
of such person.