A manufacturer of tobacco products shall immediately file a new bond to supersede his current bond when

1. (a) The corporate surety on the current bond becomes insolvent,
2. (b) The appropriate TTB officer approves a request from the surety on the current bond to terminate his liability under the bond,
3. (c) Payment of any liability under a bond is made by the surety thereon,
4. (d) The amount of the bond is no longer sufficient under the provisions of § 40.133 or § 40.134 and a strengthening bond has not been filed, or

5. (e) The appropriate TTB officer considers such a superseding bond necessary for the protection of the revenue.

   Where a bond is not filed as required under the provisions of this section the manufacturer shall discontinue forthwith the operations to which such bond relates.

   (72 Stat. 1421: 26 U.S.C. 5711)