103 STAT. 2360 PUBLIC LAW 101-239—DEC. 19, 1989 IfaiL Real property. "(C) the reporting corporation does not substantially comply in a timely manner with such summons and the Secretary has sent by certified or registered mail a notice to such reporting corporation that such reporting corporation has not so substantially complied, the Secretary may apply the rules of paragraph (3) with respect to such transaction (whether or not the Secretary begins a proceeding to enforce such summons). If the reporting corpora- tion fails to maintain (or cause another to maintain) records as required by subsection (a), and by reason of that failure, the summons is quashed in a proceeding described in subparagraph (B) or the reporting corporation is not able to provide the records requested in the summons, the Secretary may apply the rules of paragraph (3) with respect to any transaction to which the records relate. " (3) APPLICABLE RULES IN CASES OF NONCOMPUANCE. —I f the rules of this paragraph apply to any transaction— "(A) the amount of the deduction allowed under subtitle A for any amount paid or incurred by the reporting cor- poration to the related party in connection with such trans- action, and "(B) the cost to the reporting corporation of any property acquired in such transaction from the related party (or transferred by such corporation in such transaction to the related party), shall be the amount determined by the Secretary in the Sec- retary's sole discretion from the Secretary's own knowledge or from such information as the Secretary may obtain through testimony or otherwise. " (4) JUDICIAL PROCEEDINGS.— " (A) PROCEEDINGS TO QUASH. —Notwithstanding any law or rule of law, any reporting corporation to which the Secretary issues a summons referred to in paragraph (2)(A) shall have the right to begin a proceeding to quash such summons not later than the 90th day after such summons was issued. In any such proceeding, the Secretary may seek to compel compliance with such summons. " (B) REVIEW OF SECRETARIAL DETERMINATION OF NON- COMPUANCE. — Notwithstanding any law or rule of law, any reporting corporation which has been notified by the Sec- retary that the Secretary has determined that such cor- poration has not substantially complied with a summons referred to in paragraph (2) shall have the right to begin a proceeding to review such determination not later than the 90th day after the day on which the notice referred to in paragraph (2)(C) was mailed. If such a proceeding is not begun on or before such 90th day, such determination by the Secretary shall be binding and shall not be reviewed by any court. (C) JURISDICTION.—The United States district court for the district in which the person (to whom the summons is issued) resides or is found shall have jurisdiction to hear any proceeding brought under subparagraph (A) or (B). Any order or other determination in such a proceeding shall be treated as a final order which may be appealed. " (D) SUSPENSION OF STATUTE OF LIMITATIONS. — If the reporting corporation brings an action under subparagraph
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