Top Story Security Related

The Securities and Exchange Commission has announced a final judgment in federal court in Tennessee requiring a Richmond, Virginia-based financial services holding company, a subsidiary brokerage firm, and their CEO to pay nearly $70 million as the outcome of a trial that found them liable for fraud. The complaint filed by the SEC against AIC Inc., Community Bankers Securities LLC, and Nicholas D. Skaltsounis alleged that they conducted an offering fraud while selling AIC promissory notes and stock to numerous investors across multiple states, many of whom were elderly or unsophisticated brokerage customers. They misrepresented and omitted material information about the investments when pitching them to investors, including the safety and risk associated with the investments, the rates of return, and how the proceeds would be used by AIC.

FinCEN has announced the issuance of a Geographic Targeting Order (GTO) and updated Guidance designed to greatly improve the transparency of cross-border cash movements. The GTO requires enhanced cash reporting by armored car services and other common carriers of currency at the San Ysidro and Otay Mesa Ports of Entry in California. The updated Guidance concerns the details and proper filing of Currency and Monetary Instruments Reports (CMIRs), which are filed when $10,000 or more in currency is moved across the U.S. border.

The Securities and Exchange Commission has announced a final judgment in federal court in Tennessee requiring a Richmond, Virginia-based financial services holding company, a subsidiary brokerage firm, and their CEO to pay nearly $70 million as the outcome of a trial that found them liable for fraud. The complaint filed by the SEC against AIC Inc., Community Bankers Securities LLC, and Nicholas D. Skaltsounis alleged that they conducted an offering fraud while selling AIC promissory notes and stock to numerous investors across multiple states, many of whom were elderly or unsophisticated brokerage customers. They misrepresented and omitted material information about the investments when pitching them to investors, including the safety and risk associated with the investments, the rates of return, and how the proceeds would be used by AIC.

• Enforcement Actions Announced

  The FDIC has released a list of twenty-eight orders of administrative enforcement actions taken against banks and individuals in March 2008. The actions include eight cease-and-desist orders; seven removal and prohibition orders; eight civil money penalties; one prompt corrective action, three terminations of cease-and-desist orders; and one termination of an 8(b) proceeding and 8(c) order. Actions  4/30/08

• $15 Million CMP Paid For BSA Violations

  FinCEN and the OCC have announced the assessment of concurrent civil money penalties, each $15 million, against the New York Branch of United Bank for Africa, PLC for violations of the Bank Secrecy Act (BSA), which will be satisfied by a single payment of $15 million to Treasury. FinCEN CMP; OCC CMP  4/29/08

• Nauru Advisories Withdrawn

  FinCEN has issued an Advisory announcing the withdrawal of previously issued Advisories 21 and 21A concerning transactions with the Republic of Nauru. Advisory; 21; 21A  4/29/08

• New Electronic Interpretations and Actions Published

  The OCC has published and posted online the April 2008 issue of New Electronic Interpretations and Actions. April 2008  4/29/08

• Marketable Borrowing Estimates Announced

  The estimates of marketable borrowing for the Second and Third Quarters of 2008 have been announced by Treasury. Estimates  4/29/08

• FRB Annual Report

  The FRB has delivered its 94th Annual Report to Congress. Annual Report  4/29/08

• Relationships Cost Wachovia Estimated $143.9 Million

  The OCC has announced that a Settlement Agreement has been entered into with Wachovia Bank, National Association that directs the bank to make restitution of estimated $125 million to consumers harmed by its lack of due diligence and risk management of account relationships with several telemarketers and third party payment processors. An additional contribution of approximately $8.9 million will be made to consumer education programs for the elderly along with payment of a $10 million civil money penalty (CMP) to the U.S. Treasury. Settlement Agreement; CMP  4/28/08

• Payment Processors Risk Management Guidance Issued

  A Bulletin has been issued by the OCC regarding containing guidance for national banks regarding the higher risk presented by relationships with companies that process payments for telemarketers and certain other merchants. Bulletin  4/28/08

• TIS and EFT Rules Compliance

  A CEO Letter has been issued by OTS regarding compliance with Truth in Savings (TIS) and Electronic Funds Transfer Act (EFT) rules. CEO Letter  4/28/08

• NCUA Proposes Rulemaking Relative to the Low-Income Definition

  The NCUA is proposing to use median family income (MFI) to determine if a credit union qualifies for a low-income designation and assistance from the Community Development Revolving Loan Fund (CDRLF). The proposed rule will eliminate the confusion associated with adjusting median household income (MHI) in metropolitan areas with higher costs of living. Text  PDF  4/28/08

• NCUA Proposes Rulemaking to Revise the Official Advertising Statemnt

  The NCUA Board proposes revising the requirements for use of the official insurance sign and official advertising statement to permit insured credit unions to use the basic form of the official advertising statement, a shortened form, or the official sign in advertisements. The proposed rule will give credit unions added flexibility in advertisements. Text  PDF  4/28/08

• Month Market Monitor Published

  OTS has published the April 2008 issue of the Monthly Market Monitor (MMM) which features articles concerning market commentary, economic conditions, inflation and housing conditions. MMM  4/28/08

• Thrift Satisfaction Survey Results Released

  OTS has issued a CEO Letter announcing the results of the 2007 Annual Thrift Satisfaction Survey. CEO Letter  4/28/08

• Receivables Report Released

  The G.20 Owned and Managed Receivables Outstanding Report for February 2008 has been released by the FRB. G.20  4/28/08

• OFAC TSRA Report Released

  The quarterly report of licensing activities undertaken by OFAC pursuant to the provisions of the Trade Sanctions Reform and Export Enhancement Act of 2000 (TSRA) has been released. Report  4/25/08

• NCUA Proposes Rulemaking for Revisions for the Freedom of Information Act and Privacy Act Regulations

  The changes to FOIA provisions largely relate to recent amendments to the Freedom of
  Information Act addressing several procedural issues concerning fee practices, time limits for complying with requests, and new reporting requirements. The changes reflect the agency's efforts to clarify the procedures whereby individuals may obtain notification of whether an NCUA system of records contains information about the
  individual and access or amend a record. Text  PDF  4/25/08

• CTR NPRM Issued

  FinCEN has issued a Notice of Proposed Rulemaking (NPRM) to significantly simplify the requirements to exempt eligible customers from currency transaction reporting. Three existing requirements would be eliminated. Comments are due by June 23, 2008. Text  PDF  4/24/08

• Check 21 Freeze Announced

  FRB Financial Services has announced that two Check 21 operation freezes are necessary to conduct national contingency tests. During a freeze customers will not be able to send Check 21 deposit files and access to all Check Service via FedLine Web will not be available. The first test will be conducted beginning 8 p.m. ET Friday, May 9 and 8 p.m. ET Saturday, May 10, 2008.  Freeze  4/24/08

• CRA Ratings Released

  The OCC has released the ratings received by thirty-four national banks recently evaluated for compliance with the provisions of the Community Reinvestment Act (CRA).
  Ratings   4/24/08

• OCC Publishes Reg Review Amendments

  The Office of the Comptroller of the Currency (OCC) is revising its rules "in order to reduce unnecessary regulatory burden, update certain rules, and make certain technical, clarifying, and conforming changes to its regulations. These revisions result from the OCC's most recent review of its regulations to ensure that they effectively advance our mission to promote the safety and soundness of the national banking system, ensure that national banks can compete efficiently in the financial services marketplace, and foster fairness and integrity in national banks' dealings with their customers, without imposing regulatory burden unnecessary to the achievement of those objectives." The rules changes affect OCC regulations at 12 CFR Parts 1, 2, 3, 4, 5, 7, 9, 10, 11, 12, 16, 19, 21, 22, 23, 24, 26, 27, 28, 31, 32, 34, 37, and 40, with an effective date of 7/1/2008. Text; PDF  4/24/08

• FEDS Working Paper Published

  The FRB has published a working paper in the Finance and Economics Discussion Series (FEDS) on the topic of "A New Look at the Wealth Adequacy of Older U.S. Households."Abstract; Full Paper  4/24/08

• FARC Network Related Parties on OFAC List

  Pursuant to the provisions of the Kingpin Act, OFAC has designated two entities and four individuals as Specially Designated Global Terrorists (SDNTs) for acting on behalf of the Revolutionary Armed Forces of Colombia or FARC, a narco-terrorist group. Information regarding the individuals and entities has been posted on the BOL OFAC page.  4/23/08

• Counterfeit Cashier's Checks Special Alerts

  The FDIC has issued two Special Alerts regarding counterfeit cashier's checks bearing the name of First Sentry Bank, Inc., Huntington, West Virginia; and Town & Country Bank, Las Vegas, Nevada. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  4/23/08

• Special Alert Unauthorized Banking

  A Special Alert has been issued by the FDIC regarding the revision by The Cayman Islands Monetary Authority of its list of entities that provide a Cayman Islands contact address, but are not licensed or registered to conduct business activities regulated by the Cayman Islands Monetary Authority. Special Alert   4/23/08

• Interest Rate Risk CEO Letter

  OTS has issued a CEO Letter regarding interest rate risk and interim changes to the NPV Model and TB13a. CEO Letter  4/23/08

• 314a Fact Sheet Update

  FinCEN has updated the 314a Fact Sheet and the Law Enforcement Information Sharing with the Financial Industry Report with data current as of April 22, 2008. 314a Fact Sheet; Sharing Report  4/23/08

• Credit Auction Results

  The Federal Reserve has announced the results of the auction of $50 billion in 28-day credit held on April 21, 2008. Results  4/23/08

• IFDP Working Paper Published

  A working paper in the International Finance Discussion Paper series (IFDP) on the topic of "Competitive Search Equilibrium in a DSGE Model" has been published by the FRB. Abstract; Full Paper  4/23/08

• Counterfeit Official Checks Special Alert

  The FDIC has issued a Special Alert regarding counterfeit official checks bearing the name of Union State Bank, Arkansas City, Kansas. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.   4/22/08

• Proposed CFIUS Regs Issued

  Treasury has issued proposed regulations that implement the Foreign Investment and National Security Act of 2007 (FINSA). The proposed regulations provide an update to regulations that govern the Committee on Foreign Investment in the United States (CFIUS) and its process for national security review of certain foreign investments in U.S. businesses. CFIUS   4/22/08

• Reserve Position Update

  The U.S. International Reserve Position Report has been updated by Treasury with data current as of April 18, 2008. Position Report   4/22/08

• OCC Counsel Williams Credit Card Testimony

  Chief Counsel and First Senior Deputy Comptroller Williams has testified on H.R. 5244, the Credit Cardholders' Bill of Rights Act of 2008, before the Subcommittee on Financial Institutions and Consumer Credit of the House Committee on Financial Services. Testimony; Written Statement  4/18/08

• SAR Guidance Issued

  FinCEN has issued a Guidance to enable financial institutions to file more precise SARs regarding proceeds of foreign corruption. Guidance  4/18/08

• NCUA Board Meeting Results

  The results of the NCUA Board meeting held on April 17, 2008 have been released. Results  4/18/08

• Assets Reports Issued

  The FRB has issued the 3.12 U. S. Reserve Assets and 3.13 Foreign Assets Held at Federal Reserve Banks Reports. Reports  4/18/08

• May HOEPA Rates Established

  The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for certain applications received in May 2008, will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find applicable release which lists the Treasury Security with the same maturity term as your loan. To make the calculation, use the yield in effect on the 15th of the month that precedes the month you received the application. Daily H.15  4/17/08

• City Zone Eliminated

  FRB Financial Services has announced that effective July 1, 2008, the Federal Reserve Banks will eliminate city zones in restructured offices and move these items to RCPC. City Zones  4/17/08

• FRB Publishes Technical Amendment to Final Rule for Definitions of Terms and Exemptions Relating to the "Broker" Exceptions for Banks

  The Board and the Securities and Exchange Commission jointly are adopting technical amendments to Regulation R, which the Agencies jointly adopted in September 2007. Regulation R implements certain of the exceptions for banks from the definition of the term "broker" in section 3(a)(4) of the Securities Exchange Act of 1934 ("Exchange Act"), as amended by the Gramm-Leach-Bliley Act ("GLBA"). TXT; PDF  4/17/08

• Community Bank Directors Workshops Scheduled

  The OCC will host workshops for national community bank directors at the Hyatt Regency Hotel, Indianapolis, May 20-22, 2008 to provide practical information that expands bank directors' understanding of issues facing their banks. Workshops  4/17/08

• Former Lessons Learned To Help OCC

  In a presentation at the Exchequer Club, Comptroller Dugan stated that, with problem loans rising, it's imperative that bank management identify and address problems realistically and that the OCC deal with national banks in a consistent and balanced way. He noted that the lessons learned from the late 1980s and early 1990s, including a recognition of mistakes made by the OCC, will help the agency deal with problems in the current environment. Speech  4/17/08

• Beige Book Published

  The FRB has published the April 16, 2008 issue of the Beige Book. Beige Book  4/17/08

• FEDS Working Papers Published

  Four working papers in the Finance and Economics Discussion Series on the following topics have been published by the FRB:

  • "Corporate Hedging, Investment and Value";
  • "Expectations of Risk and Return Among Household Investors: Are Their Sharpe Ratios Countercyclical?";
  • "Exchange Rates, Optimal Debt Composition, and Hedging in Small Open Economies" and
  • "Maintenance and Asset Prices".

  Corporate Abstract; Expectation Abstract; Corporate Full Paper; Expectation Full Paper; Exchange Abstract; Exchange Full Paper; Maintenance Abstract; Maintenance Full Paper  4/17/08

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of April 11, 2008. Reserve Position  4/17/08

• FinCEN Annual Report Published

  FinCEN has published its 2007 Annual Report. Annual Report  4/17/08

• FR Bulletin Supplement Released

  A statistical supplement to the Federal Reserve Bulletin has been released by the FRB. Supplement  4/17/08

• Industrial Production Report Issued

  The FRB has issued the March 2008 G.17 Industrial Production and Capacity Utilization Report. G.17  4/17/08

• Minority Owned Banks and Thrifts Reports Released

  The report of minority owned banks as of December 31, 2007 and thrifts as of April 2008 have been released by the FRB and OTS. Banks; Thrifts  4/17/08

• Columbian SDNTs Added To OFAC List

  OFAC has added nine individuals and fifteen companies to its list of Specially Designated Narcotics Traffickers (SDNTs). The designations target long-time associates of the only remaining leader of Colombia's North Valle drug cartel, and the U.S. is offering up to $5 million for information leading to his capture. Information regarding the new entries has been posted on the BOL OFAC page.  4/16/08

• New FedReceipt Routing Numbers Announced

  FRB Financial Services has announced two new FedReceipt routing numbers. Routing Numbers  4/16/08

• FedFlash Published

  The April 15, 2008 issue of FedFlash has been published and contains articles on FRB structuring; the fuel surcharge on cash letters; electronic check presentment and imaging; FedEDI Plus; the new International ACH Transaction SEC code; savings bond seminars; and two Check 21 "freeze" periods. FedFlash  4/16/08

• Discount Rate Meeting Minutes

  The FRB has released the minutes of its discount rate meetings from February 19 through March 18, 2008. Minutes  4/16/08

• TIC Data Released

  Treasury has released the Treasury International Capital (TIC) data for February 2008. TIC  4/16/08

• New Mexico Quarter Information

  FRB Financial Services has announced the availability dates of the New Mexico State quarter. Dates  4/16/08

• Cost of Funds Reports Issued

  OTS has issued the historical and February 2008 National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions reports. Historical; February  4/16/08

• Seven Counterfeit Checks Special Alerts

  The FDIC has issued seven Special Alerts regarding counterfeit checks bearing the name of the following institutions:

  • Haverhill Bank, Haverhill, Massachusetts (Counterfeit Cashier's Checks);
  • First Sentry Bank, Inc., Huntington, West Virginia (Counterfeit Cashier's Checks);
  • Falcon International Bank, Laredo, Texas (Counterfeit Cashier's Checks);
  • First Priority Bank, Malvern, Pennsylvania (Counterfeit Official Checks);
  • The First National Bank of Jeffersonville, Jeffersonville, New York (Counterfeit Cashier's Checks);
  • Town & Country Bank, Las Vegas, Nevada (Counterfeit Cashier's Checks); and
  • High Desert State Bank, Albuquerque, New Mexico (Counterfeit Official Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   4/15/08

• Illegal Offshore Activities Special Alert

  A Special Alert has been issued by the FDIC regarding illegal offshore activities being exercised by unofficial organizations acting as banks, financial services companies and other financial institutions of the island of Anjouan, Union des Comores. Special Alert   4/15/08

• Fraudulent Traveler's Checks Special Alert

  The FDIC has issued a Special Alert regarding fraudulent traveler's checks which do not indicate any affiliation with a major traveler check issuer and are referred to as "TRAVELERS CHEQUES." The front of the items, which have been presented in $100 denominations, shows an American flag overlaid with the Statue of Liberty and the U.S. Capitol Building. "Support Our Freedom" is directly beneath the image. Information concerning the fraudulent traveler's checks has been posted on the BOL Alerts & Counterfeits page.  4/15/08

• Enforcement Actions Released

  Enforcement actions recently taken against national banks and individuals currently and formerly affiliated with national banks have been released by the OCC. Actions  4/15/08

• MSB Pays CMP for BSA Violations

  FinCEN has announced that El Noa Noa, a Florida financial institution and money service business, has paid a civil money penalty of $12,000 for failing to file currency transaction reports (CTRs). CMP   4/15/08

• FSF Recommends Financial Markets Enhancements

  The Financial Stability Forum (FSF) has presented to the G7 Finance Ministers and central bank Governors a report containing recommendations for enhancing the resilience of markets and financial institutions. Report  4/15/08

• FEDS Working Papers Published

  The FRB has published two working papers in the Finance and Economic Discussion Series (FEDS) on the topics of "Corporate Hedging, Investment and Value" and "Expectations of risk and return among household investors: Are their Sharpe ratios countercyclical?" Corporate Abstract; Corporate Full Paper; Expectations Abstract; Expectations Full Paper  4/15/08

• Money Smart for Young Adult

  The FDIC has announced that its financial education program, Money Smart, is now available for young adults. The Money Smart for Young Adults curriculum will help instructors teach youth between ages 12 and 20 the basics of handling their money and finances, including how to create positive relationships with financial institutions. Young Adults  4/15/08

• Counterfeit Checks Special Alerts

  The FDIC has issued eight Special Alerts regarding counterfeit checks bearing the name of the following institutions:

  • Sovereign Bank, Dallas, Texas (Counterfeit Cashier's Checks);
  • The Richland Trust Company (doing business as Richland Bank), Mansfield, Ohio (Counterfeit Official Checks);
  • Big Sky Western Bank, Bozeman, Montana (Counterfeit Cashier's Checks);
  • Bank of Westminster, Westminster, South Carolina (Counterfeit Official Checks);
  • Landmark Bank, Clinton, Louisiana (Counterfeit Cashier's Checks);
  • Independent Bank, McKinney, Texas (Counterfeit Cashier's Checks);
  • Meridian Bank, Paoli, Pennsylvania (Counterfeit Official Checks); and
  • Damascus Community Bank, Damascus, Maryland (Counterfeit Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   4/14/08

• 341(a) Fact Sheet Updated

  FinCEN has updated the 314(a) Fact Sheet and the Law Enforcement Information Sharing With Financial Industry Report with data current as of April 11, 2008. Fact Sheet; Sharing  4/14/08

• OFAC CMPs Released

  The civil money penalties (CMPs) recently by OFAC against entities and individuals for violations of various Sanctions Programs have been released. One financial institution paid $2,970 for alleged violations of the Cuban Assets Control Regulations. CMPs  4/14/08

• Disclosures Practices Report Released

  The senior financial supervisors from five countries have issued a report that reviews the disclosure practices of financial services firms concerning their exposure collateralized debt obligations, residential mortgage-backed securities, commercial mortgage-backed securities, other special purpose entities and leveraged finance loans. Report  4/14/08

• Survey to Study Unbanked Marketing Efforts

  The FDIC has announced that it will conduct during the Spring of 2008 a first of its kind nationwide survey of FDIC insured depository institutions to assess their efforts to serve unbanked and underbanked individuals and families. Survey  4/14/08

• 9th Issue - The SAR Activity Review by the Numbers

  The FDIC has issued a FIL announcing the release by FinCEN of the 9th issue of The SAR Activity Review by the Numbers which contains the compilation of numerical data gathered from Suspicious Activity Reports (SARs) filed by depository institutions, certain money services businesses, casinos and card clubs, and by certain segments of the securities and futures industries. FIL; SAR Activity Review  4/11/08

• Bernanke Discusses Global Markets Weakness

  In a presentation at the World Affairs Council of Greater Richmond's Virginia Global Ambassador Award Luncheon, FRB Chairman Bernanke discussed the report of the President's Working Group (PWG) on financial markets regarding the weakness in the global markets. He noted that given the global nature of our financial markets and institutions, international cooperation is essential to making the regulatory and supervisory structure more effective. He stated, "In the mortgage area, the PWG recommended action at both the federal and state levels, including, for example, stronger nationwide licensing standards for mortgage brokers and more consistent government oversight for all originators." He indicated that the FRB will review the use of credit ratings as a risk metric and be sure that we are working effectively with both the private sector and other domestic and international regulators to help the system function better. Speech  4/11/08

• Bank Supervisors ITA Training Announced

  The FRB has announced that international training and assistance (ITA) is being offered for supervisors and staff of other central banks and bank supervisory authorities in order to promote sound supervisory practices abroad and to foster strong bilateral and multilateral relationships with the central banks and bank supervisory authorities of other countries. Catalog and Schedule  4/11/08

• IFDP Working Papers Published

  Two working papers in the International Finance Discussion Paper (IFDP) series have been published by the FRB on the topics of "Emerging Market Business Cycles Revisited: Learning about the Trend" and "Interpreting Long-Horizon Estimates in Predictive Regressions." Emerging Abstract; Emerging Full Paper; Interpreting Abstract; Interpreting Full Paper   4/11/08

• Bair and Dugan Testify On Proposed FHA Act

  In testimony before the House Committee on Financial Services, FDIC Chairman Bair and OCC Comptroller Dugan indicated that the plan proposed in the FHA Housing Stabilization and Homeownership Retention Act of 2008 could provide a possible tool for helping banks avoid large losses from foreclosure without raising significant safety and soundness issues. Bair stated that a major difficulty in refinancing proposals for many troubled mortgages is the significant percentage of them that are subject to second liens and resolving this issue is essential to ensuring the effectiveness of any proposal. Dugan noted that the alternative would be less costly than foreclosure for many such loans and that it would allow borrowers to remain in their homes with lower mortgage payments. Bair Testimony; Dugan Oral Statement; Dugan Written Statement  4/10/08

• Testimony Deadline Extended

  The deadline for the submission of a requests to testify at public meeting to be held by the FRB in May 2008 in Los Angeles, California, and Chicago, Illinois, on the notice by Bank of America Corporation to acquire Countrywide Financial Corporation. Testimony  4/10/08

• Financial Restatements Study Released

  Treasury has released, "The Changing Nature and Consequences of Public Company Financial Restatements", a financial restatements study commissioned as part of the agency's efforts to encourage U.S. capital markets competitiveness. Study  4/10/08

• Enforcement Actions Announced

  The FDIC has released a list of orders of administrative enforcement actions taken against banks and individuals in February 2008. Actions  4/09/08

• Credit Auction Results

  The Federal Reserve has announced the results of auction of $50 billion in 28-day credit held on April 7, 2008. Auction  4/09/08

• FOMC Minutes Released

  The minutes of the March 10 and 18, 2008, meetings of the Federal Open Market Committee (FOMC) have been released by the Federal Reserve. Minutes  4/09/08

• Minimum Security Devices and Procedures Proposed

  OTC has published a proposed Final Rule and Request for Comment regarding Minimum Security Devices and Procedures. Final Rule  4/09/08

• IFDP Working Papers Published

  Three working papers in the International Finance Discussion Papers (IFDP) series have been published by the FRB on the following topics:

  • "A Solution to the Default Risk-Business Cycle Disconnect";
  • "Bank Integration and Financial Constraints: Evidence from U.S. Firms"; and
  • "Predicting Cycles in Economic Activity."

  Solution Abstract; Solution Full Paper; Bank Integration Abstract; Bank Integration Full Paper; Predicting Cycles Abstract; Predicting Cycles Full Paper  4/09/08

• CRA Ratings Released

  The FDIC has released the list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). Ratings  4/08/08

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of April 4, 2008. Reserve Position  4/08/08

• Consumer Credit Report Released

  The FRB has released the February 2008 G.19 Consumer Report. G.19  4/08/08

• Retirement of the Magnetic Media Program Notice

  In preparation for the retirement of the Magnetic Media program, FinCEN is no longer accepting new applications to batch file BSA forms using tapes and/or diskettes. New users who wish to batch file their BSA forms should submit these files using the BSA E-Filing system. E-Filing  4/07/08

• Treasury Economic Update

  Treasury has issued its economic update based on data current as of April 4, 2008. Update  4/07/08

• Written Agreement Announced

  The FRB has announced the execution of a Written Agreement by and between First Pryority Bank, Pryor, Oklahoma, the Federal Reserve Bank of Kansas City, and the Oklahoma State Banking Department. Written Agreement  4/04/08

• Bernanke Discusses Financial Markets Developments

  In testimony before the Senate Banking Committee, FRB Chairman Bernanke discussed current economic and financial conditions and the actions the Federal Reserve has taken to stabilize financial markets and the economy. He noted that the adverse impact of a default by Bear Stearns would not have been confined to the financial system but would have been felt broadly in the real economy through its effects on asset values and credit availability. He stated, "The purpose of our action, as with our other recent actions--including our provision of liquidity to financial firms and our reductions in the federal funds rate target--was, as best as possible, to improve the functioning of financial markets and to limit any adverse effects of financial turmoil on the broader economy." Testimony  4/04/08

• JPMC Granted 23A Exemption

  The FRB has released a Letter containing a legal interpretation granting JPMorgan Chase & Co. (JPMC) a temporary exemption from section 23A of the Federal Reserve Act and Reg. W for certain covered transactions between JPMC and its affiliates in connection with the acquisition of The Bear Stearns Companies, Inc. (Bear Stearns); and providing JPMC with a transition period to incorporate fully the assets and exposures of Bear Stearns into JPMC for purposes of the Board's risk-based and leverage capital guidelines for bank holding companies. Letter  4/04/08

• Mortgage Loan Fraud Report Updated

  FinCEN has updated its November 2006 mortgage loan fraud assessment, which is based upon analysis of suspicious activity reports (SARs) provided by the financial industry, to include reports filed through March 2007. Update  4/04/08

• Bernanke’s Economic Outlook

  In testimony before the Joint Economic Committee of Congress, FRB Chairman Bernanke offered his views on conditions in financial markets, the outlook for the U.S. economy, and discussed the recent actions taken by the Federal Reserve. He noted that the capacity and willingness of some large institutions to extend new credit remains limited and the nonconforming segment of the mortgage market continues to function poorly. He stated "It now appears likely that real gross domestic product (GDP) will not grow much, if at all, over the first half of 2008 and could even contract slightly." Testimony  4/03/08

• CRA Ratings Released

  OTS has released the ratings received by savings associations recently evaluated for compliance with the provisions of the Community Reinvestment Act (CRA). Ratings   4/03/08

• 23A Exemption Granted

  The FRB has released a letter containing a legal interpretation granting an exemption from section 23A of the Federal Reserve Act and Regulation W in order that a wholly owned bank subsidiary may acquire all the shares of an affiliate and the subsequent purchase by a second wholly owned subsidiary of certain lease participations originated by the affiliate. Letter  4/03/08

• Fourth Quarter Bank Trading Loss of $9.97 Billion

  The OCC has released its Quarterly Report on Bank Trading and Derivatives Activities which indicates that insured U.S. commercial banks lost $9.97 billion trading cash and derivative instruments in the fourth quarter 2007. Quarterly Report  4/03/08

• ID Theft Red Flags Guidelines CEO Letter

  A CEO Letter has been issued by OTS regarding identity theft red flags and address discrepancies final rules and guidelines. CEO Letter  4/02/08

• 2008 Regulatory Reports Filing Schedule

  OTS has released the filing schedule for filing regulatory reports in 2008. Schedule  4/02/08

• Subprime and Alt-A State Mortgage Maps Available

  The FRB has announced the availability of a set of dynamic maps and data that illustrate subprime and alt-A mortgage loan conditions in each state. The maps display regional variation in the condition of securitized, owner-occupied subprime, and alt-A mortgage loans can be used to assist in the identification of existing and potential foreclosure hotspots. Maps  4/02/08

• FRB Publishes Final Rule in FR for Equal Opportunity

  The Board of Governors of the Federal Reserve System has adopted a final rule that amends the section of its Rules Regarding Equal Opportunity (EEO Rules) which governs the employment of persons who are not United States citizens consistent with the Board's requirements for the security of its information.TXT; PDF  4/02/08

• Paper Cash Letter Fuel Surcharge Announced

  FRB Financial Services has announced that due to increased transportation costs, effective May 1, 2008 a fuel surcharge will be imposed on all paper cash letters. Surcharge  4/02/08

• FinCEN Revises RSMB, CTRC and BSA Forms

  FinCEN has released drafts of the revision of the following forms:

  • Registration of Money Services Business (RSMB) Form 107;
  • CTRC Form 103; and
  • BSA E-File Electronic filing specifications.

  The drafts should not be used until September 1, 2008. RSMB; CTRC; BSA  4/02/08

• March Financial Reporting Bulletin Published

  OTS has published the March 2008 Financial Reporting Bulletin. Bulletin  4/02/08

• March Foreign Exchange Rates

  The G.5 Foreign Exchange Rates Report for March 2008 has been released by the FRB. G.5  4/02/08

• Counterfeit and Fraudulent Checks Special Alerts

  The FDIC has issued eight Special Alerts regarding counterfeit checks bearing the name of the following institutions:

  • Freedom Bank, Columbia Falls, Montana (Counterfeit Cashier's Checks);
  • Grant County Bank, Medford, Oklahoma (Counterfeit Cashier's Checks);
  • Penn Liberty Bank, Wayne, Pennsylvania (Counterfeit Official Checks);
  • Lotus Bank, Novi, Michigan (Counterfeit Cashier's Checks);
  • Alliance Bank, Lake City, Minnesota (Fraudulent Traveler's Checks);
  • Legends Bank, Linn, Missouri (Counterfeit Official Checks); and
  • QNB Bank (formerly known as The Quakertown National Bank), Quakertown, Pennsylvania (Counterfeit Official Checks); and
  • Equity Bank, Dallas, Texas (Counterfeit Cashier's Checks).

  Information concerning the counterfeit and fraudulent checks has been posted on the BOL Alerts & Counterfeits page.   4/01/08

• Stronger Regulatory Structure Blueprint Released

  Treasury has released its "Blueprint for a Modernized Financial Regulatory Structure" which is intended to strengthen consumer protections, improve tools for market stability and enhance financial innovation. The plan recommends creating a new federal commission for mortgage origination, modernizing the President's Working Group on Financial Markets, and clarifying the Federal Reserve's liquidity provisioning. Blueprint; Fact Sheet  4/01/08

• Check Processing Restructuring Schedule Changed

  The Federal Reserve Banks have announced modifications to the schedule for previously announced check processing infrastructure changes. Check Processing; Fact Sheet  4/01/08

• Arkansas Storm and Flood Damage Regulatory Relief

  The FDIC has issued a FIL that announces a series of steps intended to provide regulatory relief to financial institutions and to facilitate recovery in areas of Arkansas affected by recent severe storms, tornadoes and flooding. FIL  4/01/08

• Forms 031 and 041 Updated

  The FFIEC has posted online updates to Forms 031 and 041. 031; 041  4/01/08

• IFDP Working Paper Published

  The FRB has published a working paper in the International Finance Discussion Paper series on the topic of "Do Differences in Financial Development Explain the Global Pattern of Current Account Imbalances?" Abstract; Full Paper  4/01/08

• Receivables Report Released

  The G.20 Owned and Managed Receivables Outstanding Report for January 2008 has been released by the FRB. G.20  4/01/08

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position report with data current as of March 28, 2008. Report  4/01/08

• Counterfeits Checks Special Alerts

  The FDIC has issued four Special Alerts regarding counterfeit money orders and checks bearing the name of the following institutions:

  • Eastern Bank, Boston, Massachusetts (Counterfeit Money Orders);
  • Treasure State Bank, Missoula, Montana (Counterfeit Cashier's Checks);
  • First Resource Bank, Exton, Pennsylvania (Counterfeit Official Checks); and
  • First State Bank, Mesquite, Texas (Counterfeit Cashier's Checks).

  Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  3/31/08

• First Quarter Call Report Information

  The FDIC has issued a FIL containing materials pertaining to the Consolidated Reports of Condition and Income (Call Report) for the March 31, 2008, report date. FIL  3/31/08

• Credit Auctions Announced

  The FRB has announced that it will offer $50 billion in 28-day credit through its Term Auction Facility on April 7 and April 21, 2008. Auctions  3/31/08

• Country Exposure Survey and Information Report Released

  The December 31, 2007 E.16 Country Exposure Lending Survey and Country Exposure Information Report has been released by the FFIEC. E.16  3/31/08

• IFDP Working Paper Published

  A working paper in the International Finance Discussion Paper (IFDP) series on the topic of "Cross-border Bank Acquisitions: Is there a Performance Effect?" has been published by the FRB. Abstract; Full Paper  3/31/08

• Industrial Production and Capacity Utilization Annual Report

  The FRB has issued the 2008 Historical and Annual Revision of the G. 17 Industrial Production and Capacity Utilization Report. G.17  3/31/08

• Counterfeit Checks Special Alerts

  The FDIC has issued five Special Alerts regarding counterfeit checks bearing the name of the following institutions:

  • The Business Bank, Minnetonka, Minnesota (Counterfeit Cashier's Checks);
  • Advantage Bank, Loveland, Colorado (Counterfeit Cashier's Checks);
  • Sun West Bank, Las Vegas, Nevada/ Bank of Lancaster, Kilmarnock, Virginia (Counterfeit Cashier's Checks);
  • Florida Telco Credit Union, Jacksonville, Florida (Counterfeit Cashier's Checks); and
  • Bucks County Bank, Doylestown, Pennsylvania (Counterfeit Official Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   3/28/08

• Countrywide Acquisition Public Meetings Scheduled

  The FRB has announced that public meetings will be held next month in Los Angeles, California, and Chicago, Illinois,to collect information relating to factors the Board is required to consider under the Bank Holding Company Act regarding the notice by Bank of America Corporation to acquire Countrywide Financial Corporation. Meetings   3/28/08

• Annual Investments Reviews Guidance Issued

  The OCC has issued a Bulletin containing Guidance on required annual reviews of fiduciary accounts for which banks hold investment discretion. Bulletin   3/28/08

• New Electronic Interpretations and Actions Announced

  The OCC has announced and posted online the March 2008 New Electronic Interpretations and Actions.
  New   3/28/08

• Missouri Storm Relief FIL

  The FDIC has issued a FIL announcing a series of steps intended to provide regulatory relief to financial institutions and to facilitate recovery in areas of Missouri affected by recent severe storms and flooding.
  FIL   3/28/08

• FDIC Assessment Dividend Proposed Rule

  The FDIC has issued a FIL regarding a Notice of Proposed Rulemaking (NPR), which seeks comments on regulations to implement dividend requirements to replace the existing regulations on dividends that will expire on December 31, 2008. Comments are due by May 23, 2008.
  FIL;
  NPR  3/27/08

• Reserve Position Update

  The U.S. International Reserve Position Report had been updated with current data as of March 21, 2008.
  Reserve Position   3/27/08

• Change In Control Legal Interpretation

  The FRB has released a letter containing a legal interpretation clarifying that a bank holding company (BHC) could underwrite debt protection services for its customers and continue to qualify for the "credit card bank exemption." Letter  3/26/08

• Prohibition Orders Issued

  NCUA has announced that orders have been issued prohibiting two individuals from participating in the affairs of any federally insured financial institution. Orders  3/26/08

• FRB Publishes Final Rule in FR for Extension of Credit by Federal Reserve Banks

  The Board of Governors of the Federal Reserve System (Board) has adopted final amendments to its Regulation A to reflect the Board's approval of a reduction in the primary credit rate at each Federal Reserve Bank. The secondary credit rate at each
  Reserve Bank automatically decreased by formula as a result of the Board's primary credit rate action.TXT; PDF  3/26/08

• Auction Results Announced

  The results of the credit auction of $50 billion in 28-day credit held on March 24, 2008 have been announced by the FRB. Auction  3/26/08

• Check Study Released

  The FRB has released the results of a check study that indicates the biggest share of checks are written by consumer to businesses. Summary; Full Study  3/26/08

• Lending Limits Interim Final Rule Bulletin

  The OCC has published a Bulletin regarding the previously announced Interim Final Rule that will enable the OCC to approve exceptions from the national bank lending limit for specific transactions that provide essential funding in emergency situations. Information concerning the Interim Final Rule was posted in the March 20, 2008, BOL Top Stories, below. Bulletin  3/25/08

• HUD MSA Family Income Levels

  A Bulletin has been published by the OCC regarding U.S. Census and 2008 Department of Housing and Urban Development (HUD) estimated median family incomes for metropolitan statistical areas (MSAs), metropolitan divisions (MDs), and nonmetropolitan portions of each state. Information concerning the HUD estimates was posted in the March 20, 2008, BOL Top Stories, below. Bulletin; Income Levels   3/25/08

• Consumer Alert Advance Fee Loan Scams

  The FDIC has issued a Consumer Alert regarding advance fee loan scams that involve false promises to arrange for a loan in return for fees paid upfront by the applicant usually by way of wire transfer money to an individual overseas. Alert  3/25/08

• FedWire Data Available

  The FRB has posted online the FedWire data for the 4th Quarter 2007. Data  3/25/08

• FEDS Working Papers Published

  Two working papers in the Finance and Economics Discussion Series (FEDS) have been published by the FRB on the topics of "Firm Dynamics with Infrequent Adjustment and Learning" and "Lack of Signal Error (LoSE) and Implications for OLS Regression: Measurement Error for Macro Data." Dynamics Abstract; Dynamics Full Paper; LoSE Abstract;
  LoSE Full Paper  3/25/08

• CRA Ratings Released

  The OCC has released the ratings received by thirty-two national banks that were recently evaluated for compliance with the provisions of the Community Reinvestment Act (CRA).
  Ratings   3/24/08

• Interest Rate Risk and Charge-Off Reports

  The Final Interest Rate Measures, the Aggregate Exposure and CMR, and Thrift Industry Charge-Off Rates reports for the 4th Quarter 2007 have been released by the OTS.
  Interest Rate Measures;
  Aggregate Exposure;
  Charge-Off Rates   3/24/08

• Proposed FDIC Assessment Dividends Rule Published in FR

  The FDIC's proposed regulations to implement assessment dividend requirements have been published in the Federal Register. These would replace the temporary final rule, which sunsets on December 31, 2008. The comment deadline is May 23, 2008.
  txt pdf  3/24/08

• Financial Implications IMF Participation

  Treasury has presented a report to Congress on the financial implications of U.S. participation in the International Monetary Fund (IMF). Report   3/24/08

• Assets Report Issued

  The January 2008 3.12 U.S. Reserve Assets and Foreign Official Assets Held at Federal Reserve Banks Report has been issued by the FRB. 3.12   3/24/08

• Fourth Quarter State Profiles

  The FDIC has released the Fourth Quarter 2007 State Profiles which contain a summation of banking and economic conditions in each state. Profiles   3/24/08

• Flood Q&A Proposal Issued

  The OCC, FRB, FDIC, OTS, FCA, and NCUA have issued proposed revisions to the Interagency Questions and Answers Regarding Flood Insurance. Included in the proposal are the introduction of new questions and
  answers in a number of areas, including second lien mortgages, the imposition of civil money penalties, and loan syndications/participations. There are substantive modifications to questions and answers previously adopted in the 1997 Q&A pertaining to construction loans and condominiums. They also propose to revise and reorganize the existing Q&A to clarify areas of potential misunderstanding and to provide clearer guidance to users. TXT;
  PDF  3/21/08

• Three ML Guidance Issued

  The FFIEC has issued three Guidance regarding the threat of money laundering involving illicit Iranian activity, the Turkish Cypriot administered area of Cyprus, and the Republic of Uzbekistan. Iranian; Cyprus; Uzbekistan  3/21/08

• Terrorist Entity Added To OFAC List

  Treasury has designated a Somali entity as a Specially Designated Global Terrorist (SDGT) and added its name and a/k/as to the SDN List. Information regarding the new addition has been posted on the BOL OFAC page.  3/20/08

• HUD Releases Estimated 2008 MFI Data

  The 2008 Estimated Metropolitan Area Median Family Income (MFI) data has been released by HUD. MIF; 2008 Data  3/20/08

• FFIEC Updates Business Continuity Booklet

  The Federal Financial Institutions Examination Council (FFIEC) has issued updated guidance for examiners, financial institutions and technology service providers to identify business continuity risks, and evaluate controls and risk management practices for effective business continuity planning. The updated booklet focuses on sound risk management; the need for enterprise-wide involvement in the business continuity planning process; the importance of business continuity planning for all financial institutions, regardless of whether their systems are provided in-house or through third-party servicer providers; and, lessons learned from financial institutions that suffered damage from hurricanes Katrina and Rita. FFIEC PR; OCC Bulletin; OTS CEO Letter; NCUA PR; Booklet  3/20/08

• FDIC Quarterly Published

  The first 2008 issue of FDIC Quarterly has been published and features an article that examines the challenges that lower-income households face in increasing personal saving, incentives banks have for encouraging these households to build assets, and strategies for banks to broaden their relationships with these customers. The FDIC also reports on the results of a congressionally mandated study on the feasibility of increasing insurance coverage for municipal deposits. Quarterly  3/20/08

• OCC Publishes Interim Final Rule in FR for Lending Limits

  The interim final rule will enable the OCC to establish a special lending limit for loans and extensions of credit that the OCC determines are essential to address an emergency situation (such as critical financial markets stability), will be of short duration, will be reduced in amount in a timeframe and manner acceptable to the OCC, and do not present unacceptable risk to the lending national bank.TXT; PDF  3/20/08

• Counterfeit and Fictitious Checks Alerts

  The OCC has issued an Alert regarding fictitious cashier's checks issued in the name of American Home Bank, N.A., Mountville, Pennsylvania, that are being presented for payment. In addition, the FDIC has issued a Special Alert concerning counterfeit official checks bearing the name Truman Bank, Saint Louis, Missouri. Information concerning the checks has been posted on the BOL Alerts & Counterfeit page.  3/19/08

• Fed Funds Rates Cut

  The Federal Open Market Committee (FOMC) has announced that the target for the federal funds rate has been lowered 75 basis points to 2-1/4 percent. The Board of Governors also approved a 75-basis-point decrease in the discount rate to 2-1/2 percent. Fed Funds; Discount Rate  3/19/08

• New Routing Numbers Announced

  FRB Financial Services has announced new FedReceipt routing numbers. Routing Numbers  3/19/08

• Email Scam Special Alerts

  The FDIC has issued two Special Alerts regarding emails that contain scams. One claims to be from the FDIC and attempts to obtain sensitive personal information, including bank account information; the other contains fraudulent loan offers that claim to be from federally insured financial institutions. From FDIC; Loan Offers  3/19/08

• State of the Credit Union Industry Annual Report

  NCUA has published the State of the Credit Union Industry Report as of December 31, 2007. Letter; Report  3/19/08

• Budget & Performance Plan Released

  OTS has released its 2008 Budget & Performance Plan. Budget  3/19/08

• Counterfeit Special Alerts

  The FDIC has issued five Special Alerts regarding counterfeit checks bearing the name of the following institutions:

  • Willamette Valley Bank, Salem, Oregon (Counterfeit Checks);
  • Georgia State Bank, Mableton, Georgia (Counterfeit Cashier's Checks);
  • Freedom Bank, Huntingburg, Indiana (Counterfeit Cashier's Checks);
  • State Street Bank and Trust Company, Quincy, Illinois (Counterfeit Checks); and
  • Ozaukee Bank, Cedarburg, Wisconsin (Counterfeit Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  3/18/08

• Unauthorized Banking Special Alerts

  Two Special Alerts have been issued by the FDIC regarding unauthorized banking activities being conducted by entities that provide a Cayman Islands contact address, but are not licensed or registered to conduct business activities and an entity that is not a Schedule 1 Bank or a federally regulated financial institution. Cayman Islands; Entity  3/18/08

• April HOEPA Rates Established

  The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for certain applications received in April, 2008, will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find applicable release which lists the Treasury Security with the same maturity term as your loan. To make the calculation, use the yield in effect on the 15th of the month that precedes the month you received the application. Since March 15, 2008 was a Saturday, use the rate on March 14, 2008, the business day immediately preceding the 15th. Weekly H.15  3/18/08

• Enforcement Actions Announced

  The OCC has announced the enforcement actions recently taken against national banks and individuals currently and formerly affiliated with national banks. Enforcement Actions  3/18/08

• Managing Commercial Real Estate Concentrations FIL

  The FDIC has issued a FIL that re-emphasizes the importance of strong capital and loan loss allowance levels, and robust credit risk-management practices for state nonmember institutions with significant commercial real estate (CRE) and construction and development (C&D) loan concentrations. FIL  3/18/08

• January TIC Data

  Treasury has released the Treasury International Capital data report for January 2008. TIC  3/18/08

• Reserve Position Update

  The U. S. International Reserve Position report for the week ending March 14, 2008, has been released. Reserve Position  3/18/08

• Industrial Production Report

  The G. 17 Industrial Production and Capacity Utilization Report for February 2008 has been issued by the FRB. G.17  3/18/08

• FRB Lowers Rate and Creates New Lending Facility

  Two new initiatives have been announced by the FRB to bolster market liquidity and promote orderly market functioning. The Federal Reserve Bank of New York has been authorized to create a lending facility that will be available on March 17, 2008, to improve the ability of primary dealers to provide financing to participants in securitization markets. In addition, the primary credit rate was lowered 3-1/2 percent to 3-1/4 percent effective immediately The maximum maturity of primary credit loans was also increased to 90 days from 30 days. FRB Action  3/17/08

• OFAC CMPs Announced

  Enforcement actions recently imposed for violations of various Sanctions Programs have been announced by OFAC. Two banks were assessed civil money penalties (CMPs), one remitted $1,337.50 and the other $16,500 to settle alleged violations. CMPs  3/17/08

• FRB Approves JP Morgan Chase and Bear Stearns Agreement

  The FRB has announced that the Board unanimously approved the arrangement entered into by JP Morgan Chase and Bear Stearns. The Board will continue to monitor market developments closely and provide liquidity as necessary to promote the orderly functioning of the financial system. FRB  3/17/08

• Assessment Rates Unchanged

  The FDIC has voted to keep the assessment rates charged to insured banks and savings associations for the Deposit Insurance Fund (DIF) unchanged for 2008. Rates  3/17/08

• Fake Email Alert

  The FDIC has issued a Consumer Alert regarding fictitious phishing emails that appear to be from the FDIC. Alert  3/17/08

• Bernanke Promotes Homeownership

  In a presentation to the National Community Reinvestment Coalition Annual Meeting in Washington, D.C., Chairman Bernanke discussed ways to foster sustainable homeownership. He reviewed what the Federal Reserve is doing to reduce foreclosures, to protect aspiring homeowners from unfair and deceptive practices, and to equip them to choose wisely from among the often confusing array of mortgage options. He also highlighted the new proposed Home Ownership and Equity Protection Act (HOEPA) regulations. Speech  3/17/08

• Margin Requirements Legal Interpretation Published

  A legal interpretation letter has been published concerning the margin status of auction rate securities under Regulation T. Letter  3/17/08

• FedFlash Newsletter Posted Online

  FRB Financial Services has posted the March 15, 2008 FedFlash Newsletter online. This issue includes articles on the following topics: new pricing policy for carrier documents, reminder to use "My Quick Links", the new one-stop link to news and communications, options for depositors regarding Check 21-enabled imaged cash letters, and revisions to Operation Circular 4. FedFlash  3/17/08

• New Community Bank Directors' Workshop Scheduled

  The OCC has scheduled a workshop for new community bank directors to be held at the Sanibel Harbour Resort in Fort Myers, Florida, on April 14-16, 2008. Online registration is available. Workshop; Registration  3/17/08

• Cost Of Funds Report Issued

  OTS has issued the March 14, 2008 and historical National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions reports. March Report; Historical Report  3/17/08

• Survey of Terms of Business Lending Released

  The FRB has released the February 4-8, 2008 E.2 Survey of Terms of Business Lending Report. E.2  3/17/08

• Foreclosure Resources for Consumers

  The FRB has established a Web page that lists resources for consumers who are having difficulty making home mortgage payments. Foreclosure Resources  3/17/08

• HUD Publishes Proposed Rulemaking in FR for Real Estate Settlement Procedures Act (RESPA)

  This proposed rule presents HUD’s proposal to simplify and improve the disclosure requirements for mortgage settlement costs under the Real Estate Settlement Procedures Act of 1974 (RESPA), to protect consumers from unnecessarily high settlement costs. A few of HUD's objectives in proposing these revisions are to: Improve and standardize the Good Faith Estimate (GFE) form, to make it easier to use for shopping among settlement service providers; ensure that page one of the GFE provides a clear summary of the loan terms and total settlement charges so that borrowers will be able to use the GFE to comparison shop among loan originators for a mortgage loan. TXT; PDF  3/14/08

• CRA Exam Schedule Announced

  OTS has announced that 89 savings associations are scheduled for Community Reinvestment Act (CRA) examinations during the second quarter of 2008. Exam Schedule  3/14/08

• New Lincoln In Circulation

  The FRB has announced that first new $5 bill was issued on March 13, 2008 during a commemorative transaction at President Lincoln's Cottage at the Soldiers' Home in Washington, D.C. President Lincoln's portrait continues to be featured on the redesign of the $5 bill which contains enhanced security features. New $5 Bill  3/14/08

• Bank Added To OFAC List

  Treasury has designated Future Bank B.S.C. in the Nonproliferation of Weapons of Mass Destruction (NPWMD) category for being controlled by Iran's Bank Melli and added its name to the SDN List. Information regarding the bank has been posted on the BOL OFAC page.  3/13/08

• ComE-IN Meeting Scheduled

  A meeting of the FDIC Advisory Committee on Economic Inclusion (ComE-IN) will be held March 19, 2008 to explore saving and asset-building opportunities for individuals and banks. Meeting  3/13/08

• FEDS Working Paper Released

  The FRB has published a working paper in the Finance and Economics Discussion Series (FEDS) on the topic of "The Effect of Satellite Entry on Product Quality for Cable Television." Abstract/a>; Full Paper  3/13/08

• Counterfeit Official Checks Alert

  The OCC has issued an Alert regarding counterfeit official checks issued in the name of Randolph National Bank, Randolph, Vermont. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.  3/12/08

• SDGTs Added To OFAC List

  Treasury has designated an individual and an entity as Specially Designated Global Terrorists (SDGTs) and added their names to the SDN List. Information regarding the additions has been posted on the BOL OFAC page.  3/12/08

• FRB and International Banks Address Liquidity Pressures

  The Federal Reserve and other central banks have announced specific measures designed to address liquidity pressures in funding markets. The Federal Reserve is expanding of its securities lending program and the Federal Open Market Committee (FOMC) has authorized increases in its existing temporary reciprocal currency arrangements (swap lines) with the European Central Bank (ECB) and the Swiss National Bank (SNB). Measures  3/12/08

• Credit Auction Results Announced

  The results of the auction of $50 billion in 28-day credit held on March 10, 2008 by the Federal Reserve have been announced. Auction  3/12/08

• Household Debt Service and Financial Obligations Ratios Report

  The Fourth Quarter 2007 Household Debt Service and Financial Obligations Ratios Report has been released by the FRB. The household debt service ratio (DSR) is an estimate of the ratio of debt payments to disposable personal income. The financial obligations ratio (FOR) adds automobile lease payments, rental payments on tenant-occupied property, homeowners' insurance, and property tax payments to the debt service ratio. Ratio Report  3/12/08

• Counterfeit and Fictitious Items Alerts Issued

  The OCC has issued three Alerts regarding fictitious common stock/bond dividend checks, fictitious official checks and counterfeit money orders issued in the name of the following national banks:

  • Executive National Bank, Miami, Florida (Fictitious Common Stock/Bond Dividend Checks);
  • The American National Bank of Texas, Terrell, Texas (Fictitious Official Checks); and
  • KeyBank, National Association, Highland Heights, Kentucky (Counterfeit Money Orders).

  Information concerning the fictitious and counterfeit items has been posted on the BOL Alerts & Counterfeits page.  3/11/08

• Country Risk Management Booklet Revised

  The OCC has revised the booklet in the Comptroller's Handbook that describes the country risk management process and provides risk-focused examination procedures for evaluating that process in internationally active banks. Booklet  3/11/08

• MSB Registration List

  The February 2008 Money Services Businesses (MSB) Registration List has been released by FinCEN. MSB List  3/11/08

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Report with data current as of March 7, 2008. Update  3/11/08

• HUD Proposes RESPA Overhaul

  HUD has published a 96-page proposal that revises RESPA in an effort to make disclosuses easier and more efficient for consumers. There are extensive revisions to form and content. BankersOnline has prepared a review of the proposal and links to the proposal in this review. BOL Review of HUD RESPA Proposal  3/10/08

• Missouri Bank Closed

  The FDIC has announced that Hume Bank, Hume, Missouri, was closed by the Commissioner of Missouri's Division of Finance and the FDIC. The assumption of Hume Bank's insured deposits by Security Bank, Rich Hill, Missouri, has been approved and the failed bank's sole office will reopen Monday, March 10, 2008, as a branch of Security Bank. Closed  3/10/08

• BHC Supervision Manual Updated

  The FRB has published an update to the Bank Holding Company (BHC) Supervision manual. Manual by Sections; Full Manual  3/10/08

• Fourth Quarter Legal Developments Published

  The FRB Bulletin for the Fourth Quarter 2007 has been published and contains orders issued under the Bank Holding Company Act and the International Banking Act. Legal Developments  3/10/08

• Term Market Initiatives Announced

  The Federal Reserve has announced two initiatives to address heightened liquidity pressures in term funding markets. Initiatives  3/10/08

• Treasury Economic Update

  Treasury has issued an economic update as of March 7, 2008. The update states that employment fell in February, there are still many signs of economic strength, the economic stimulus package will provide a temporary to the economy, and pro-growth policies will enhance long-term U.S. economic strength. Update  3/10/08

• Credit Reports Issued

  The G.19 Consumer Credit Outstanding and Terms of Credit at Commercial Banks and Finance Companies report for January 2008 had been issued by the FRB. G.19  3/10/08

• Fourth Quarter Interest Rate Risk Measures Report

  OTS has issued the preliminary Interest Rate Risk Measures Report for the fourth quarter 2007. Report  3/10/08

• Divestiture of Certain Asset Management Businesses Bulletin Issued

  The OCC has issued a Bulletin regarding the potential risks associated with a national banking organization's strategic divestiture of certain asset management business lines and how banks can avoid the potential conflicts of interest they may encounter when selling affiliated investment management businesses to unaffiliated parties. Bulletin  3/07/08

• International Risk Management Practices Report Issued

  Senior financial supervisors from five countries have issued a report that assesses a range of risk management practices among a sample of major global financial services organizations. Summary; Full Report  3/07/08

• Consumer Help Website Spanish Version

  Federal Reserve Consumer Help, a resource center for consumers experiencing problems with a bank or other financial institution, now offers a Spanish-language version of its website. Spanish Consumer Help;
  English Consumer Help  3/07/08

• Flow of Funds Report Issued

  The March 6, 2008 Z.1 Flow of Funds Report has been issued by the FRB. Z.1  3/07/08

• Working Papers Published

  The FRB has published two working papers, one in the Finance and Economics Discussion Series (FEDS) series on the topic of "Paying to Save: Tax Withholding and Asset Allocation Among Low- and Moderate-Income Taxpayers" and the other in the International Finance Discussion Papers (IFDP) series on the topic of "Cross-Border Returns Differentials". Paying Abstract; Paying Full Paper; Cross-Border Abstract;
  Cross-Border Full Paper  3/07/08

• CRA Ratings Released

  The FDIC has issued its list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA) and evaluation ratings they received. Ratings  3/06/08

• Regulators Issue Flood Penalties

  The FRB and the FDIC have issued civil money penalties to banks for flood violations. Information regarding the penalties, which range from $4,000 to $55,000, has been posted on the BOL Flood Penalties Watch page.  3/06/08

• Prohibition Order Issued

  The FRB has announced the issuance of an Order of Prohibition against a former North Carolina banker based on his alleged participation in violations of law, unsafe and unsound banking practices, and breaches of fiduciary duty in connection with the making of at least $786,694.89 in unsecured loans to his elderly mother. Prohibition  3/06/08

• OCC Publishes Final Rule in FR for Securities Offering Disclosure Rules

  The Office of the Comptroller of the Currency (OCC) is amending its securities offering disclosure rules to eliminate the general requirement that a national bank in organization include audited financial statements as part of a public offering of its securities. TXT; PDF  3/06/08

• Change in Control Legal Interpretations Released

  The FRB has released two legal interpretations regarding affiliated entities collectively acquiring up to 15 percent of any class of voting securities of a bank holding company or bank without being deemed to have acquired control of that institution under the Bank Holding Company Act or the Change in Bank Control Act when the acquisition complies with certain conditions. Interpretation 1; Interpretation 2  3/06/08

• Buffalo FRB Branch Closing

  The Federal Reserve Bank of New York has announced that it plans to close its Buffalo Branch effective October 31, 2008. Closing  3/06/08

• Bair Discusses Current Banking Issues

  In a presentation to the Independent Community Bankers Association, FDIC Chairman Bair discussed current conditions in the banking industry, caution regarding CRE concentrations, the CRE Guidance issued by regulators, small dollar lending, words of wisdom, capital reform, BSA, and fast-tracking loan mods. She stated, "In the months ahead, I hope we'll see a strong national standard emerge for mortgage lending. Such a standard will set the groundwork for ending this sorry chapter in the history of mortgage finance." She urged the industry to return to traditional values that protect borrowers, protect responsible lenders, protect neighborhoods, and ultimately protect the country with the promise of a secure and stable economic future. Speech  3/06/08

• Beige Book Published

  The March 5, 2008 issue of the Beige Book, which contains informal reviews by the Federal Reserve Banks of current economic conditions in their districts, has been published and on posted online. Beige Book  3/06/08

• Names Removed From OFAC List

  Treasury has removed the names of one individual and three entities from the SDN List. Information regarding the names removed has been posted on the BOL OFAC page.  3/05/08

• CRA Ratings Released

  OTS has released the rating received by savings associations that were recently evaluated for compliance with the provisions of the CRA. Ratings  3/05/08

• Bernanke Suggests Principal Write Downs

  In remarks to the Independent Community Bankers of America Annual Convention, in Orlando, Florida, Chairman Bernanke discussed the causes of the distress in the mortgage sector and what can be done to reduce preventable foreclosures. He urged lenders to consider helping distressed owners by lowering the amount of their loans. He noted, "when the mortgage is 'under water' a reduction in principal may increase the expected payoff by reducing the risk of default and foreclosure." Speech  3/05/08

• Dugan Says Banking System Fundamentally Sound

  In testimony before the Senate Committee on Banking, Housing and Urban Affairs, Comptroller Dugan indicated that while the banking system is fundamentally sound, it is being tested by large and unprecedented credit market disruptions plus the slowdown in the economy. He stated, "there is a need to reemphasize some fundamental banking principles, including sound underwriting, diversification of funding sources, strong internal controls and risk management, and timely recognition of losses." Oral Statement; Written Testimony  3/05/08

• Johnson Discusses Mortgage Market Challenges

  NCUA Chairman Johnson testifying before the United States Senate Banking, Housing, and Urban Affairs Committee and provided the regulator's perspective on the health of the federally chartered credit unions, their role in the mortgage lending market, and NCUA's mortgage lending guidance activities. She stated, "NCUA data collection and financial trend monitoring, extensive examination procedures, and strong mortgage lending and risk management guidance in the form of Letters to credit unions have been crucial in ensuring the federally chartered credit union system remains financially strong in the midst of real challenges in the mortgage market." Testimony  3/05/08

• OTS Reissues CRA Strategic Plan and Wholesale/Limited Purpose Designations

  A CEO Letter has been issued by OTS regarding the reissuance of Strategic Plan and Wholesale/Limited Purpose Designations under the CRA. CEO Letter  3/05/08

• Student Lender Settles Customer Information Security Charges

  A student loan company has agreed to settle Federal Trade Commission charges that it failed to provide reasonable and appropriate security for consumers' sensitive personal information in violation of federal law. Settlement  3/05/08

• Ombudsman Report Online

  The FDIC has posted the Ombudsman Report to the Industry, a periodic on-line publication that summarizes comments heard through ombudsman outreach and cases. Report  3/05/08

• Regulators Encourage Use of HOPE NOW Standards

  The FRB has issued a SR Letter; the FDIC a FIL; and the OCC and OTS have each issued a statement encouraging the mortgage servicers to report on their loan modification efforts in a consistent way and to consider using the HOPE NOW alliance's loan modification reporting standards for their serviced loans. FRB SR Letter; FDIC FIL; OCC Statement; OTS Statement  3/04/08

• Dugan Discusses Basel II Status

  In remarks before the Institute of International Bankers, Comptroller Dugan indicated that that many national banks in the United States have indicated they will take advantage of the flexibility provided by the 36-month window for Basel II implementation provided in the final U.S. rule. He stated that "the U.S. is taking a sensible and measured approach to the Basel framework that incorporates various transitional arrangements and prudential safeguards that will help us be sure that the new standard works the way it's supposed to." Remarks  3/04/08

• Casino and MSB Filing Forms Revised

  FinCEN announced the release of three revised forms:

  • CRTC (FinCEN Form 103)
  • BSA E-File Electronic, and
  • Registration of Money Services Business, RMSB (FinCEN Form 107).

  The new forms are for PLANNING ONLY and must not be used for filing until July 1, 2008. CRTC; BSA; RMSB  3/04/08

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position report with data current as of February 29, 2008. Reserve Position  3/04/08

• Foreign Exchange Rates Report Issued

  The February 2008 G.5 Foreign Exchange Rates report has been issued by the FRB. G.5  3/04/08

• Counterfeit and Fictitious Checks Alerts

  The OCC has issued two Alerts regarding counterfeit cashier’s checks issued in the name of Merchants National Bank, Hillsboro, Ohio; and fictitious official checks issued in the name of First National Bank, Graford, Texas. Information concerning the counterfeit and fictitious checks has been posted on the BOL Alerts & Counterfeits page.  3/03/08

• CRA Exam Schedules Released

  The OCC and the FDIC have released their respective schedules of examinations of national banks and financial institutions for compliance with the Community Reinvestment Act (CRA) to be conducted during the second quarter of 2008. OCC Schedule; FDIC Schedule  3/03/08

• NCUA Publishes Final Rule in FR for Procedures for Debt Collection

  Pursuant to the Debt Collection Improvement Act of 1996 NCUA is issuing a regulation governing procedures for collecting debts owed to the federal government by present and
  former NCUA employees. The regulation sets forth the procedures NCUA will follow in collecting debts owed to the United States arising from activities under NCUA jurisdiction.TXT; PDF  3/03/08

• FDIC Insurance of Trust Deposits Guide

  The FDIC has developed a new publication for bankers and other financial professionals on FDIC insurance coverage of trust deposits. The FDIC Guide to Calculating Deposit Insurance Coverage for Revocable and Irrevocable Trusts provides detailed information and guidance on how to calculate insurance coverage for deposits held by revocable and irrevocable trusts. Guide  3/03/08

• Large Bank Mortgage Servicers To Submit Data

  The OCC has sent a letter to large national banks who service mortgages that requires them to provide comprehensive mortgage data on a monthly basis. The data is required in order to assure that the OCC has a detailed picture of the activities of national bank servicers and the performance of loans serviced by them. Letter  3/03/08

• Credit Auctions Announced

  The Federal Reserve has announced that it will offer $30 billion in 28-day credit through its term auction facility on March 10 and March 24, 2008. Some technical changes in procedures will be implemented for the March auctions to improve the overall efficiency of the auction process. Auctions  3/03/08

• Dugan Calls for CRA Revisions

  In a statement released after he toured areas of Harlem and the Bronx, Comptroller Dugan called for revisions of the Community Reinvestment Act (CRA) to help areas plagued by foreclosures. Statement  3/03/08

• Holdings U.S. Securities Report Released

  Treasury has released the preliminary data from a survey of foreign portfolio holdings of U.S. securities at end-June 2007. Foreign Holdings  3/03/08

• Entities and Individuals Added to OFAC List

  OFAC has announced sanctions against two entities and two individuals that contribute to the undermining of democratic processes and institutions in Zimbabwe. Their names have been added to the SDN List with the ZIMBABWE designation. Information concerning the additions has been posted on the BOL OFAC page.  1/31/08

• Rates Lowered Again

  The FRB has announced that the Federal Open Market Committee (FOMC) has lowered its target for the federal funds rate 50 basis points to 3 percent. In a related action, the Board of Governors unanimously approved a 50-basis-point decrease in the discount rate to 3-1/2 percent. Rates  1/31/08

• FRB Publishes Final Rule for Extensions of Credit by Federal Reserve Banks

  The Board of Governors of the Federal Reserve System (Board) has adopted final amendments to its Regulation A to reflect the Board's approval of a decrease in the primary credit rate at each Federal Reserve Bank. The secondary credit rate at each
  Reserve Bank automatically decreased by formula as a result of the Board's primary credit rate action. TXT; PDF  1/31/08

• Enforcement Actions Released

  The FDIC has released a list of 17 orders of administrative enforcement actions taken against banks and individuals in November 2007. The actions included two cease-and-desist orders; six removal and prohibition orders; four civil money penalties; one voluntary termination of insurance; and four terminations of cease-and-desist orders. Actions  1/31/08

• USA PATROIT Act Section 312 Guidance Issued

  FinCEN has issued an interpretative guidance to clarify how rules implementing section 312 of the USA PATRIOT Act (the correspondent account rule) apply to a covered financial institution presenting a negotiable instrument for payment to another financial institution. Section 312  1/31/08

• TBAC Minutes Released

  The minutes of the January 29, 2008 meeting of the Treasury Borrowing Advisory Committee (TBAC) of the Securities Industry and Financial Markets Association have been released. Minutes  1/31/08

• 2008 CU Workshop Schedule Released

  The NCUA has released schedule of 20 training workshops hosted by the Office of Small Credit Union Initiatives in cities across the country in 2008. Schedule  1/31/08

• IFDP Working Papers Published

  The FRB has published two working papers in the International Finance Discussion Paper (IFDP) series on the topics of "Measuring U.S. International Relative Prices: A WARP View of the World" and "International Competition and Inflation: A New Keynesian Perspective." Measuring Abstract; Measuring Full Paper; International Abstract; International Full Paper  1/31/08

• Communication of Examination/Inspection Findings SR Issued

  The FRB has issued a supervisory (SR) letter to the officer in charge of supervision and the appropriate supervisory and examination staff of each Federal Reserve Bank regarding the communication of examination/ investigation findings to directors and senior management of the examined institution. SR  1/30/08

• NCUA Proposes Rulemaking for Mergers, Conversion From Credit Union Charter, and Account Insurance Termination

  NCUA is considering whether to issue regulations to govern merger of a federally insured credit union (FICU)into or a FICU's conversion to a financial institution other than a mutual savings bank (MSB). It is also considering amending its regulations regarding mergers, charter conversions, and changes in account insurance to address various issues these transactions present that affect member rights and ownership interests.  TXT; PDF  1/30/08

• Credit Auction Results Announced

  The Federal Reserve has announced the results of auction of $30 billion in 28-day credit held on January 28, 2008. Auction  1/30/08

• Counterfeit Cashier's Checks Alert

  The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of First Keystone National Bank, Berkwick, Pennsylvania. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  1/29/08

• $15 Million CMP for AML Program Deficiencies

  FinCEN has announced an assessment of $15 million civil money penalty (CMP) against a California money services business (MSB) for violations of the Bank Secrecy Act (BSA) resulting from deficiencies in its anti-money laundering (AML) program. CMP  1/29/08

• Fraudulent Regulatory Agency Issuances Alert

  An alert has been issued by the OCC regarding reports from the Florida Office of Financial Regulation that fraudulent letters appearing to be sent from that office to financial institutions are currently in circulation. Alert  1/29/08

• HMDA Exemption Threshold Final Rule

  The OCC has issued a Bulletin contain a Final Rule regarding the Home Mortgage Disclosure Act (HMDA) exemption threshold for depository institutions under Reg. C. Bulletin  1/29/08

• The Quarterly Review Of Interest Rate Risk Published

  OTS has published the Third Quarter 2007 issue of The Quarterly Review of Interest Rate Risk which features an article on FAS 157. Quarterly Review  1/29/08

• January 2008 FedFocus Published

  FRB Financial Services has published the January 2008 issue of FedFocus which features a preview of 2008 and the technologies to watch along with a Special Payments Study Supplement. FedFocus  1/29/08

• First and Second Quarter 2008 Market Financing Estimates Announced

  Treasury has announced its market financing estimates for the first and second quarters of 2008. Estimates  1/29/08

• Reserve Position Update

  The U. S. International Reserve Position Report has been updated by Treasury to include data current as of January 25, 2008. Update  1/29/08

• Counterfeit Official Checks Special Alert

   
  The FDIC has issued a Special Alert regarding counterfeit official checks bearing the name of First Chicago Bank & Trust, Itasca, Illinois. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.  1/28/08

• DBA Transactions CTR Ruling Clarified

  FinCEN has issued an administrative ruling to clarify the CTR filing obligations when reporting transactions involving entities operating under a DBA name. Ruling  1/28/08

• Missouri Bank Closed and Deposits Assumed

  The OCC has announced that Douglass National Bank, Kansas City, Missouri, has been closed and the FDIC has been appointed receiver. The FDIC then announced the approval of the assumption of all the deposits by Liberty Bank and Trust Company, New Orleans, Louisiana. Closed; Assumption  1/28/08

• 30 Billion Credit Auction

  The Federal Reserve will offer $30 billion in 28-day credit through its term auction facility on January 28, 2008. Auction  1/28/08

• Electronic Check Presentment and Image Information Service Announced

  The FRB Financial Services has announced that beginning February 25, 2008, Federal Reserve Banks will offer an electronic check and image information service for FedReceipt Plus electronic receivers. Service  1/28/08

• FASB Interpretation Issued

  The FFIEC has issued an update to FASB Interpretation N. 48 on uncertain tax positions to Forms 031 and 041. Interpretation; Form 031; Form 041  1/28/08

• Asset & Liability Price Tables Released

  The OTS has released the 4th Quarter 2007 Asset & Liability Price Tables. Tables  1/28/08

• Counterfeit Cashier's Checks Alert Issued

  The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Fort Sill National Bank, Fort Sill, Oklahoma. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  1/25/08

• Enforcement Actions Released

  The FRB has released one order of administrative enforcement action against a bank for flood penalties. This is detailed on the BOL Flood Penalties Watch. page.  1/25/08

• Order of Prohibition Announced

  The FRB has announced that an order of prohibition has been issued against a former vice president, loan officer, and institution-affiliated party of Coconut Grove Bank, Miami, Florida, in connection with his activities as a lending officer with respect to the Bank's dealer-referred subprime automobile lending program. Order  1/25/08

• Pandemic Flu Exercise Detailed Results Released

  Treasury, the Financial Services Sector Coordinating Council for Critical Infrastructure Protection and Homeland Security (FSSCC), and the Financial and Banking Information Infrastructure Committee (FBIIC) have released in-depth results regarding the financial services sector participation in the Pandemic Flu Exercise conducted September 24 and October 12, 2007. Financial Services Results  1/25/08

• Online Credit Card Marketer Pays $2.2 Million

  An online operation marketing Visa- and MasterCard-branded prepaid debit cards to subprime consumers has agreed to pay $2.2 million to settle FTC charges that it made unauthorized debits from consumers' bank accounts and engaged in deceptive marketing practices. Settlement  1/25/08

• CU Assumption Announced

  NCUA has announced the selection of the bid of Public Service Credit Union of Denver, Colorado, to purchase the assets and assume the shares of Norlarco Credit Union of Ft. Collins, Colorado. Assumption  1/25/08

• FR Bulletin Statistical Supplement Issued

  The FRB has issued the December 2007 Statistical Supplement to the Federal Reserve Bulletin. Supplement  1/25/08

• International Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of January 18, 2008. Reserve Position  1/25/08

• Special Alerts Issued

  The FDIC has issued four Special Alerts regarding counterfeit checks bearing the name of the following institutions:

  • Lee Bank, Lee, Massachusetts (Counterfeit Checks);
  • The Stephenson National Bank and Trust, Marinette, Wisconsin (Counterfeit Cashier's Checks);
  • First Federal Bank of the Midwest, Defiance, Ohio (Counterfeit Cashier's Checks);
  • Jourdanton State Bank, Jourdanton, Texas (Counterfeit Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  1/24/08

• Examination Issues Webinar Scheduled

  The NCUA will conduct on Tuesday, January 29th, 2008, a free webinar that will discuss the key examination issues for 2008. The session will focus on the practical implications of the recently released Letter to Credit Unions on Evaluation Third Party Relationships and address strategic planning considerations for management and boards of directors. Webinar  1/24/08

• New Electronic Interpretations and Actions Announced

  The OCC has announced and posted online the January 2008 issue of New Electronic Interpretations and Actions. New  1/24/08

• FOMC Lowers Rates

  The FRB has announced that the Federal Open Market Committee (FOMC) has lowered its target for the federal funds rate 75 basis points to 3-1/2 percent. Rates  1/23/08

• Community Bank Directors Workshop Scheduled

  The OCC has scheduled a workshop for new national community bank directors at the Arizona Biltmore Resort in Phoenix, February 25-27, 2008. The workshop, "A New Director's Challenge: Mastering the Basics," which will provide practical information that expands bank directors' understanding of issues facing their banks. Registration is available online and is limited to 50 participants. Workshop; Registration  1/23/08

• Assets Reports Released

  The FRB has released the 3.12 U.S. Assets Report and the 3.13 Foreign Assets Held at Federal Reserve Banks reports for November 2007. Reports  1/22/08

• Six FEDS Working Papers Published

  The FRB has published six working papers in the Finance and Economic Discussion Series (FEDS) has been published on the following topics:

  • Explaining a Productive Decade;
  • Two Pitfalls of Linearization Methods;
  • Bank Core Deposits and the Mitigation of Monetary Policy;
  • Stability of Risk Preference;
  • Nominal Mortgage Contracts and the Effects of Inflation on Portfolio Allocation; and
  • Continuous Time Extraction of a Nonstationary Signal with Illustrations in Continuous Low-pass and Band-pass Filtering.

  Explaining Abstract; Explaining Full Paper; Two Pitfalls Abstract; Two Pitfalls Full Paper; Bank Core Abstract; Bank Core Full Paper; Stability Abstract; Stability Full Paper; Nominal Abstract; Nominal Full Paper; Continuous Abstract; Continuous Full Paper  1/22/08

• CRA Ratings Released

  The OCC has released the ratings received by twenty-six national banks recently evaluated for compliance with the CRA. Rating  1/18/08

• SDNTs Removed From OFAC List

  Treasury has announced that thirteen previously designated SDNTs have been removed from the OFAC SDN list. Information regarding the removed names has been posted on the BOL OFAC list.  1/18/08

• Bernanke's Economic Outlook

  In testimony before the House Budget Committee, FRB Chairman Bernanke discussed his outlook on the economy. He noted that incoming information has suggested that the baseline outlook for real activity in 2008 has worsened and that the downside risks to growth have become more pronounced. He indicated that the Federal Reserve has taken a number of steps to help markets return to more orderly functioning and to foster its economic objectives of maximum sustainable employment and price stability. Testimony  1/18/08

• Bair Discusses The Economy

  In a presentation at the Bear Stearns Mortgage and Structured Product Conference, FDIC Chairman Bair discussed the impact mortgage-backed securities and subprime mortgages have on the economy. She noted the subprime mortgage turmoil is a major cause of the current problems. Over the next two years through the end of 2009, nearly 2 million subprime borrowers are facing resets to much higher rates. She stated the lack of reliable information to adequately assess the risks of the underlying assets structured-credit products is also a major problem. Speech  1/18/08

• IFDP Working Papers Published

  The FRB has published three working papers in the International Finance Discussion Papers series on the following topics:

  • India's Future: It's About Jobs;
  • The Stambaugh Bias in Panel Predictive Regressions; and
  • Testing for Cointegration Using the Johansen Methodology when Variables are Near-Integrated.

  India's Abstract; India's Full Paper; Stambaugh Abstract; Stambaugh Full Paper; Testing Abstract; Testing Full Paper  1/18/08

• February HOEPA Rates Established

  The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for certain applications received in February, 2008, will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find applicable release which lists the Treasury Security with the same maturity term as your loan. To make the calculation, use the yield in effect on the 15th of the month that precedes the month you received the application. H.15  1/17/08

• TIC Data Released

  Treasury has released the Treasury International Capital (TIC) data for November 2007. TIC  1/17/08

• Fictitious Checks Alerts Issued

  The OCC has issued two Alerts regarding fictitious checks issued in the name of the following national banks are being presented for payment:

  • .First National Bank, Spearman, Texas (Fictitious Official Checks); and
  • Simmons First National Bank, Pine Bluff, Arkansas (Fictitious Cashier's Checks).

  Information concerning the fictitious checks has been posted on the BOL Alerts & Counterfeits page.  1/16/08

• Kingpin Designations Added To OFAC List

  OFAC has announced the designation of six individuals and one entity under the provisions of the Kingpin Act and added their names to the SDN list with the specifically designated narcotics trafficker (SDNTK) descriptor. Information regarding the new additions has been posted on the BOL OFAC page.  1/16/08

• 2008 HMDA and CRA Data Entry Software Available

  The free FFIEC CRA and HMDA Data Entry Software, version 2008 for CY 2008 data due March 1, 2009, is only available by DOWNLOAD from the FFIEC web site. Software  1/16/08

• Key Examination Issues Webinar Registration Opens

  NCUA has announced that the registration for its Tuesday, January 29, 2008 webinar entitled "Key Examination Issues for 2008: Evaluation of 3rd Party Relationships and Strategic Planning" is now open. Registration  1/16/08

• Proposed Form Changes Posted

  The FFIEC has posted online the initial Federal Register notice of proposed changes to Form 002 and 002s. The comment period ends March 15, 2008. Notice  1/16/08

• Credit Auction Results Announced

  The Federal Reserve has announced the results of auction of $30 billion in 28-day credit held on January 14, 2008. Auction  1/16/08

• Cost of Funds Reports Updated

  OTS has updated the Historical and Current National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Reports with data current as of December 31, 2007. Historical; Current  1/16/08

• Counterfeit and Fraudulent Checks Special Alerts

  The FDIC has issued four Special Alerts regarding counterfeit and fraudulent checks bearing the name of the following institutions:

  • Pacific Western Bank, San Diego, California (Counterfeit Cashier's Checks);
  • American National Bank & Trust Wisconsin, Cuba City, Wisconsin (Fraudulent Traveler's Checks);
  • Huntington State Bank, Huntington, Texas (Counterfeit Cashier's Checks); and
  • First Federal Bank, Harrison, Arkansas (Counterfeit Cashier's Checks).

  Information concerning the counterfeit and fraudulent checks has been posted on the BOL Alerts & Counterfeits page.  1/15/08

• Enforcement Actions Announced

  The OCC has released a list of four new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks. Actions  1/15/08

• $10,000 CMP Paid

  OFAC has announced that a civil money penalty in the amount of $10,000 has been paid by BB&T Corporation, a financial holding company headquartered in Winston-Salem, North Carolina, to settle an alleged violation of Global Terrorism Sanctions Regulations by permitting an ACH debit against an account held for a Specially Designated Global Terrorist (SDGT). CMP  1/15/08

• 23A Exemption Granted

  The FRB has released a letter to a financial holding company containing a legal interpretation granting an exemption from section 23A of the Federal Reserve Act and Regulation W in order that an owned national bank subsidiary, may acquire all the shares of an affiliate. Letter  1/15/08

• Large Bank Failure Regulations Proposed

  The FDIC has issued a FIL regarding a proposing a two-part rulemaking relating to the potential failure of an FDIC-insured depository institution. Comment are due by April 14, 2008. FIL  1/15/08

• New Routing Numbers Announced

  FRB Financial Services has announced that new FedReceipt routing numbers will be effective January 28, 2008. New Routing Numbers  1/15/08

• Community Bank Directors Workshops Announced

  The OCC has announced the schedule of its 2008 workshops for community bank directors. Schedule  1/15/08

• Oklahoma Quarter Information Released

  Information is not available regarding the availability of the new Oklahoma State quarter. Oklahoma  1/15/08

• International Reserve Position Updated

  Treasury has updated the U.S. International Reserve Position Report with data current as of January 11, 2008. Reserve Position  1/15/08

• Counterfeit Checks and Money Orders Special Alerts

  The FDIC has issued six Special Alerts regarding counterfeit checks and money orders bearing the name of the following institutions:

  • Machias Savings Bank, Machias, Maine (Counterfeit Treasurer Checks);
  • New Windsor State Bank, New Windsor, Maryland (Counterfeit Cashier's Checks);
  • Lake Forest Bank and Trust Company, Lake Forest, Illinois (Counterfeit Cashier's Checks);
  • Benjamin Franklin Bank, Franklin, Massachusetts (Counterfeit Money Orders);
  • New Century Bank South, Fayetteville, North Carolina (Counterfeit Official Checks); and
  • EvaBank, Eva, Alabama (Counterfeit Cashier's Checks).

  Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  1/14/08

• OFAC CMPs Announced

  The civil money penalties (CMPs) recently assessed against entities and individuals for violations of OFAC regulations regarding various sanctions programs have been announced by OFAC. One financial institutions was listed. A $10,000 fine was assessed alleging that BB&T permitted an ACH Debit against an account held for a SDGT. CMPs  1/14/08

• Proposed and Final Rules Issued

  OTS has issued a final rule regarding prohibited service at savings and loan holding Companies extension of the expiration date of a temporary exemption; a proposed rule regarding procedures to enhance the accuracy and integrity of information furnished to consumer reporting agencies under of the FACT Act; and final rules regarding expanded examination cycle for certain small insured depository institutions and U.S. branches and agencies of foreign banks. Prohibited Service; Procedures to Enhance; Expanded Exam Cycle  1/14/08

• FDIC Publishes Final Interim Rule in FR for Deposit Insurance Requirements

  The FDIC is amending certain regulations in order to conform them to certain Federal statutes recently amended by the Financial Services Regulatory Relief Act of 2006, the Federal Deposit Insurance Reform Act of 2005, and the Federal Deposit Insurance Reform Conforming Amendments Act of 2005.  TXT; PDF  1/14/08

• FDIC Proposes Rulemaking for Processsing of Deposit Accounts

  The FDIC is seeking comment on a proposed rule composed of two parts. The first part would establish the FDIC's practice for determining deposit account balances at a failed insured
  depository institution. The second part would require the largest insured depository institutions to adopt mechanisms that would, in the event of the institution's failure: provide the FDIC with standard deposit account and customer information; and allow the FDIC to place and release holds on liability accounts, including deposits.  TXT; PDF  1/14/08

• $30 Billion Credit Auction Scheduled

  The Federal Reserve will offer $30 billion in 28-day credit through its term auction facility on January 14, 2008. Auction  1/14/08

• SDGT Added To OFAC List

  Treasury has designated an entity as a Specially Designated Global Terrorist (SDGT) and added the name to the SDN List. Information regarding the addition has been posted on the BOL OFAC page.  1/11/08

• Bernanke Discusses Financial Markets, Economic Outlook, and Monetary Policy

  In a presentation at the Women in Housing and Finance and Exchequer Club Joint Luncheon in Washington, D.C., FRB Chairman Bernanke presented his views on the financial market, the economic outlook and the monetary policy. He discussed the FRB's response to the issues of housing, the subprime mortgage market, and the current financial turmoil. Speech  1/11/08

• Loan Modification and Voluntary Deposit Insurance Discussed

  The Third Quarter 2007 issue of FDIC Quarterly has been published and features articles on the analytical case for a systematic and streamlined loan modification process that will help avert foreclosure for borrowers who are current on their loans, but who cannot refinance or afford the higher payments when interest rates reset; and report the results of a congressionally mandated study on the feasibility of establishing a voluntary deposit insurance system for deposits exceeding the maximum amount of FDIC insurance. FDIC Quarterly  1/11/08

• Consumer CRA Credit Freezes Input Sought

  The FTC is seeking comments on the impact and effectiveness of credit freezes as part of a multi-pronged approach to combat identity theft. Once a consumer initiates a credit freeze with a CRA, the freeze prevents that CRA from releasing a consumer report (i.e., a credit report) about that consumer unless the consumer temporarily lifts or permanently removes the freeze. Credit Freezes  1/11/08

• OCC 2007 Annual Report Released

  The OCC has released its Annual Report for fiscal year 2007. Annual Report  1/11/08

• Al-Zawra and Four Individuals Added To OFAC List

  Treasury has designated four individuals and one entity under Executive Order 13438 for threatening the peace and stability of Iraq and the Government of Iraq. The names of the individuals and the entity, the Syria-based Al-Zawra television station, have been added to the SDN List with the Iraq3 designation. Information regarding the additions has been posted on the BOL OFAC page.  1/10/08

• Counterfeit Cashier's Checks Special Alert

  The FDIC has issued a Special Alert regarding counterfeit cashier's checks bearing the name of Bank of Astoria, Astoria, Oregon. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  1/10/08

• CRA Ratings Released

  The FDIC has released the list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). Ratings   1/10/08

• Permissible Activities Final Rule

  OTS has issued a Final Rule and a correction page regarding the permissible activities of savings and loan holding companies. Final Rule; Correction   1/10/08

• International Reserve Position Updates

  The U.S. International Reserve Position for the weeks ending December 21, and 28, 2007, January 4, 2008 have been released by Treasury. December 21; December 28; January 4   1/10/08

• 2008 CAC Appointments Announced

  The FRB has announced the appointment of the members and leadership of the 2008 Consumer Advisory Council (CAC). Appointments   1/10/08

• Special Alerts Issued

  The FDIC has issued three Special Alerts regarding stolen and counterfeit checks in addition to counterfeit money orders bearing the name of the following institutions:

  • Pacific National Bank, San Francisco, California (Stolen Official Checks);
  • C-Plant Federal Credit Union, Paducah, Kentucky (Counterfeit Cashier's Checks); and
  • East West Bank, Pasadena, California (Counterfeit Money Orders).

  Information concerning the stolen and counterfeit items has been posted on the BOL Alerts & Counterfeits page.  1/09/08

• FRB Proposed Rulemaking for Truth in Lending (Reg Z)

  The Board proposes to amend Regulation Z, which implements the Truth in Lending Act and Home
  Ownership and Equity Protection Act. The goals of the amendments are to protect consumers in the mortgage market from unfair, abusive, or deceptive lending and servicing practices while preserving responsible lending and sustainable homeownership; ensure that advertisements for mortgage loans provide accurate and balanced information and do not contain misleading or deceptive representations; and provide consumers transactionspecific disclosures early enough to use while shopping for a mortgage.  TXT; PDF  1/09/08

• Written Agreement Announced

  The FRB has announced the execution of a Written Agreement by and among Southern Bank of Commerce, Paragould, Arkansas, the Federal Reserve Bank of St. Louis, and the Arkansas State Bank Department. Written Agreement  1/09/08

• FinCEN Issues MSB Ruling

  A ruling has been issued by FinCEN regarding whether or not a publicly traded company that cashes its own checks issued to loan customers is a money services business (MSB). Ruling  1/09/08

• Discount Rate Meetings Minutes Released

  The FRB has released the minutes of its discount rate meetings from November 5 through December 11, 2007.   Minutes  1/09/08

• Consumer Credit Report Issued

  The FRB has issued the November 2007 G.19 Consumer Credit Report. G.19  1/09/08

• Special Executive Briefing on New ID Theft/Credit Rules

  BOL's January 7, 2008, Executive Briefing includes summaries by BOL Guru Lucy Griffin of three recently finalized FACT Act rules on Red Flag Guidelines, Address Changes, and Affiliate Marketing.   1/08/08

• If you are looking

  for an updated Reg CC calendar, Rescission Calendar or HOEPA analysis spreadsheet, we have them for you. You can find links to these and more Tools under the New Developments section of the BankersOnline homepage.  1/07/08

• FRB Publishes Technical Amendments to Final Rule for Availability of Funds and Collection of Checks

  The Board of Governors (Board) is amending appendix A of Regulation CC to delete the reference to the Utica office of the Federal Reserve Bank of New York and reassign the
  Federal Reserve routing symbols currently listed under that office to the head office of the Federal Reserve Bank of Cleveland and the head office of the Federal Reserve Bank of Philadelphia.TXT; PDF  1/08/08

• Counterfeit Checks Special Alerts Issued

  The FDIC has issued five Special Alerts regarding counterfeit cashier's and teller's checks bearing the name of the following institutions:

  • The Bank of Elk River, Elk River, Minnesota (Counterfeit Cashier's Checks);
  • The Old Point National Bank of Phoebus (The Old Point National Bank), Hampton, Virginia (Counterfeit Cashier's Checks);
  • Federated Bank, Onarga, Illinois (Counterfeit Cashier's Checks);
  • Connecticut State Employees' Credit Union, Inc. (CSE Credit Union, Inc.), Hartford, Connecticut (Counterfeit Teller's Checks) and;
  • American Bank, Allentown, Pennsylvania (Counterfeit Cashier's Checks).

  Information regarding the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  1/07/08

• CRA Ratings Released

  OTS has released the ratings received by savings associations recently evaluated for compliance with the CRA. Ratings  1/07/08

• BHC Change in Control Legal Interpretation Released

  The FRB has released a legal interpretation that a proposal by a banking holding company (BHC) to create an employee stock ownership trust holding shares of the BHC would not cause the BHC to lose certain grandfather rights under section 4(f) of the BHC Act. Interpretation  1/07/08

• OCC Revises Licensing Manual

  The Investment in Subsidiaries and Equities booklet in the OCC Licensing Manual series has been revised to include clarification of the OCC's authority in regards to offshore subsidiaries and the repeal of certain geographic limits for bank service companies. Licensing Manual   1/07/08

• Treasury Issues Economic Update

  Treasury has issued its first economic update of 2008. Update  1/07/08

• January Auctions Announced

  The Federal Reserve has announced that it will conduct two auctions of $30 Billion of 28-day credit through its term auction facility on January 14 and 28, 2008. Auctions  1/07/08

• National Housing Forum Transcript Released

  OTS has released the transcript of the National Housing Forum held at the National Press Club in Washington, D.C. on December 3, 2007. Transcript  1/07/08

• Enforcement Actions Released

  The FDIC has released a list of orders of administrative enforcement actions taken against banks and individuals in October 2007. Six actions were flood penalties, detailed on the BOL Flood Penalties Watch page. Actions  1/04/08

• Reg CC Amendments Announced

  The FRB has approved amendments to Appendix A of Regulation CC that reflect the restructuring of the check processing operations of the Federal Reserve Banks of New York, Philadelphia, and Cleveland, and provided notice relating to future changes to Appendix A. Amendments  1/03/08

• Licensing Manual Revised

  The OCC has revised the "Charters" booklet of the Licensing Manual series contains several revisions including streamlined application requirements and clarification of capital considerations. Charters  1/03/08

• FOMC Minutes Released

  The FRB has released the minutes of the Federal Open Market Committee (FOMC)from the meeting held on December 11, 2007 and of a conference call held on December 6, 2007. Minutes  1/03/08

• Foreign Exchange Rates Reports Issued

  The FRB has issued the 2007 Annual and December 2007 Monthly G.5 Foreign Exchange Rates Reports. Annual; December   1/03/08

• New Electronic Interpretations and Actions Announced

  The December 2007 issue of New Electronic Interpretations and Actions has been posted online by the OCC. December Issue  1/03/08

• FDIC Proposes Rulemaking for Minority and Women Outreach Program Contracting

  This proposal would amend existing FDIC regulations regarding the FDIC's contracting activities under its Minority and Women Outreach Program (MWOP). TXT; PDF  1/03/08

• January Issue FedFlash Published

  FRB Financial Services has published the January 1, 2008 issue of FedFlash. The issue features articles regarding a change to the FedFlash distribution schedule, a new $5 bill, and 2008 seasonable credit applications. FedFlash  1/02/08

• OTS Publishes Technical Amendments

  The Office of Thrift
  Supervision (OTS) is amending its regulations to incorporate a number of technical and conforming amendments. They include clarifications and corrections of typographical errors.TXT; PDF  1/02/08

• Counterfeit Cashier's Checks Special Alerts

  The FDIC has issued three Special Alerts regarding counterfeit cashier's checks bearing the names of the following institutions:

  • The Bank of Kentucky, Inc., Crestview Hills, Kentucky:
  • United Republic Bank, Omaha, Nebraska; and
  • Blue Ridge Bank & Trust Company, Independence, Missouri.

  Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  12/31/07

• Names Removed From OFAC List

  Treasury has removed the names of three individuals from the OFAC SDN List that were listed with the Specially Designated Narcotics Traffickers (SDNT) designation. Information concerning the deletions has been posted on the BOL OFAC page.  12/31/07

• Spanish BSA/AML Training Manual Available

  The FDIC has issued an FIL announcing that the Federal Financial Institutions Examination Council (FFIEC) Bank Secrecy Act/Anti-Money Laundering (BSA/AML) Examination Manual has translated into Spanish and is available to the public.FIL; Order Form   12/31/07

• Quarterly Bank Trading Revenues Decline

  The OCC has published the Quarterly Report on Bank Derivatives Activities that indicates the bank trading revenues for the third quarter 2007 totaled $2.8 billion, 62% less than the second quarter 2007 and 48% less than the third quarter 2006.
  Quarterly Report  12/31/07

• Counterfeit Cashier's Checks Alert

  The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Carlinville National Bank, Carlinville, Illinois. Information regarding the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  12/28/07

• Enforcement Actions Announced

  The FDIC has released a list of orders of administrative enforcement actions taken against banks and individuals in September 2007. Eight actions were flood penalties, detailed on the BOL Flood Penalties Watch page.
  Actions  12/28/07

• FR Bulletin Supplement Released

  The FRB has released the November 2007 Statistical Supplement to the Federal Reserve Bulletin.
  Supplement  12/28/07

• IFDP Working Paper Published

  A working paper in the International Finance Discussion Papers (IFDP) series on the topic of "Sovereign CDS and Bond Pricing Dynamics in Emerging Markets: Does the Cheapest-to-Deliver Option Matter?" has been published by the FRB.
  Abstract;
  Full Paper  12/28/07

• Fourth Quarter News from FedACH

  News from FedACH is the FRB's nationwide, quarterly ACH newsletter. This publication is designed for FedACH customers who are interested in seeing ACH fulfill its role as the nation's premier electronic payment service. The Fourth Quarter 2007 issue is now available.
  News  12/28/07

• OTS 2007 Financial Report Released

  OTS has released the agency's 2007 Financial Report.
  Report   12/28/07

• FRB Check Processing Problems

  FRB Financial Services has announced that the FRB of Cleveland check processing center experienced some problems processing Check 21 deposits and presentments from December 17- 19, 2007. Delays in posting credits and debits along with delays in the return of unpaid items may occur.
  Problems  12/27/07

• Fourth Quarter Call Report Information

  The FDIC has issued a FIL containing information regarding the Fourth Quarter 2007 Consolidated Reports of Condition and Income (Call Report).The completed Call Report must be received by the FDIC by Wednesday, January 30, 2008.
  FIL  12/27/07

• Counterfeit Special Alerts

  The FDIC has issued three Special Alerts regarding counterfeit cashier's bearing the name The Farmers State Bank, New Madison, Ohio; counterfeit official checks bearing the name Star Bank of Texas, Fort Worth, Texas, and counterfeit money orders bearing the name First Security State Bank, Evansdale, Iowa. Information regarding the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  12/26/07

• Enforcement Action Announced

  The OCC has announced the enforcement actions recently taken against national banks and their current or former affiliates. One action was a $125,000 flood penalty, also reported on the BOL Flood Penalty Watch page.
  Actions  12/26/07

• Unauthorized Banking Special Alert

  The FDIC has issued a Special Alert regarding a warning notice issued by the Office of the Superintendent of Financial Institutions of Canada stating that Anishinabe Wampum (Bank), Sharbot Lake, Ontario, Canada, is claiming that it is a bank and is offering banking services in Canadian federal currency. This entity is not a bank organized under the Bank Act (Canada) nor is it an authorized bank under the act. Special Alert  12/26/07

• TAF Auctions To Continue

  The Federal Reserve intends to conduct biweekly Term Auction Facility (TAF) auctions for as long as necessary to address elevated pressures in short-term funding markets.
  TAF  12/26/07

• FACT Act, Flood Insurance, and USA PATRIOT Act FILs Issued

  The FDIC has issued three FIL on the following topics: Fair and Accurate Credit Transactions Act (FACT Act) proposed procedures to enhance the accuracy and integrity of information furnished to consumer reporting agencies; managing risks associated With lapses in flood insurance coverage; and USA PATRIOT Act final regulation implementing Section 312.
  FACT Act;
  Flood Insurance;
  USA PATRIOT Act  12/26/07

• Margin Requirements Legal Interpretations Issued

  The FRB has issued two opinion letters regarding legal interpretations of the exemption from the Board's risk-based capital guidelines for bank holding companies.
  Letter 1;
  Letter 2  12/26/07

• Agricultural Finance Databook Update

  The December 2007 update to the E.15 Agricultural Finance Databook has been published by the FRB.
  E.15  12/26/07

• Eleven Counterfeit Items Special Alerts Issued

  The FDIC has issued eleven Special Alerts regarding counterfeit money orders, cashier's checks, official checks and treasurer's checks bearing the names of the following institutions:

  • Security Bank of Pulaski County, Saint Robert, Missouri (Counterfeit Cashier's Checks);
  • Central Bank and Trust Company, Hutchinson, Kansas (Counterfeit Money Orders);
  • EagleBank, Bethesda, Maryland (Counterfeit Cashier's Checks);
  • First State Bank, Saint Robert, Missouri (Counterfeit Cashier's Checks);
  • Conestoga Bank, Philadelphia, Pennsylvania (Counterfeit Cashier's Checks);
  • The Apple Valley Bank & Trust Company, Cheshire, Connecticut (Counterfeit Treasurer's Checks);
  • Elsa State Bank and Trust Company, Elsa, Texas (Counterfeit Official Checks);
  • Valley Bank and Trust, Brighton, Colorado (Counterfeit Cashier's Checks);
  • Summit Bank, Arkadelphia, Arkansas (Counterfeit Official Checks);
  • Renasant Bank, Tupelo, Mississippi (Counterfeit Official Checks); and
  • The Heritage Bank, Hinesville, Georgia (Counterfeit Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  12/21/07

• BSA and Flood Enforcement Actions Announced

  The FDIC has announced the issuance of six BSA Cease and Desist (C&D) orders and six flood enforcement actions. Information regarding the C&D orders and the enforcement actions has been posted on the BOL BSA/AML Penalties List page and the BOL Flood Penalties Watch page.  12/21/07

• Federal Reserve Banks Holiday Schedules

  FRB Financial Services has announced the 2007, 2008, and 2009 holiday schedules for Federal Reserve Banks.
  Schedules  12/21/07

• CEO Letters Issued

  OTS has issued two CEO Letters on the topics of "Changes to the Holding Company Rating System and Examination Components" and "FCRA Affiliate Marking Rule."
  Rating System;
  FCRA  12/21/07

• Proposed Rule Withdrawn

  The OTS has withdrawn a proposed rule regarding the integrity of directors.
  Proposed Rule  12/21/07

• CRA Asset-Size Threshold Adjustments Announced

  In yesterday's Compliance Briefing we told you about the federal bank regulatory agencies announcement of the annual adjustment to the asset-size thresholds used to define "small bank", "small savings association," "intermediate small bank," and "intermediate small savings association" under the Community Reinvestment Act (CRA) regulations. The adjustment is promulgated in today's Federal Register. Federal Register  12/21/07

• OTS 2007 Annual Report Released

  The Annual Report for Fiscal Year 2007 has been released by OTS.
  Annual Report  12/21/07

• Third Quarter Interest Rate Risk Report Released

  OTS has released the final statistics for the third quarter 2007 interest rate risk measures and the interest rate risk exposure report.
  Statistics;
  Exposure Report12/21/07

• Ten Counterfeit and Stolen Checks Special Alerts Issued

  The FDIC has issued ten Special Alerts regarding counterfeits and stolen checks bearing the names of the following institutions:

  • Merchants Commercial Bank, St. Thomas, Virgin Islands (Counterfeit Official Checks);
  • Texas Bank and Trust Company, Longview, Texas (Counterfeit Cashier's Checks);
  • The Bancorp Bank, Wilmington, Delaware (Counterfeit Treasurer's Checks);
  • Colony Bank Ashburn, Ashburn, Georgia (Stolen Official Checks);
  • Fifth Third Bank, Cincinnati, Ohio (Counterfeit Official and Traveler's Checks);
  • Alta Alliance Bank, Oakland, California (Counterfeit Cashier's Checks);
  • Fort Knox Federal Credit Union, Radcliff, Kentucky (Counterfeit Teller Checks);
  • Lafayette Ambassador Bank, Easton, Pennsylvania (Counterfeit Official and Cashier's Checks);
  • PathFinder Bank, Oswego, New York (Counterfeit Cashier's Checks); and
  • FSGBank, National Association, Chattanooga, Tennessee (Counterfeit Official and Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  12/20/07

• Unauthorized Banking Special Alert

  A Special Alert has been issued by the FDIC regarding an entity that may be conducting banking operations in Canada or the United States without authorization. Special Alert  12/20/07

• CRA Asset-Size Threshold Adjustments Announced

  The federal bank regulatory agencies have announced the annual adjustment to the asset-size thresholds used to define "small bank", "small savings association," "intermediate small bank," and "intermediate small savings association" under the Community Reinvestment Act (CRA) regulations.  12/20/07

  • Adjustment;
  • FRB PR;
  • OCC NR;
  • OTS PR;
  • FDIC PR;
  • FFIEC

• Enforcement Actions Released

  The FDIC has released a list of twenty-five orders of administrative enforcement actions taken against banks and individuals in August 2007. Six of these were civil money penalties for flood violations, detailed on BOL's Flood Penalties Watch.
  Orders  12/20/07

• FRB To Hold 35-Day Credit Auction

  The FRB has announced that on December 20, 2007, it will offer $20 billion in 35-day credit through its Term Auction Facility.
  Auction  12/20/07

• Large Bank Failure Insurance Rule Proposed

  The FDIC issued a proposed rule to improve the process for determining uninsured depositors at larger institutions in the event of a failure.
  Proposed Rule   12/20/07

• FRB Increases HMDA Asset-Size Exemption

  Depository institutions with assets of $37 million or less as of December 31, 2007, are exempt from collecting data in 2008.
  Federal Register 12/20/07

• DIF Third Quarter Financials

  The FDIC has announced that the Deposit Insurance Fund (DIF) earned $1.6 billion in comprehensive income for the first nine months of 2007. DIF assessments were $170 million for the third quarter of 2007, compared to $140 million for the second quarter.
  DIF Financials  12/20/07

• Receivables and Auto Loans Report Issued

  The G.20 Finance Companies Owned and Managed Receivables and Auto Loans Report for October 2007 has been issued by the FRB.
  G.20  12/20/07

• Retirement Plan Services Booklet

  A new Booklet in the Comptroller's Handbook for Asset Management describes the types of retirement plan services banks offer and effective methods of managing the associated risks.
  Booklet  12/20/07

• OTS to Expand Permissible Activities

  The OTS is expanding the permissible activities of savings and loan holding companies (SLHCs) to the full
  extent permitted under the Home Owners' Loan Act (HOLA).
  Federal Register  12/20/07

• OTS Withdraws Proposed Rule

  The OTS is withdrawing the proposed rule that would have amended regulations concerning corporate governance to permit federally chartered savings associations and mutual holding companies to adopt a preapproved bylaw that would have precluded certain persons from serving on the adopting federal savings association's board of directors.
  Federal Register  12/20/07

• OTS Revises Rating System

  The OTS is revising its savings and loan holding company rating system to better reflect and
  communicate its supervisory expectations. The new SLHC rating system revises component descriptions to better emphasize risk management and adopts a numeric rating scale.
  Federal Register  12/20/07

• Reg Z TIL HOEPA Changes Proposed

  FRB has proposed and asked for public comment changes to Reg. Z (Truth in Lending) to protect consumers from unfair or deceptive home mortgage lending and advertising practices. The rule, which would be adopted under the Home Ownership and Equity Protection Act (HOEPA), would restrict certain practices and would also require certain mortgage disclosures to be provided earlier in the transaction. Comments can be submitted online. Summary; Proposed Rule; Submit Comment  12/19/07

• $3.5 Billion Tax Credits Competition

  Treasury has announced the opening of the sixth round of competition for tax credits on $3.5 billion of equity investments under the New Markets Tax Credit (NMTC) Program which permits individual and corporate taxpayers to receive a credit against federal income taxes for making qualified equity investments in investment vehicles known as Community Development Entities (CDEs). Competition   12/19/07

• $50,000 Penalty For Improper Disposal of Credit Records

  A mortgage company that left loan documents with consumers' sensitive personal and financial information in and around an unsecured dumpster has agreed pay a $500,000 penalty to settle FTC charges that it violated federal regulations. The complaint filed by the FTC alleged that the Company violated the disposal, safeguards, and privacy rules by failing to properly dispose of credit reports or information taken from credit reports, failing to develop or implement reasonable safeguards to protect customer information, and not providing customers with privacy notices. Complaint  12/19/07

• Pandemic Planning Bulletin Issued

  The OCC has issued a Bulletin regarding previously announced Interagency Statement on Pandemic Planning. Information concerning the statement was posted in the December 13, 2007 BOL Top Stories. Bulletin  12/19/07

• FRB Publishes Final Rule in FR for Extensions of Credit by Federal Reserve Banks

  The Board of Governors of the Federal Reserve System (Board) has adopted final amendments to its Regulation A to reflect the Board's approval of a decrease in the primary
  credit rate at each Federal Reserve Bank. The secondary credit rate at each Reserve Bank automatically decreased by formula as a result of the Board's primary credit rate action.TXT; PDF  12/19/07

• January 2008 HOEPA Rates Established

  The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for certain applications received in January 2008, will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find applicable release which lists the Treasury Security with the same maturity term as your loan. To make the calculation, use the yield in effect on the 15th of the month that precedes the month you received the application. Since December 15 was a Saturday, use the rate on December 14, the business day immediately preceding the 15th. Weekly H.15  12/18/07

• 2008 Reg C Asset-Size Exemption Threshold Announced

  The FRB has published its annual notice of the asset-size exemption threshold for depository institutions under Regulation C, which implements the Home Mortgage Disclosure Act (HMDA). Threshold  12/18/07

• SLHC Rating System Revised

  The OTS has revised its savings and loan holding company rating system to better reflect and communicate the regulator's expectations. The revision, which is effective for examinations beginning after January 1, 2008, places more emphasis on risk management and adopts a numeric rating scale. Rating System  12/18/07

• Winter 2007 Supervisory Insights Journal Published

  The FDIC has issued a FIL announcing the publication of the Winter 2007 issue of the Supervisory Insights Journal. Featured articles include: how liquidity management and measurement practices have changed; how banks can monitor and control commercial real estate concentrations; the critical role SARs play in fighting financial crimes; how examiners review and analyze HMDA loan data; how banks have responded to increasing risks in the Internet banking environment; and how community banks in the FDIC's Dallas Region are using leveraging strategies to enhance earnings and growth. FIL;
  Journal  12/18/07

• October TIC Data Released

  Treasury has released the Treasury International Capital (TIC) Data for October 2007. TIC Data  12/18/07

• 2007 Fiscal Year U.S. Financial Report Released

  Treasury and the Office of Management and Budget today released the Fiscal Year 2007 Financial Report of the United States Government. The report details the U.S. government's short-term and long-term financial outlook, including the government's biggest fiscal challenge- the unsustainable growth in entitlement programs. Report  12/18/07

• International Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of December 14, 2007. Reserve Position  12/18/07

• CRA Ratings Released

  The OCC has released the ratings received by thirty-seven national banks that were recently examined for compliance with the CRA. Ratings  12/17/07

• Guidance on Confidentiality Provisions in Third Party Agreements

  A Supervisory Letter (SR Letter) has been issued which clarifies the Federal Reserve's expectations regarding confidentiality provisions in agreements between a banking organization and its counterparties. SR  12/17/07

• Fake Treasury e-Mails Warning

  Treasury has issued a warning to the public regarding e-mails which are a part of a scam seeking confidential information and appear to be from Treasury officials. Anyone who receives an email of this nature should file a complaint at http://www.ic3.gov. Warning   12/17/07

• FRB Publishes Final Rule in FR for Extension of CRedit by Federal Reserve BAnks

  The Board of Governors of the Federal Reserve System (Board) is amending its Regulation A, effective December 12, 2007, to allow the Board to authorize a temporary Term Auction
  Facility (TAF) under section 10B of the Federal Reserve Act. This is a credit facility that allows a depository institution to obtain an advance from its local Federal Reserve Bank at an interest rate that is determined as the result of an auction.TXT; PDF  12/17/07

• Colorado CU Conservatorship Announced

  The NCUA has announced that the State of Colorado has assumed control of the operations of Zion United Community Credit Union, a state-chartered, federally insured credit union serving residents in Denver, Colorado. Conservatorship  12/17/07

• December FedFlash Published

  The December 15, 2007 issue of FedFlash has been published and posted online by FRB Financial Services. The issue includes articles on: the FedACH RDFI file alert service; new FedReceipt RTNs; the $5,000 annual purchase limit on U.S. savings bonds; cross-shipping fee dispute resolution; changes to the HDGS and PPGS transit number listings; new options for Check 21 Image Cash Letter deposits and the holiday processing schedule. FedFlash  12/17/07

• $20 Billion Treasury Term Auction

  The Federal Reserve will offer $20 billion in 28-day credit through the December 17, 2007 Term Auction Facility. Auction  12/17/07

• Cost of Funds Reports Issued

  OTS has issued the Current and Historical National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions reports. Current; Historical  12/17/07

• Industrial Production Report Released

  The November 2007 G.17 Industrial Production and Capacity Utilization Report has been released by the FRB. G.17  12/17/07

• New FedReceipt Routing Numbers Announced

  FRB Financial Services has announced new FedReceipt Routing Numbers which will be effective January 2, 2008. Routing Numbers  12/14/07

• Examination Handbook - Loans To One Borrower Section Revised

  A Regulatory Bulletin (RB) has been issued by the OTS the revisions of the Examination Handbook section regarding loans to one borrower. Revision  12/14/07

• FRB Publishes Technical Amendment to Final Rule for Equal Credit Opportunity

  The Board is revising the official staff commentary to Regulation B, which implements the Equal Credit Opportunity Act, to clarify an amendment published on November 9, 2007, which relates to the electronic delivery of disclosures under Regulation B.TXT; PDF  12/14/07

• FRB Publishes Technical Amendment to Final Rule for Truth in Lending

  The Board is revising the official staff commentary to Regulation Z, which implements the Truth in Lending Act, to clarify an amendment published on November 9, 2007, relating to the electronic delivery of disclosures under Regulation Z.TXT; PDF  12/14/07

• TIAC Names New Leadership and Members

  A new President and Vice President along with seven new members have been named to the 2008 Thrift Institutions Advisory Council (TIAC). TIAC  12/14/07

• Survey of Terms of Business Lending Results Released

  The results of the November 2007 E.2 Survey of Terms of Business Lending have released by the FRB. E.2  12/14/07

• Mexican Money Launderer and Related Entities Added to SDN List

  OFAC has designated a Mexican money launderer, twenty-two of her associates, and nineteen related entities as Specially Designated Narcotics Traffickers (SDNTK) and added their names to the SDN List. Information regarding the new entries has been posted on the BOL OFAC page.  12/13/07

• Federal Reserve Addresses Short-Term Funding Markets Pressures

  The Federal Reserve has announced the establishment a temporary Term Auction Facility (TAF) and foreign exchange swap lines with the European Central Bank (EBC) and the Swiss National Bank (SNB). The TAF Program will auction term funds to depository institutions against the wide variety of collateral that can be used to secure loans at the discount window. The swap lines will provide dollars in amounts of up to $20 billion and $4 billion to the ECB and the SNB, respectively, for use in their jurisdictions. Market Pressures; TAF Program  12/13/07

• Interagency Notice of Proposed Rulemaking to Implement the Fair and Accurate Credit Transactions Act

  The OCC, Board, FDIC, OTS, NCUA, and FTC (Agencies) are publishing for comment proposed
  regulations and guidelines to implement the accuracy and integrity provisions in section 312 of the Fair and Accurate Credit Transactions Act of 2003 (FACT Act). The proposed regulations and guidelines would implement the requirement that the Agencies issue guidelines for use by furnishers regarding the accuracy and integrity of the information about consumers that they furnish to consumer reporting agencies and prescribe regulations requiring furnishers to establish reasonable policies and procedures for implementing the guidelines.TXT; PDF  12/13/07

• FFIEC Guidance on Pandemic Planning

  The FFIEC has issued guidance for use by financial institutions in identifying the continuity planning that should be in place to minimize the potential adverse effects of a pandemic. Guidance; FFIEC PR; FRB SR; OTS PR; NCUA PR  12/13/07

• IFDP Working Paper Published

  A working paper in the International Finance Discussion Paper (IFDP) series on the topic of "Precautionary Demand for Foreign Assets in Sudden Stop Economies: An Assessment of the New Mercantilism" has been published by the FRB. Abstract; Full Paper  12/13/07

• Household Ratios Released

  The Household Debt Service (DSR) and Financial Obligations (FOR) ratios for the third quarter 2007 have been released by the FRB. Ratios  12/13/07

• Rates Lowered

  The Federal Open Market Committee (FOMC) has lowered its target for the federal funds rate 25 basis points to 4-1/4 percent. In a related action, the Board of Governors unanimously approved a 25-basis-point decrease in the discount rate to 4-3/4 percent. Rates  12/12/07

• Prohibition Orders Issued

  NCUA has issued orders prohibiting six individuals from participating in the affairs of any federally insured financial institution. Violation of a prohibition order is a felony offense punishable by imprisonment and a fine of up to $1 million. Orders  12/12/07

• Payment Processor Charged With Taking Millions from Consumers' Bank Accounts

  The FTC and seven state attorneys general have charged a payment processor with violating federal and state laws by debiting, or attempting to debit from consumers' bank accounts on behalf of numerous fraudulent telemarketers and Internet-based merchants. Summary; Complaint  12/12/07

• Operating Circular 9 Amended

  FRB Financial Services has announced that Operating Circular 9 has been amended effective November 3, 2007 to eliminate the reference to non-value messages. Amendment Summary; Circular  12/12/07

• First Quarter CRA Exam Schedule Released

  The OTS has released the schedule of sixty-six savings associations that will be examined during the first quarter of 2008 for compliance with the provisions of the Community Reinvestment Act (CRA). Schedule  12/11/07

• New Electronic Interpretations and Actions Announced

  The OCC has announced the November 2007 New Electronic Interpretations and Actions Report. Report  12/11/07

• 2008 Assessments and Fees Bulletin Issued

  OTS has issued a Thrift Bulletin announcing the Assessments and Fees that will be charged by OTS in 2008. Bulletin  12/11/07

• Third Quarter FDIC State Profiles Online

  The FDIC has posted online the State Profiles for the third quarter 2007. Profiles  12/11/07

• Non-Electronic Payments Popular

  The FRB has released the results of a study that shows more than two-thirds of noncash payments are now electronic. Study  12/11/07

• Regulators Publish Basel II Final Rule

  The final rule implementing the Basel II Capital Accord has been published jointly in the Federal Register by the OCC, the FRB, the FDIC, and the OTS. The final rule, which is effective April 1, 2008, requires some banks, and permits other banks, to use an internal ratings-based approach to calculate regulatory capital requirements for credit risk and an advanced measurement approach to calculate regulatory capital requirements for operational risk. Final Rule; FDIC FIL; OCC Bulletin  12/10/07

• Economic Update Issued

  Treasury has issued its economic update as of December 7, 2007. Update  12/10/07

• Consumer Credit Report Released

  The G. 19 Consumer Credit Report for October 2007 has been released by Treasury. G. 19  12/10/07

• SDGT and IRAQ2 Designations Added To OFAC List

  Treasury has added the names of seven individuals to the SDN List, six with the IRAQ2 designation and one as a SDGT. Information regarding the new additions has been posted on the BOL Alerts & Counterfeits page.  12/07/07

• FEMA Updates Flood Guidance Booklet

  The FDIC has issued a FIL regarding the release by the Federal Emergency Management Agency (FEMA) of an updated electronic edition of its booklet, Mandatory Purchase of Flood Insurance Guidelines. FIL; Booklet  12/07/07

• Dugan and Bair Testify on Accelerating Loan Modifications

  OCC Comptroller Dugan and FDIC Chairman Bair have testified before the House Committee on Financial Services during its hearing on "Accelerating Loan Modifications, Improving Foreclosure Prevention and Enhancing Enforcement." Dugan Oral Statement; Dugan Written Testimony; Bair Statement  12/07/07

• Regulators Comment On Loan Modification Plan

  FDIC Chairman Bair, Comptroller Dugan and OTS Director Reich have commented on the Loan Modification Plan for subprime mortgages. Bair Comments; Dugan Comments; Reich Comments  12/07/07

• Assets Report Released

  The FRB has released the October 2007 U.S. Reserve Assets; and Foreign Official Assets Held at Federal Reserve Banks Report. Assets Report  12/07/07

• Third Quarter Flow of Funds Report Published

  The Z. 1 Flow of Funds Report for the Third Quarter 2007 has been published by the FRB. Z. 1  12/07/07

• FEDS Working Paper Published

  The FRB has published a working paper in the Finance and Economics Discussion Series (FEDS) on the topic of Risk and Concentration in Payment and Securities Settlement Systems. Abstract; Full Paper  12/06/07

• AL Qaida Leader Added To OFAC List

  Treasury has designated the leader of Al Qaida in the Lands of the Islamic Maghreb (AQIM) as a Specially Designated Global Terrorist (SDGT) and added his name and AKAs to the SDN List. Information regarding the designation has been posted on the BOL OFAC page.  12/05/07

• Regulators Release CRA Ratings

  The FDIC has released ratings received by state nonmember banks and OTS has released the ratings received by savings associations recently evaluated for compliance with the CRA. FDIC Ratings; OTS Ratings  12/05/07

• IT Officer's Questionnaire Revised

  The FDIC has issued a FIL regarding the update of its risk-focused Information Technology (IT) examination procedures for FDIC-supervised financial institutions. As part of the revision, the IT Officer's Questionnaire was enhanced to provide greater coverage of vendor management and outsourcing topics, credit card and ACH payment system risks, and an institution's overall information security program. FIL; Questionnaire  12/05/07

• Multi-Language Money Smart Training Videos Available

  The FDIC Train-the-Trainer videos are now available in English and Spanish. The videos are designed to provide an overview of the curriculum components, demonstrate the usefulness of the instructor guide and how to use it effectively. The videos can be ordered online. Training Videos; Online Order Form  12/05/07

• FinCEN e-Mail Service Usage Increases

  FinCEN has announced that after one year in existence more than 18,000 people have subscribed to FinCEN Updates,its free e-mail subscription management service. The public and the media use FinCEN Updates to stay abreast of news, rulemakings, advisories, and other developments; obtain feedback on regulations; and see examples of how BSA information is used by FinCEN analysts, regulators and law enforcement agencies. FinCEN Updates  12/05/07

• Reserve Report Update

  Treasury has updated the U. S. International Reserve Report with data current as of November 30, 2007. Reserve Report  12/05/07

• CRA Exam Schedule Released

  The FDIC released the list of institutions that it has scheduled for a Community Reinvestment Act (CRA) examination during the first quarter of 2008. Schedule  12/04/07

• Protecting Data Online Tutorial

  The FTC has a new online tutorial to alert businesses and other organizations to practical and low- or no-cost ways to keep data secure. Tutorial  12/04/07

• Non-Bank ATM Operators Guidance Issued

  FINCEN has issued interpretive guidance to clarify whether a non-bank owner and operator of an automated teller machine (ATM) would be a money services business (MSB) as that term is defined under the Bank Secrecy Act and its implementing regulations. Guidance  12/04/07

• 2008 OCC Fee Schedule

  The OCC has issued a Bulletin regarding its fee schedule for 2008. Bulletin  12/04/07

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of November 23, 2007. Reserve Position  12/04/07

• November Foreign Exchange Rates

  The FRB has released the G.5 Foreign Exchange Rates report for November 2007. G.5  12/04/07

• First Quarter 2008 CRA Examination Schedule

  The OCC has announced the list of national banks that will be examined in the first quarter 2008 for compliance with the CRA. Schedule  12/03/07

• December FedFlash Published

  FRB Financial Services has published the December 1, 2007 issue of FedFlash which features articles on the following topics:

  • new FRBservices.org features;
  • two new AMI customer profiles;
  • the RDFI File Alert Service;
  • the establishment of a SNA-based CI asset selection solution sunset;
  • cross-shipping ACH Adjustment Request Forms; and
  • updated FedLine documentation.

  FedFlash  12/03/07

• FEDS and IFDP Working Papers Published

  The FRB has published three working papers, one in the Finance and Economic Discussion Series (FEDS) on the topic of "The Evolution of Household Income Volatility" and two in the International Finance Discussion Papers (IFDP) series on the topics of "Quantitative Implications of Indexed Bonds in Small Open Economies" and "Monthly Estimates of U.S. Cross-Border Securities Positions." Evolution Abstract; Evolution Full Paper; Quantitative Abstract; Quantitative Full Pape; Monthly Abstract; Monthly Full Paper   12/03/07

• Finance Companies Report Released

  The September 2007 G.20 Finance Companies report has been released by the FRB. G.20  12/03/07

Treasury has announced that it has targeted a key Hizballah procurement network by designating brothers Kamel and Issam Mohamad Amhaz, their consumer electronics business Stars Group Holding based in Beirut, Lebanon, its subsidiaries, and certain managers and individuals who support their illicit activities. These actions were taken pursuant to E.O. 13224, which targets terrorists and those providing support to terrorists, or acts of terrorism. As a result of the action, all assets of those designated that are based in the United States or in control by U.S. persons are frozen, and U.S. persons are generally prohibited from engaging in transactions with them. Information regarding the designations has been posted in a BOL OFAC Update.

Treasury has announced that it has targeted a key Hizballah procurement network by designating brothers Kamel and Issam Mohamad Amhaz, their consumer electronics business Stars Group Holding based in Beirut, Lebanon, its subsidiaries, and certain managers and individuals who support their illicit activities. These actions were taken pursuant to E.O. 13224, which targets terrorists and those providing support to terrorists, or acts of terrorism. As a result of the action, all assets of those designated that are based in the United States or in control by U.S. persons are frozen, and U.S. persons are generally prohibited from engaging in transactions with them. Information regarding the designations has been posted in a BOL OFAC Update.

• Counterfeit Cashier's Checks Special Alert

  The FDIC has issued a Special Alert regarding counterfeit cashier's checks bearing the name of Douglas County Bank, Lawrence, Kansas. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeit page.  11/30/07

• Regs Proposed Regarding Accuracy of Information Provided Reporting Agencies

  The federal financial regulatory agencies and the FTC have approved proposed regulations and guidelines to help ensure the accuracy and integrity of information provided to consumer reporting agencies and to allow consumers to directly dispute inaccuracies with financial institutions and other entities that furnish information to consumer reporting agencies. Proposed Regs; FRB PR; OCC NR; OTS PR; FDIC PR; FTC NR; NCUA PR  11/30/07

• Counterfeit Cashier's Checks Special Alert

  The FDIC has issued a Special Alert regarding counterfeit cashier's checks bearing the name of First Peoples Bank of Tennessee, Jefferson City, Tennessee. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  11/29/07

• Beige Book Update

  The FRB has updated the Beige Book with data current as of November 16, 2007. Summary; Full Report  11/29/07

• Insured Banks Net Income Falls

  The FDIC has announced that the net income at insured commercial banks and savings institutions declined $9.4 billion (24.7 percent) from the third quarter of 2006. A steep increase in provisions for loan losses, as well as a decline in noninterest income, were chiefly responsible for the year-over-year earnings decline. Financial results for the third quarter are contained in the Quarterly Banking Profile, which was released November 28, 2007. Income; Quarterly Banking Profile  11/29/07

• IFDP Working Paper Published

  A working paper in the International Finance Discussion Papers (IFDP) series has been published by the FRB on the topic of "External Governance and Debt Agency Costs of Family Firms." Abstract; Full Paper  11/29/07

• Large Commercial Banks Report Issued

  The FRB has issued the report of insured U.S.–chartered commercial banks that have consolidated assets of $300 million or more, ranked by consolidated assets as of September 30, 2007. Report  11/29/07

• Interest Rate Risk Measures Preliminary Report Released

  OTS has released the preliminary report of Interest Rate Risk Measures for the third quarter 2007. Report  11/29/07

• Drug Kingpin's Associates Added To OFAC List

  Treasury has announced the designation of 9 individuals and 13 entities associated with Pakistani drug kingpin Shahbaz Khan as SDNTKs and the addition of their names to the SDN List. Information concerning additions has been posted on the BOL OFAC page.  11/28/07

• Large Position Reports

  The Treasury is calling for Large Position Reports from those entities whose reportable position in the 3-7/8% Treasury Notes of October 2012 equals or exceeds $2 billion as of close of business Monday, November 26, 2007. Entities with reportable positions in this note equal to or exceeding this $2 billion threshold must report these positions to the Federal Reserve Bank of New York. Reports  11/28/07

• OCC Ombudsman Report Released

  The 2005-2006 Report of the Ombudsman has been released by the OCC. The report contains an in-depth discussion of the Customer Assistance Group, the National Bank Appeals Process, as well as the results of the Examination Questionnaire. Report  11/28/07

• FDIC Publishes Final Rule in FR for Rules of Practice and Procedure

  The Federal Deposit Insurance Corporation (FDIC) is amending its procedural regulations
  implementing sections 8(g) and 8(b) of the Federal Deposit Insurance Act. The amendments are generally technical in nature, and are necessary to ensure that the rules are consistent with statutory changes effected by sections 708 and 702 of the Financial Services Regulatory
  Relief Act of 2006.TXT; PDF  11/28/07

• Over 8 Million ID Theft Victims

  The results of a study conducted by the FTC indicate that 3.7 percent of all American adults (8.3 million) were victims of identity theft in 2005. ID Theft Study  11/28/07

• Discount Rate Meetings Minutes Released

  The FRB has released the minutes of its discount rate meetings from October 1 through October 31, 2007. Minutes  11/28/07

• BSA/AML InfoBase Updated

  The FFIEC has updated the Bank Secrecy Act/Anti-Money Laundering (BSA/AML) InfoBase which provide financial institutions and the financial institution regulatory agencies' field examiners with an electronic source for training and distributing needed examination information. InfoBase  11/27/07

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of November 23, 2007. Reserve Position  11/27/07

• Third Quarter TRF Data Released

  OTS has released the Aggregated Thrift Financial Report (TFR) Data for the Third Quarter 2007. TFR Data  11/27/07

• Examination Manual Updated

  The Commercial Bank Examination Manual has been updated by the FRB. Entire Manual; Sections  11/26/07

• EFS Demo Release Information

  OTS has announced that the EFS Demo is now available for third parties to better understand current OTS regulatory reporting. The demo includes functionalities related to regulatory reporting including import/export features designed to integrate EFS with external data sources, does not include transmission capabilities, and should not be used by the industry for any production regulatory reporting. Demo  11/26/07

• Consumer Tip - Read Fine Print

  The OCC has issued a tip to consumers that they need to read the fine print regarding the terms and conditions concerning the utilization of purchased or received holiday gift cards. Fine Print   11/26/07

• FEDS Working Paper Published

  The FRB has published a working paper in the Financial and Economic Discussion Series (FEDS) on the topic of "Hyperbolic Discounting and Uniform Savings Floors." Abstract; Full Paper  11/26/07

• Charge-Off Reports Released

  The Charge-Off and Delinquency Rates on Loans at Commercial Banks Reports for the Third Quarter 2007 have been released by the FRB. Charge-Off; Delinquency  11/26/07

• November MMM Published

  OTS has published the November 2007 issue of the Monthly Market Monitor (MMM). MMM  11/26/07

• OFAC Clarifies Bank Restrictions

  OFAC has issued a notice clarifying recent changes to requirements involving certain banks. If an entity held a valid OFAC license authorizing the exportation of agricultural commodities, medicine or medical devices to Iran or Sudan, as of October 25, 2007, it is no longer permitted to engage in any transactions, directly or indirectly with certain banks. No change was made to the OFAC List. Banks  11/21/07

• 314(a) Update

  FinCEN has updated the 314(a) Fact Sheet and the Law Enforcement Information Sharing with the Financial Industry Report with data current as of November 20, 2007. 314(a); Sharing Report  11/21/07

• NCUA Publishes Final Rule in FR for the Purchase, Sale, and Pledge of Eligible
  Obligations

  NCUA is amending its rule governing the purchase, sale, and pledge of eligible obligations by adding a conflict of interest provision substantially similar to the conflict of interest provision in NCUA's general lending rule.TXT; PDF  11/21/07

• FOMC Minutes Released

  The minutes of the October 30-31, 2007 meeting of the Federal Open Market Committee (FOMC) have been released. Minutes  11/21/07

• FEDS Working Paper Published

  A working Paper in the Finance and Economic Discussion Series (FEDS) on the topic of "Gauging the Uncertainty of the Economic Outlook from Historical Forecasting Errors" has been published by the FRB. Abstract; Full Paper  11/21/07

• Third Quarter Thrift Industry Data Released

  OTS has released the thrift industry earnings and reserves report for the third quarter 2007. Summary; Charts; Highlights; Selected Indicators  11/21/07

• CU Third Quarter Data Published

  NCUA has published the credit union (CU) Call Report data for the third quarter 2007. Call Report Summary; Data Files  11/21/07

• Counterfeit Official Checks Alert

  The OCC has issued an Alert regarding counterfeit official checks issued in the name of Integra Bank, N.A., of Evansville, Indiana. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.

• New Customer Complaint Program Announced

  The FRB has announced the creation of Federal Reserve Consumer Help, a new centralized resource that consolidates and streamlines the Federal Reserve's consumer complaint and inquiry program. Customer service professionals are available at a toll-free number and online to answer consumer questions and assist with a wide range of issues relating to financial products and services and consumer protection laws. Consumer Help  11/20/07

• Enforcement Actions Released

  The OCC has released the enforcement actions recently taken against national banks and individuals currently and formerly affiliated with national banks. Enforcement Actions  11/20/07

• Holiday Cash Information Online

  FRB Financial Services has posted online the holiday cash announcements for each to the Federal Reserve Districts. Holiday Cash  11/20/07

• Michigan CU Liquidated

  NCUA has liquidated the Huron River Area Credit Union (Huron River) of Ann Arbor, Michigan. Its members' accounts were purchased and assumed by Detroit Edison Credit Union of Detroit, Michigan. Liquidated  11/20/07

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of November 16, 2007. Reserve Position  11/20/07

• Counterfeit Cashier's Checks Alerts

  The OCC has issued two Alerts regarding counterfeit cashier's checks issued in the name of The First National Bank of New Holland, New Holland, Ohio; and Extraco Banks, N.A., Temple, Texas. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  11/19/07

• CRA Ratings Released

  The OCC has released the CRA ratings received by 46 national banks recently evaluated for compliance with the CRA. Ratings  11/19/07

• December HOEPA Rates Established

  The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for certain applications received in December, 2007, will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find applicable release which lists the Treasury Security with the same maturity term as your loan. To make the calculation, use the yield in effect on the 15th of the month that precedes the month you received the application. Daily H. 15  11/19/07

• BHC Risk-Based Capital Guidelines Reg T Exemption Granted

  The FRB has released a legal interpretation regarding the granting of an exemption from the Board's risk-based capital guidelines for bank holding companies to permit a BHC to assign a 10% risk weight to Regulation T margin loans. Exemption   11/19/07

• Consumer Mortgage Shopping Tips

  The FDIC has published a new issue of Consumer News that features an article containing tips for consumers on shopping for and negotiating a good mortgage. Other topics include answers to common questions about deposit insurance and money-wise suggestions for the tax season. Consumer News   11/19/07

• TIC Data Released

  The Treasury International Capital (TIC) data for September 2007 has been released and posted online. TIC  11/19/07

• Production and Capacity Utilization Report Issued

  The FRB has issued the G. 17 Industrial Production and Capacity Utilization Report for October 2007. G. 17  11/19/07

• Eight Counterfeit Checks Special Alerts Issued

  The FDIC has issued eight Special Alerts regarding counterfeit official and cashier's checks bearing the name of the following financial institutions:

  • Bank of North Florida, Jacksonville, Florida (Counterfeit Cashier's Checks);
  • Bank of Kirksville, Kirksville, Missouri (Counterfeit Cashier's Checks);
  • Mineola Community Bank, S.S.B., Mineola, Texas (Counterfeit Cashier's Checks);
  • Ackley State Bank, Ackley, Iowa (Counterfeit Cashier's Checks);
  • Bank of the West, San Francisco, California (Counterfeit Cashier's Checks);
  • Folsom Lake Bank, Folsom, California (Counterfeit Cashier's Checks);
  • AnchorBank, fsb, Madison, Wisconsin (Counterfeit Official Checks); and
  • Center Bank, Los Angeles, California (Counterfeit Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  11/16/07

• Terrorist Supporting Charity Added to OFAC List

  OFAC has designated as a SDGT and added to the SDN list a charitable organization that acts as a front to facilitate fundraising and procurement for previously designated terrorist organization. In addition, twenty-seven individuals and entities designated as SDGTs were removed from the SDN list. Information regarding the addition and the deletions has been posted on the BOL OFAC page.  11/16/07

• Bank Officers Quarterly Reporting Deadline Extended

  The FDIC has issued a FIL regarding the amendment of the regulation governing the reporting of personal securities transactions by bank officers and certain employees. Effective November 26, 2007, the deadline for providing quarterly reports of personal securities transactions is extended from ten business days to thirty calendar days after the end of the calendar quarter. FIL; Amendment  11/16/07

• Cancellation of Incorporation Special Alert

  The FDIC has issued a Special Alert as the result of being advised by Province of Ontario, Canada that Certificates of Incorporation have been cancelled for certain financial entities .Financial institutions that are approached by persons purporting to represent any of the named entities should treat any proposed transaction with suspicion. Special Alert  11/16/07

• November Issue FedFlash Published

  FRB Financial Services has published the November 2007 issue of FedFlash which features articles regarding the 2008 Federal Reserve Financial Services fees, the phase out of the pay-by-check option, EZ Direct savings bond procedures, the FedACH holiday processing schedule, and the enhancement of the Canada Post Money Order. FedFlash  11/16/07

• Cost Of Funds Reports Released

  OTS has released the September 2007 Current and Historical National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Reports. Current; Historical  11/16/07

• Red Flag Bulletin Issued

  The OCC has issued a Bulletin regarding the previously announced final rule titled "Identity Theft Red Flags and Address Discrepancies" which implements sections 114 and 315 of the Fair and Accurate Credit Transactions Act of 2003. The final rule was featured in the November 7, 2007 BOL Top Stories and the subject of a BOL Webinar "Conducting the Red Flag Assessment." If you did not attend, a CD ROM of the presentation is available here. Bulletin  11/15/07

• New FedReceipt Routing Numbers Announced

  The Federal Reserve Banks have announced the addition of new routing numbers to the Reserve Banks' FedReceipt forward collection product effective November 26, 2007. New Routing Numbers  11/15/07

• Bernanke Discusses Enhancement of Economic Projections

  In a presentation at the Cato Institute 25th Annual Monetary Conference, Chairman Bernanke commented on the announcement by the Federal Open Market Committee (FOMC) of the increase in the frequency and the expansion of the content of the public economic projections that are made by Federal Reserve Board members and Reserve Bank presidents. Speech; Announcement   11/15/07

• Casino FAQs Published

  FinCEN has published a detailed set of Frequently Asked Questions (FAQs) developed to assist the casino and gaming industry in complying with its responsibilities under the Bank Secrecy Act (BSA). FAQs  11/15/07

• BSA Advisory Group Applications Sought

  FinCEN is seeking applications from financial institutions and trade groups interested in having representatives serve on the BSA Advisory Group. Nominations  11/15/07

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of November 9, 2007. Reserve Report  11/15/07

• Counterfeit Cashier's Checks Alert

  The FDIC has issued a Special Alert regarding counterfeit cashier's checks bearing the name of Baltimore County Savings Bank, FSB, Baltimore, Maryland. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  11/15/07

• Bank Pays $11,000 OFAC CMP

  OFAC has released the civil money penalties assessed for violations of various sanctions programs or regulations. Wachovia Bank has paid $11,000 to settle an alleged violation of the Global Terrorism Sanctions Program, which it voluntarily disclosed to OFAC. CMP  11/15/07

• Belarus Petrochemical Firm Added to OFAC List

  The Belarusian State Concern for Oil and Chemistry, a.k.a. Belneftekhim, along with its representative offices in Germany, Latvia, the Ukraine, Russia, and China, and its wholly-owned U.S. subsidiary Belneftekhim USA, Inc., have been added to the OFAC SDN List. Information regarding the entities has been posted on the BOL OFAC page.  11/15/07

• OTS Proposes Rulemaking for Conversion to Call Reports

  The OTS proposes rulemaking that would consider requiring savings associations to file quarterly Consolidated Reports of Condition and Income (Call Report) instead of the
  Thrift Financial Report (TFR) currently filed. A CEO Letter has been issued by regarding the replacement of the Thrift Financial Report (TFR) with the Consolidated Reports of Condition and Income (Call Report), the type filed by other financial institutions. OTS is seeking comments on the matter. CEO Letter; TXT; PDF  11/15/07

• FDIC Signs - Today's The Day

  We have been reminding you for almost a year of the FDIC signage change. The new requirements went into effect today, Nov. 13, 2007. Make sure you have the new signage posted in all the required locations and that your Marketing Dept. is using the correct logo in advertisements. The new requirements are listed here in TXT, here in PDF, and the logos are available here on BOL. You may also order your new signs free from the FDIC here.   11/13/07

• UDAP Consumer Affairs Letter Issued

  The FRB has issued a Consumer Affairs Letter regarding consumer compliance examination procedures for concerning potential findings of unfair or deceptive acts or practices (UDAP). Letter   11/13/07

• FEDS Working Paper Published

  A working paper in the Finance and Economic Discussion Series (FEDS) on the topic of "Imperfect Monitoring and the Discounting of Inside Money" has been published by the FRB. Abstract; Full Paper   11/13/07

• Marketing To Affiliates FIL and Bulletin Issued

  The FDIC has issued a FIL and the OCC has issued a Bulletin regarding the previously announced interagency final rule concerning marketing to affiliates. Information regarding the final rule was posted in the November 7, 2007 BOL Top Stories. FIL; Bulletin   11/09/07

• Joint Agencies Publish Final Rule in FR to Address Identity Theft Red Flags and Discrepancies under the Fair and Accurate Credit Transactions Act

  The OCC, Board, FDIC, OTS, NCUA and FTC (the Agencies) are jointly issuing final rules and guidelines
  implementing section 114 of the Fair and Accurate Credit Transactions Act of 2003 (FACT Act) and final rules
  implementing section 315 of the FACT Act. The rules implementing section 114 require each financial institution or creditor to develop and implement a written Identity Theft Prevention Program (Program) to detect, prevent, and mitigate identity theft in connection with the opening of certain accounts or certain existing accounts. TXT; PDF  11/09/07

• FRB Publishes 5 Final Rules in FR to Amend the following Regs:

  • Consumer Leasing - Reg M

    Regulation M implements the Consumer Leasing Act, to withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001. TXT; PDF
    
    

  • Electronic Fund Transfer - Reg E

    Regulation E implements the Electronic Fund Transfer Act, and the official staff commentary to the regulation, to withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001.TXT; PDF
    
    

  • Equal Credit Opportunity - Reg B

    Regulation B implements the Equal Credit Opportunity Act, and the official staff commentary to the
    regulation, to withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001. TXT; PDF
    
    

  • Truth in Lending - Reg Z

    Regulation Z implements the Truth in Lending Act, and the official staff commentary to the regulation, to
    withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001. TXT; PDF11/09/07

  • Truth in Savings - Reg DD

    Regulation DD implements the Truth in Savings Act, and the official staff commentary to the regulation, to
    withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001.TXT; PDF11/09/07

  Relative to all of these final rules, their 2001 interim final rules addressed the timing and delivery of electronic disclosures, consistent with the requirements of the Electronic Signatures in Global and National Commerce Act (E-Sign Act).  11/09/07

• Quarterly Review of Interest Rate Risk Published

  OTS has published the Second Quarter 2007 issue of the Quarterly Review of Interest Rate Risk. The issue features "A Primer on Asset-Backed Commercial Paper." Quarterly Review  11/09/07

• FRB Appointments Announced

  The FRB has announced the appointment of the chairmen and deputy chairmen of the twelve Federal Reserve Banks for 2008. Appointments  11/09/07

• Economic Outlook By Bernanke

  In testimony before the Joint Economic Committee of Congress, Chairman Bernanke presented an update on the economic situation and outlook. Testimony  11/09/07

• Counterfeit Checks Alert

  The OCC has issued an Alert regarding counterfeit official checks issued in the name of South Carolina Bank and Trust, N.A., Orangeburg, South Carolina. Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   11/08/07

• FHC List Updated

  The list of bank holding companies that have elected to be treated by the FRB as financial holding companies (FHC) s has been updated with data current as of November 2, 2007. FHC List   11/08/07

• Consumer Credit Report Released

  The FRB has released the September 2007 G.19 Consumer Credit Report. G.19  11/08/07

• Thrift Industry Charge-Off Rates Released

  OTS has released the Second Quarter 2007 Thrift Industry Charge-Off Rates Report. Charge-Off Rates   11/08/07

• FR Bulletin Supplement Published

  The October 2007 supplement to the Federal Reserve Bulletin has been published. Supplement  11/08/07

• NCUA Announces Bargaining Agreement

  The National Credit Union Administration (NCUA) and the National Treasury Employees Union (NTEU) have announced the first collective bargaining agreement for the NCUA. The 3-year contract provides the framework of working conditions for the NCUA bargaining unit, which includes field examiners and office employees. Bargaining Agreement  11/08/07

• New FRB Fee Schedule Approved

  The FRB has announced the approval of fee schedules for Federal Reserve Bank payment services for depository institutions (priced services) which will be effective January 2, 2008. Fee Schedules  11/07/07

• Consumer Compliance Handbook Update

  The FRB has issued the November 2007 update to the Consumer Compliance Handbook. Handbook  11/07/07

• VITA Potential CRA and Business Opportunities

  The FDIC has issued a FIL which indicates that financial institutions involved with Volunteer Income Tax Assistance (VITA) programs may be eligible for favorable consideration under Community Reinvestment Act (CRA) rules, as well as develop opportunities to facilitate education, open accounts, and provide other financial-related services to underserved individuals. FIL  11/07/07

• 314a Fact Sheet Updated

  FinCEN has updated the 314(a) Fact Sheet and the Law Enforcement Information Sharing with the Financial Industry Report with data current as of November 6, 2007. Fact Sheet; Sharing Report  11/07/07

• Joint Agencies Publish Final Rule in FR for Fair Credit Reporting Affiliate Marketing Regulation

  The OCC, Board, FDIC, OTS, and NCUA (Agencies) are publishing final rules to implement the affiliate
  marketing provisions in section 214 of the Fair and Accurate Credit Transactions Act of 2003, which
  amends the Fair Credit Reporting Act. The final rules generally prohibit a person from using information received from an affiliate to make a solicitation for marketing purposes to a consumer, unless the consumer is given notice and a reasonable opportunity and a reasonable and simple method to opt out of the making of such solicitations. TXT; PDF  11/07/07

• Bernanke On Microfinance

  In a presentation at the ACCIÓN Texas Summit on Microfinance in the United States, in San Antonio, Texas, FRB Chairman Bernanke discussed the development of the microfinance movement in the United States how it fits into the landscape of small business financing in this country. Speech  11/07/07

• Reserve Assets Reports Released

  The 3.12 U.S. Reserve Assets and 3.13 Foreign Official Assets Held at Federal Reserve Banks Reports for October 2007 have been released by the FRB. Reports  11/07/07

• Syrian Officials Added to OFAC List

  Treasury has designated four individuals affiliated with the Syrian regime's efforts to reassert Syrian control over the Lebanese political system and their names have been added to the SDN List with the Lebanon designation. Information concerning the new additions has been posted on the BOL OFAC page.  11/06/07

• CRA Ratings Released

  The FDIC has issued its list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA) and the ratings they received. Ratings  11/06/07

• Bank Lending Practices Survey Results

  The FRB has released the results of the October 2007 Senior Loan Officer Opinion Survey on Banking Lending practices. Summary; Full Report  11/05/07

• NCUA Takes Control and Liquidates CUs

  NCUA has announced that the regulator in separate actions has assumed control of the operations of Cal State 9 Credit Union, Concord, California, and also liquidated the insolvent Green Tree Federal Credit Union, Feasterville, Pennsylvania. Cal State; Green Tree  11/06/07

• International Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of November 2, 2007. Reserve Position  11/06/07

• Flood CMP Issued

  The FRB has announced the issuance of consent Order of Assessment of a Civil Money Penalty (CMP) in the amount of $9,240 against Farmers and Merchants Bank of Long Beach, Long Beach, California, who without admitting to any allegations, consented to the issuance of the Order in connection with its alleged violations of the Board's Regulations implementing the National Flood Insurance Act. Order  11/05/07

• FDIC Annual Audit Proposed Changes and RFC

  The FDIC has issued a FIL which contains a request for comments (RFC) on proposed amendments to its regulations regarding annual independent audit and reporting requirements for insured institutions with $500 million or more in total assets. FIL;
  Proposed Amendments  11/05/07

• Small Dollar Loan Pilot Program Announced

  Between 20 and 40 financial institutions of varied sizes and diverse locations and settings will be selected by the FDIC to participate in a two-year pilot project to review affordable and responsible small-dollar loan programs in financial institutions. The purpose of the study is to identify effective and replicable business practices to help banks incorporate affordable small-dollar loans into their other mainstream banking services. Online applications must be submitted by November 20, 2007. Program; Application  11/05/07

• FRB Approves Basel II

  The FRB has approved final rules to implement new Basel II risk-based capital requirements in the United States for large, internationally active banking organizations which more closely aligns regulatory capital requirements with actual risks and should further strengthen banking organizations' risk-management practices. A statement regarding Basel II was also issued by Chairman Bernanke. FRB PR; Bernanke Statement  11/05/07

• Fifteen Columbian Drug Leaders Added To OFAC List

  OFAC has announced the designation of fifteen leaders of the Colombian narco-terrorist group, the Revolutionary Armed Forces of Colombia or FARC, who are involved in large-scale drug trafficking activities. Under the provisions of the Kingpin Act, their names have been added to the SDN list with the Specially Designated Narcotics Traffickers (SDNTK) designation. The U.S. Department of State has also offered awards of up to $2.5 million for information leading to their arrests and/or capture. Information regarding the new additions has been posted on the BOL OFAC page.  11/02/07

• Regs Amended To Clarify Consumer Disclosure Requirements

  The FRB has announced the adoption of amendments to Regulations B, E, M, Z, and DD to clarify the requirements for providing consumer disclosures in electronic form. The mandatory compliance date is October 1, 2008. Reg B; Reg E; Reg M; Reg Z; Reg DD  11/02/07

• CRA Ratings Announced

  OTS has announced the ratings received by savings associations that were recently evaluated for compliance with the provisions of the CRA. Ratings  11/02/07

• FedFlash November Issue Online

  The November 1, 2007 issue of FedFlash has been posted online by FRB Financial Services. The issue features articles on the distribution of the James Madison $1 coin, a new Check Adjustment webinar, the change to same-day Federal tax payment wire transfers, a new submission process for the Appendix 5 form, and cross-shipping fees. FedFlash  11/02/07

• Regulators Approve Basel II Capital Rule

  The OCC and OTS have approved a final rule implementing the advanced approaches of the Basel II Capital Accord. The rule establishes regulatory and supervisory expectations for credit risk, through the Internal Ratings Based Approach (IRB), and operational risk, through the Advanced Measurement Approach (AMA), and articulates enhanced standards for the supervisory review of capital adequacy and public disclosures for the largest U.S. banks. Basel II Final Rule; OCC NR; OTS NR  11/02/07

• New Electronic Interpretations and Actions Announced

  The October 2007 New Electronic Interpretations and Actions Report has been announced and posted online by the OCC. New Electronic  11/02/07

• FDIC Proposed Rulemaking for Annual Independent Audits and Reporting Requirements

  Section 36 of the Federal Deposit Insurance Act (FDI Act) and the FDIC's implementing regulations (part
  363) set forth annual independent audit and reporting requirements for insured depository institutions with $500 million or more in total assets. TXT; PDF  11/02/07

• October Foreign Exchange Rates Published

  The G.5 Foreign Exchange Rates Report for October 2007 has been published by the FRB. G.5   11/02/07

• Fed Funds Rate Lowered

  The Federal Open Market Committee (FOMC) has lowered its target for the federal funds rate 25 basis points to 4-1/2 percent and approved a 25-basis-point decrease in the discount rate to 5 percent. FOMC  11/01/07

• ID Theft Red Flag Rules Finalized

  The federal financial institution regulatory agencies and the FTC have sent to the Federal Register for publication final rules on identity theft “red flags” and address discrepancies. The final rules require each financial institution and creditor that holds any consumer account, or other account for which there is a reasonably foreseeable risk of identity theft, to develop and implement an Identity Theft Prevention Program for combating identity theft in connection with new and existing accounts.
  FRB PR; FDIC PR; OCC NR; OTS PR; FTC PR  11/01/07

• Sudanese Sanctions Regulations Revised

  OFAC has revised previously issued Sudanese sanction regulations to exempt specified areas of Sudan and four official camps for internally displaced persons from the sanctions. The entries on the OFAC list were not changed. OFAC  11/01/07

• IFDP Working Paper Published

  The FRB has published a working paper in the International Finance Discussion series (IFDP) on the topic of "Frequency of Observation and the Estimation of Integrated Volatility in Deep and Liquid Financial Markets." Abstract; Full Paper  11/01/07