Top Story Security Related

The Department of the Treasury has announced that it has taken action to increase pressure on the Syrian regime and those providing support that could aid its military efforts. The Department designated United Arab Emirates-based Pangates International Corporation Ltd. (Pangates) pursuant to Executive Order (E.O.) 13582 for providing material support for, and goods and services to, the Government of Syria, including SYTROL, a Syrian state oil company sanctioned by the United States. The Department also designated Syria-based front companies Expert Partners and Megatrade pursuant to E.O. 13382 for acting for or on behalf of the U.S.-sanctioned entity Scientific Studies and Research Center (SSRC), Syria's government agency responsible for developing and producing non-conventional weapons and ballistic missiles. Both SYTROL and SSRC have been sanctioned by the European Union. Information regarding the designations has been posted in a BOL OFAC Update.

The Department of the Treasury has announced that it has taken action to increase pressure on the Syrian regime and those providing support that could aid its military efforts. The Department designated United Arab Emirates-based Pangates International Corporation Ltd. (Pangates) pursuant to Executive Order (E.O.) 13582 for providing material support for, and goods and services to, the Government of Syria, including SYTROL, a Syrian state oil company sanctioned by the United States. The Department also designated Syria-based front companies Expert Partners and Megatrade pursuant to E.O. 13382 for acting for or on behalf of the U.S.-sanctioned entity Scientific Studies and Research Center (SSRC), Syria's government agency responsible for developing and producing non-conventional weapons and ballistic missiles. Both SYTROL and SSRC have been sanctioned by the European Union. Information regarding the designations has been posted in a BOL OFAC Update.

• Federal Benefit Funds Garnishment Guidance Bulletin Issued

  The OCC has issued a Bulletin regarding the previously announced proposed Interagency Guidance and request for comments concerning the garnishment of exempt federal benefit funds. Information regarding the proposed Guidance was posted in the September 20, 2007 BOL Top Stories. Bulletin  10/31/07

• Payday Loan Study Bank Participants Sought

  The FDIC is accepting applications from bankers to participate in its Affordable and Responsible Consumer Credit pilot program, which will begin in January 2008. Between 20 and 40 participants will be selected from interested institutions based on information describing their small-dollar loan programs. Applications will be accepted through November 20, 2007. Applications  10/31/07

• NCUA Published Final Rule in FR for Federal Credit Union Bylaws

  NCUA is issuing a rule reincorporating the Federal Credit Union (FCU) Bylaws into NCUA regulations. This change clarifies NCUA’s ability to use a range of enforcement authorities, in appropriate cases, to enforce the FCU Bylaws. In addition, NCUA is adding a bylaw provision on director succession. TXT; PDF  10/31/07

• FEDS Working Papers Published

  Two working papers in the Finance and Economic Discussion Series (FEDS) have been published by the FRB on the topic of "Welfare-Maximizing Monetary Policy under Parameter Uncertainty" and "Financial Market Perceptions of Recession Risk." Welfare Abstract; Welfare Full Paper; Financial Abstract; Financial Full Paper  10/31/07

• James Madison $1 Coin Information

  Information regarding the distribution schedule for the James Madison $1 coin has been posted by FRB Financial Services. James Madison  10/31/07

• Online Access to FedCash Services Enhanced

  FRB Financial Services has announced that FedCash Services via FedLine Web have been enhanced to provide additional service capabilities and flexibility. FedCash  10/31/07

• Thrifts Encouraged to Assist Wildfire Victims

  OTS is urging thrifts in areas affected by Southern California wildfires to consider all reasonable steps to meet customers' financial needs. Wildfires  10/31/07

• Broker Activities Bulletin Issued

  The OCC has issued a Bulletin regarding previously announced final rules concerning securities brokerage activities of banks subject to SEC regulation that were jointly issued by the SEC and the FRB. Information regarding the final rules was posted in the October 3, 2007 BOL Top Stories. Bulletin  10/30/07

• Market Financing Estimates Announced

  Treasury has announced its current estimates of net marketable financing for the fourth quarter 2007 and the first quarter 2008. Estimates  10/30/07

• Reserve Position Update

  The U.S. International Reserve Position Report has been updated by Treasury with the addition of data current as of October 26, 2007. Reserve Position  10/30/07

• Credit Availability to Small Businesses Report Issued

  The FRB has issued its availability of credit to small businesses report to Congress. The report discusses recent patterns in the flows and terms of business credit, credit use by small firms, and the sources of credit provided to small businesses, with an emphasis on the lending activities of commercial banks. Report  10/30/07

• Finance Companies Report Released

  The G. 20 Finance Companies Report for August 2007 has been released by the FRB. G. 20.  10/30/07

• FDIC Sign Reminder

  It was almost a year ago that we told you of the FDIC signage change. You had one year to implement the new requirements which will go into effect Nov. 13, 2007. Make sure you have the new signage posted and that your Marketing Dept. has the correct logo to use in advertisements. The Federal Register defining the new requirements is 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.  10/29/07

• Fire Relief Guidance Issued

  The FDIC has issued a FIL containing a series of steps intended to provide regulatory relief to financial institutions and to facilitate recovery in areas of California damaged by recent fires. FIL  10/29/07

• October 2007 SAR Activity Review Published

  FinCEN has published the October 2007 issue of the SAR Activity Review Trends, Tips, and Issues which contains over 120 law enforcement case studies. SAR Activity Review  10/29/07

• 23A Exemption Request Granted

  The FRB has published a legal interpretation letter granting a request from Citigroup Inc., New York, New York, for an exemption from section 23A of the Federal Reserve Act and Regulation W for certain securities financing transactions between Citibank, N.A., and its European securities affiliate, Citigroup Global Markets Ltd., London, United Kingdom. Letter  10/29/07

• Change in Control Letter Issued

  The FRB has published a legal interpretation letter to Citigroup, describing the risk-based capital requirements under the Board's capital adequacy guidelines (12 CFR parts 208 and 225, Appendix A) for bank holding companies and state member banks that provide liquidity facilities to a structured finance vehicle, the Master Liquidity Enhancement Conduit. Letter  10/29/07

• Second Quarter Bank Trading Revenues Released

  The OCC has published the Quarterly Report on Bank Derivatives Actives for the second quarter 2007. Revenues of insured U.S. commercial banks for the quarter were $6.2 billion which was the second highest ever recorded. Quarterly Report  10/29/07

• Premier Issue Monthly Market Monitor Released

  OTS has released the first public issue of the Monthly Market Monitor (OTS-MMM), an ongoing publication that will provide timely information on the capital markets, the economy and mortgage loan performance. The first edition addresses current conditions in the financial markets, the economy and the housing industry, as well as the challenges ahead. OTS-MMM  10/29/07

• FEDS Working Papers Published

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

  • Reserve Requirement Systems in OECD Countries and
  • Implied Interest Rate Skew, Term Premiums, and the "Conundrum".

  Reserve Abstract; Reserve Full Paper; Implied Abstract; Implied Full Paper  10/29/07

• Affiliate Marketing Final Rules Issued

  The federal financial regulatory agencies have issued final rules that provide consumers with an opportunity to "opt out" before a financial institution uses information provided by an affiliated company to market its products and services to the consumer. The final rules are effective on January 1, 2008 with mandatory compliance with the rules no later than October 1, 2008. Final Rule; FRB PR; FDIC PR; OCC NR; OTS PR; NCUA  10/26/07

• Procedures For Cross-shipping Waivers Announced

  FRB Financial Services has announced that procedures are in place to grant cross-shipping waivers either at the zone-level or individually as needed to address the demand for cash in a particular zone due to weather events and natural disasters. Waiver Procedures  10/26/07

• Early Savings Bond Redemptions Authorized in Wildfire Areas

  Savings bond agents serving areas recently affected by the disaster caused by fires in California are authorized to redeem EE and I savings bonds less than one year old presented during the months of October, November, and December 2007. Early Redemption  10/26/07

• Tips on Packing Financial Documents Before Evacuating and Tips for Smart Charitable Giving

  The Federal Trade Commission has issued two Consumer Alerts containing tips regarding weather emergencies and other sudden events:

  • "Financial Readiness: As Critical as Fully Charged Batteries"offers tips for financial readiness in case of an emergency, including a list to help people prepare.
  • "Helping Victims of the California Wildfires: Your Guide to Giving Wisely" offers tips on donating wisely to make sure money goes directly to victims and not to scam artists.

  Financial Readiness; Helping Victims  10/26/07

• Third Quarter Asset & Liability Price Tables Released

  OTS has released the Asset & Liability Price Tables for the third quarter 2007. Price Tables  10/26/07

• FEDS Working Paper Published

  The FRB has published a working paper is the Finance and Economic Discussion Series (FEDS) on the subject of "Documentation of the Research and Statistics Division’s Estimated DSGE Model of the U.S. Economy: 2006 Version." Abstract; Full Paper  10/26/07

• Authorized to Close

  The OCC has issued a proclamation allowing national bank offices affected by the wildfires in southern California to close at their discretion. Proclamation  10/24/07

• Household Consumption Smoothing Working Paper

  The FRB has published a working paper in the Finance and Economic Discussion series (FEDS) on the topic of "Do High Debt Payments Hinder Household Consumption Smoothing?" Abstract; Full paper  10/24/07

• Dugan Discusses Basel II Progress

  In a presentation to the 2007 RMA Annual Risk Management Conference in New Orleans, Louisiana, Comptroller Dugan reported that the Federal bank regulators are nearing completion of the supervisory and regulatory framework for Basel II in the United States. He indicated that the regulators are also drafting a proposed rule that would provide all non-core banks with the option to adopt a standardized approach under the Basel II Framework and would replace the "Basel 1A" proposed rule that was issued last year. Speech  10/24/07

• Reg DD Exam Procedures Bulletin Issued

  The OCC has issued a Bulletin regarding the approval by the Federal Financial Institutions Examination Council (FFIEC) of revised interagency consumer compliance examination procedures for Regulation DD, which implements the Truth in Savings Act, (TIS). Bulletin; Background; Exam Procedures; Exam checklist  10/23/07

• Freis Presents FinCEN Overview

  In a presentation to the ABA/ABA Money Laundering Enforcement Conference in Washington D.C., FinCEN Director Freis discussed regulatory effectiveness and efficiency; the risk-based approach to BSA examination, outreach to money services businesses (MSBs); the development of a new CFR chapter with one general part and separate parts for each industry; industry feedback and how BSA data is used. Remarks  10/23/07

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of October 19, 2007. Reserve Position  10/23/07

• Counterfeit Cashier's Check Alert

  The FDIC has issued a Special Alert regarding counterfeit cashier’s checks bearing the name of Westfield Bank, Westfield, Massachusetts. Information concerning the counterfeit cashier’s checks has been posted on the BOL Alerts & Counterfeits page.   10/22/07

• Burmese Officials and Entities Added to OFAC List

  Treasury has designated pursuant to Executive Order 13310 eleven Burmese government officials and four related entities. In addition, an annex has been issued to the Executive order which names five individuals and seven entities. The names of the individuals and the entities have been added to the SDN List. Information regarding the new additions has been posted on the BOL OFAC page.  10/22/07

• CRA Ratings Released

  The OCC has released the ratings received by thirty-two national bank recently evaluated for compliance with the provisions of the CRA. Ratings  10/22/07

• Defrauded Fannie Mae Investors Mailed $356 Million

  The SEC has announced that checks totaling more than $356 million have been mailed to investors harmed by the financial fraud at Fannie Mae (Federal National Mortgage Association) between 1998 and 2004. Checks  10/22/07

• Treasury Seeks Bids for Collection Services

  Treasury's Financial Management Service (FMS) has issued a notice announcing the Financial Agent Selection Process (FASP) for it’s over the counter (OTC) revenue collection channel. FMS requests that all interested financial institutions respond with a proposal in accordance with the requirements specified in the notice. Notice  10/22/07

• MSB Access to Banking System to be Examined

  The FDIC Advisory Committee on Economic Inclusion (ComE-IN) will convene on October 24, 2007 to examine money services businesses (MSBs) and their access to banking services. Presentations are scheduled from industry experts on the challenges facing the MSB industry as well as from bankers who have successful relationships with MSBs. The meeting is open to the public and will be held from 8:30 a.m. to 4:30 p.m. in the FDIC Board Room at the FDIC headquarters building at in Washington, DC. Meeting  10/22/07

• Another Counterfeit Check Alert

  The FDIC has issued a Special Alert regarding counterfeit cashier's checks bearing the name of The Hamilton Bank, Hamilton, Missouri. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  10/19/07

• Checking Account Protection Tips Issued

  The FRB has issued five tips for consumers regarding protecting their checking accounts from criminals. The tips are available in a printable (pdf) format and can be distributed to customers. Tips  10/19/07

• 23A Exemption Request Granted

  The FRB has published a letter granting a request from The Royal Bank of Scotland plc, Edinburgh, Scotland, for an exemption from section 23A of the Federal Reserve Act and Regulation W for certain securities financing transactions between the New York, New York, and Greenwich, Connecticut, branches of The Royal Bank of Scotland plc and their U.S. securities affiliate, Greenwich Capital Markets, Inc. Letter  10/19/07

• Dividend ANPR Corrections

  The FDIC has issued a FIL regarding corrections to three tables contained in the previously announced Advance Notice of Proposed Rulemaking (ANPR) on alternative methods for allocating dividends as part of a final rule to implement the dividend requirements of the Federal Deposit Insurance Reform Act of 2005 and the Federal Deposit Insurance Reform Conforming Amendments Act of 2005. The ANPR was posted in the September 27, 2007 BOL Top Stories. FIL  10/19/07

• Annual Thrift Satisfaction Survey

  OTS has issued a CEO Letter requesting participation in annual thrift satisfaction survey. The survey can be completed online. CEO Letter; Survey  10/19/07

• More Counterfeit Alerts Issued

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

  • The Bank of South Carolina, Charleston, South Carolina (Counterfeit Cashier's Checks);
  • American Bank of St. Paul (American Bank), Saint Paul, Minnesota (Counterfeit Cashier's Checks);
  • Numerica Credit Union, Spokane, Washington (Counterfeit Cashier's Checks);
  • Oak Hill Banks, Jackson, Ohio (Counterfeit Official Checks); and
  • Central Trust Bank, Jefferson City, Missouri (Counterfeit Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  10/18/07

• Enforcement Actions Released

  The OCC has released the Enforcement Actions recently taken against national banks and individuals currently and formerly affiliated with national banks. Actions  10/18/07

• OCC Gives Notice of Proposed Rulemaking for National Banks

  The Office of the Comptroller of the Currency is proposing to amend its securities offering disclosure rules at part 16 so that the organizing group of a national bank in organization
  will, in most cases, not need to provide audited financial statements as part of a public offering of securities. TXT; PDF  10/18/07

• November HOEPA Rates Set

  The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for certain applications received in November, 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; Weekly H.15  10/18/07

• Beige Book Updated

  The FRB has updated the Beige Book with data current as of October 5, 2007. Summary; Full Report  10/18/07

• Lending To Servicemembers Bulletin Issued

  The OCC has issued a Bulletin regarding the previously announced Department of Defense publication of a final rule that stipulates the terms of certain credit extensions to active duty service members and their dependents. Information concerning the final rule was posted in the August 31 and September 25, 2007 BOL Top Stories. Bulletin  10/18/07

• OCC Quarterly Journal Published

  The OCC has published the December 2006 issue of the Quarterly Journal which includes third quarter 2006 condition and performance of banks; links to speeches and interpretive letters, and other policy and data. Quarterly Journal  10/18/07

• Assets Reports Released

  The 3.12 U.S. Reserve Assets and 3.13 Foreign Official Assets Held at Federal Reserve Banks Reports for October 17, 2007, have been released by the FRB. Reports  10/18/07

• Cost of Funds Reports Issued

  OTS has released the Historical and Current National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Reports. Historical; Current  10/18/07

• Counterfeit Checks Alerts Issued

  The FDIC has issued two Special Alerts regarding counterfeit official's checks bearing the name of Citizens Union Bank of Shelbyville, Shelbyville, Kentucky, and counterfeit cashier's checks bearing the name of Exchange Bank of Missouri, Fayette, Missouri. Information regarding the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  10/17/07

• Over $2 Million in Restitution and Prohibition Orders Issued

  NCUA has issued orders prohibiting the following individuals from participating in the affairs of any federally insured financial institution:

  • David A. Call, a former chief executive officer at Florida Health Systems Federal Credit Union, Miami, Fla., no restitution ordered;
  • Cindy Diana Hastie, a former employee at State Employees Credit Union, Jacksonville, Fla., ordered to pay $212,143 in restitution;
  • Alisa Marie Ryan, a former teller at Aegis Credit Union, Clinton, Iowa, ordered to pay $15,240 in restitution; and
  • Michael J. Symons, a former chief executive officer at Nor-Car Federal Credit Union, Easton, Pa. ordered to pay $1,846,800 in restitution to NCUA and $11,480 in restitution to the IRS.

  Call Order; Hastie Order; Ryan Order; Symons Order  10/17/07

• 23A Exemption Granted

  The FRB has published a letter granting an exemption from section 23A of the Federal Reserve Act and Regulation W for certain securities financing transactions between the New York branch of Barclays Bank PLC and its U.S. securities affiliate, Barclays Capital Inc. Letter  10/17/07

• Iranian Money Laundering Threat Guidance Issued

  FinCEN has issued Guidance to financial institutions on the increasing money laundering threat due to illicit Iranian activity related to terrorist financing and weapons of mass destruction proliferation financing. Guidance  10/17/07

• Examination Cycle Bulletin Issued

  The OCC has issued a Bulletin regarding the previously announce Final Rule concerning the extension of the 18-month examination cycle to qualified national banks that are well managed, have composite CAMELS ratings of 1 or 2, and total assets of less than $500 million. Information regarding the Final Rule was posted in the September 25, 2007 Top Stories. Bulletin  10/17/07

• Discount Rate Meetings Minutes Released

  The FRB has released the minutes of its discount rate meetings from August 16 through September 18, 2007. Minutes  10/17/07

• 2008 HMDA and CRA Edits Available

  The FFIEC has made available the HMDA and CRA Edits and File Specifications for 2008. HMDA Edits; HMDA File; CRA Edits; CRA File  10/16/07

• Bernanke Discusses Consequences of the Recent Financial Turmoil

  In a presentation before the Economic Club of New York, FRB Chairman Bernanke commented on the economic and policy consequences of the recent financial turmoil. He noted that the tightening of credit had threatened to intensify the ongoing correction in the housing market and to restrain economic growth. He also stated that conditions in the financial markets have shown some improvement since the worst of the storm in mid-August, but a full recovery of market functioning is likely to take time, and we may well see some setbacks. Speech  10/16/07

• Dugan Says Streamlined Complaint Process Will Benefit Customers

  In a presentation at the Interagency Consumer Complaint Conference, Comptroller Dugan said that financial institution customers could benefit significantly from an interagency initiative to create a more streamlined and consumer-friendly approach to handling questions and complaints. He noted that the Federal Financial Institutions Examination Council (FFIEC) has agreed to form a working group to begin looking at ways to streamline the process. Speech  10/16/07

• Consumer Affairs Letters Issued

  The FRB has issued two Consumer Affairs Letters on the topics of the change in the address to send complaints regarding Regs. AA, B, and the Fair Housing Act; and the updated examination procedures for Reg. DD. Address Change Letter; Exam Procedures  10/16/07

• FDIC Publishes Correction to Proposed Rule for Assessemnt Dividends

  In proposed rule document 07–4596
  beginning on page 53181 in the issue of Tuesday, September 18, 2007, Charts 1, 3, and 5 have been reprinted with corrections.TXT; PDF  10/16/07

• FedFlash Issue Published

  The October 15, 2007 issue of the FedFlash has been published by FRB Financial Services and features articles on the new enhanced Check 21 Business Value Calculator; a new FRB Financial Services Web page ; new Fed Receipts RTNs; Secure Transport Client 4.5 Hot Fix 2; and daylight savings time shifts. FedFlash  10/16/07

• Supplement to FR Bulletin Published

  The FRB has published the September 2007 Statistical Supplement to the Federal Reserve Bulletin. Supplement  10/16/07

• Reserve Position Update

  Treasury has updated the International Reserve Position Report with data current as of October 12, 2007. Reserve Position  10/16/07

• Second Quarter Legal Developments Published

  The FRB has published the Legal Developments report for the second quarter 2007. The report covers FRB orders issued under the Bank Holding Company Act, the Federal Reserve Act and the International Banking Act.
  Legal Developments   10/15/07

• SAR Filing Tips Published

  FinCEN has announced the publication of "Suggestions for Addressing Common Errors Noted in Suspicious Activity Reporting," a compilation of useful information which FinCEN has discovered through its analysis of Money Services Business (MSB) Suspicious Activity Reports (SARs) that will also be informative to other financial institutions. It provides tips for avoiding common mistakes and suggestions for establishing more efficient and effective anti-money laundering programs. Suggestions  10/12/07

• Enforcement Actions Announced

  Treasury has announced the Enforcement Actions recently taken and civil money penalties (CMP) assessed against individuals and entities for violations of various Sanctions Programs. No financial institutions were listed. Enforcement Actions  10/12/07

• Homeownership Preservation Bulletin Issued

  The OCC has issued a Bulletin which contains a statement encouraging servicers of residential mortgages to identify borrowers at risk of default and to pursue loss mitigation strategies that could preserve their homeownership. Bulletin  10/12/07

• Treasury Solicits Input for Regulatory Structure Improvements

  The Department of the Treasury today released a request for public input as it prepares a blueprint for an improved U.S. financial regulatory structure. Secretary Paulson first announced his plans to review and recommend improvements to the regulatory structure in June as part of his initiative to strengthen U.S. financial markets' ability to compete in the global economy. Comments are due by November 21. Press release  10/12/07

• SOD Updated

  The FDIC has updated the Summary Of Deposits (SOD) report has been updated with data from the June 30, 2007 survey conducted by the FDIC and the OTS. SOD  10/12/07

• FEDS Working Papers Published

  The FRB has published three working papers in the Finance and Economic Discussion Series (FEDS) on the topics of:

  • "Operational Problems and Aggregate Uncertainty in the Federal Funds Market";
  • "Choice of Mortgage Contracts: Evidence from the Survey of Consumer Finances"; and
  • "The Effects of Past Entry, Market Consolidation, and Expansion by Incumbents on the Probability of Entry."

  Operational Abstract; Operational Full Paper; Choice Abstract; Choice Full Paper; Effects Abstract; Effect Full Paper  10/12/07

• Twenty-Four SDGTs and SDNTs Added To OFAC List

  OFAC has designated as Specially Designated Global Terrorists (SDGTs) three individuals based in Saudi Arabia who have served as significant sources of financial and other support to individuals and entities in Southeast Asia previously named as SDGTs. In addition, seven individuals and fourteen companies tied to a Colombian narcotics trafficker have also been designated as Specially Designated Narcotics Traffickers (SDNTs). The names of all of the individuals and entities have been added to the SDN List and information has been posted on the BOL OFAC Page.  10/11/07

• 314(a) 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 October 9, 2007. 314(a); Sharing Report  10/10/07

• Three Counterfeit Checks Alerts Issued

  The OCC has issued two Alerts regarding counterfeit cashier's checks issued in
  the name of First National Bank, Christiansburg, Virginia, and Cattleman's National Bank, Round Mountain, Texas. In addition, the FDIC has issued a Special Alert regarding counterfeit treasurers checks bearing the name of Country Bank for Savings (Country Bank), Ware, Massachusetts. Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  10/10/07

• Garnishment Guidance FIL Issued

  The FDIC has issued a FIL regarding the previously announced request by the five federal financial regulatory agencies seeking public comment on the proposed Guidance encouraging federally regulated financial institutions to follow best practices to protect federal benefit payments from garnishment orders. Information concerning the Guidance was posted in the September 20, 2007 BOL Top Stories. FIL  10/10/07

• International Reserve Position Update

  Treasury has updated the data on the U.S. International Reserve Position Report with information current as of October 5, 2007. Reserve Position  10/10/07

• FOMC Minutes Released

  The FRB has released the minutes of the Federal Open Market Committee (FOMC) September 18, 2007 meeting. Minutes  10/10/07

• FEDS Working Papers Published

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

  • "Does Health Affect Portfolio Choice?",
  • "Cracking the Conundrum",
  • "Credit Derivatives and Risk Management", and
  • "Habit Persistence, Non-separability Between Consumption and Leisure, or Rule-of-Thumb Consumers: Which Accounts for the Predictability of Consumption Growth?."

  Health Abstract; Health Full Paper; Cracking Abstract; Cracking Full Paper; Credit Abstract; Credit Full Paper; Habit Abstract; Habit Full Paper  10/10/07

• Do You Have the New FDIC Signs?

  It was almost a year ago that we told you of the FDIC signage change. You had one year to implement the new requirements which will go into effect Nov. 13, 2007. Ensure you have the new signage posted and that your Marketing Department has the correct logo to use in advertisement. The Federal Register defining the new requirements is 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.  10/09/07

• CRA Ratings Issued

  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. CRA Ratings  10/09/07

• Dugan Urges Stronger Underwriting Standards

  In a presentation to the American Bankers Association's Annual Convention, Comptroller Dugan stated that banks need to strengthen their underwriting standards, particularly on loans sold to third party investors. He noted, "underwriting standards for these products, in many cases, moved too far away from what they would have been if the bank had held those loans on its own books." Speech  10/09/07

• Enforcement Actions Released

  The FDIC has released a list of orders of administrative enforcement actions taken against banks and individuals in July 2007. Enforcement Actions  10/09/07

• 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 an article titled "A Primer on Asset-Backed Commercial Paper." Quarterly Review  10/09/07

• CDFI Grants Announced

  Treasury has announced the list of $27 million in awards to 68 organizations serving economically distressed communities in 30 states and the District of Columbia under the provisions of the Community Development Financial Institutions (CDFI) program. Overview; Financial Assistance By State; Technical Assistance By State  10/09/07

• Economic Update Issued

  Treasury has issued its economic update for October 5, 2007. Update  10/09/07

• Study Reports Easing of Bank Underwriting Standards

  The OCC has released the results of its thirteenth annual Survey of Credit Underwriting Practices which reports that commercial and retail underwriting standards continued to ease for the fourth consecutive year. The survey reflected a divergence of commercial underwriting standards by institution size. Survey  10/05/07

• Ohio Bank Closed Deposits Assumed

  The Ohio Superintendent of Financial Institutions has closed the Miami Valley Bank, Lakeview, Ohio, and named the FDIC receiver. The FDIC has approved the assumption of the insured deposits by the Citizens Banking Company, Sandusky, Ohio. Bank Closing Information  10/05/07

• FRB Publishes Correcting Amendments to Reg A

  The Board of Governors of the Federal Reserve System (Board) is correcting a document published in the
  Federal Register of September 27, 2007, that amended Regulation A to reflect a decrease in the primary and secondary credit rates at each Federal Reserve Bank. TXT; PDF   10/05/07

• CAC Meeting Announced

  The FRB has announced that the Consumer Advisory Council (CAC) will hold its next meeting on Thursday, October 25, 2007, in the Board’s Martin Building, Washington, D.C. Time permitting, the CAC will discuss HOEPA and Reg Z. The session will begin at 9:00 a.m. and is open to the public. For security reasons, online registration is required before October 23. Meeting Notice; Registration  10/05/07

• BHCPR User Guide Updated

  The 2007 update to the User Guide for the Bank Holding Company Performance Report (BHCPR) has been published by the FRB. User Guide  10/05/07

• Counterfeit Cashier's Checks Alerts

  The FDIC has issued Three Special Alerts regarding counterfeit cashier's checks bearing the name of the following institution:

  • Transcommunity Bank, National Association, Goochland, Virginia FNA Bank of Goochland, Goochland, Virginia (Counterfeit Cashier's Checks);
  • Mercantile Trust & Savings Bank, Quincy, Illinois (Counterfeit Cashier's Checks); and
  • Providence Bank, Rocky Mount, North Carolina (Counterfeit Cashier's Checks).

  Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  10/04/07

• OCC Seeks C&D Order and CMP Against Bank Attorney

  The OCC has announced that a public hearing will be held before an Administrative Law Judge concerning an enforcement proceeding against Carlos Loumiet, Esq., former counsel for the failed Hamilton Bank, N.A., Miami, Florida. The OCC is seeking a cease and desist (C&D) order that would bar him from providing or participating in the provision of legal or consulting services to any insured depository institution, or serving as counsel for such an institution and the assessment of a $250,000 civil money penalty. The OCC has charged Mr. Loumiet with concealing the crimes of the bank’s chairman, CEO, and CFO whom Mr. Loumiet and his former law firm represented while they purported to represent the bank. Hearing; Charges  10/04/07

• 2008 HMDA Edits Available

  The FFIEC has posted the 2008 HMDA Edits and File Specifications on line. Edits; File Specification  10/04/07

• FRB and Treasury Propose Rulemaking for Prohibition on funding of unlawful Internet gambling (Regulation GG)

  These agencies jointly propose rules to implement applicable provisions of the Unlawful Internet Gambling Enforcement Act of 2006 (the "Act"). The proposed rule requires participants in designated
  payment systems to establish policies and procedures reasonably designed to identify and block or otherwise prevent or prohibit transactions in connection with unlawful Internet gambling. TXT; PDF  10/04/07

• Consumer Complaints To Be Shared By OCC And Texas

  Comptroller Dugan and Texas Banking Commissioner James have signed a Memorandum of Understanding (MOU) that facilitates the sharing consumer complaints between their two agencies. Due to the fact that many consumers do not always know which regulatory agency supervises their bank, a MOU provides model procedures to ensure that misdirected complaints are sent to the appropriate agency. The MOU is the twenty-eighth executed by the OCC and a state banking agency. MOU  10/03/07

• Stronger Commercial RE Lending Risk Management Needed

  In a presentation to the Independent Bankers Association of Texas, Comptroller Dugan said community banks engaged in commercial real estate lending need to make sure their officers and loan review staff realistically assess the strength of their borrowers and identify problem credits early. In addition, they should ensure that loan loss reserves are adequate to cover the increase in losses that may occur. Speech  10/03/07

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

  The Board and the Commission jointly are adopting a single set of final rules that implement certain of the exceptions for banks from the definition of the term "broker"
  under Section 3(a)(4) of the Securities Exchange Act of 1934 ("Exchange Act"), as amended by the Gramm-Leach-Bliley Act ("GLBA"). The rules define terms used in these statutory exceptions and
  include certain related exemptions.TXT; PDF  10/03/07

• NCUA Publishes Final Rule in FR for Member Inspection of Credit Union
  Books, Records, and Minutes

  The rule provides that a group of members representing approximately one percent of the membership, with a proper purpose and upon petition, may inspect and copy nonconfidential portions of the credit
  union's books, records, and minutes. This rule standardizes and clarifies existing member inspection rights.TXT; PDF  10/03/07

• Reserve Position Update

  Treasury has updated the U.S. International Reserve Position Report with data current as of September 28, 2007. Report  10/03/07

• Counterfeit Cashier's Checks Alerts

  Three Special Alerts have been issued by the FDIC regarding counterfeit cashier's checks bearing the name of the following institutions:

  • Chesapeake Bank of Maryland, Baltimore, Maryland (Counterfeit Cashier's Checks);
  • American Metro Bank, Chicago, Illinois (Counterfeit Cashier's Checks); and
  • The Merchants & Citizens Bank, McRae, Georgia.

  Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  10/02/07

• Summary of Recent Flood Map Changes Available

  FEMA has announced the availability of the Compendium of Flood Map Changes which provides a listing of the changes made to the National Flood Insurance Program (NFIP) maps that became effective from January 1, 2005, through June 30, 2007. Future notices of changes to NFIP maps are available approximately every 6 months. Changes  10/02/07

• Internet Gambling Rule Proposed

  The Treasury and the FRB have issued a joint proposed rule to implement the Unlawful Internet Gambling Enforcement Act. The proposed rule would require U.S. financial firms that participate in designated payment systems to have policies and procedures that are reasonably designed to prevent payments being made to gambling businesses in connection with unlawful Internet gambling. Proposed Rule; http://www.treas.gov/press/releases/hp583.htm">Treasury PR; FRB PR  10/02/07

• CRA Ratings Released

  The OTS has released the ratings received by savings associations that were recently evaluated for compliance with the CRA. Ratings  10/02/07

• Foreign Exchange Rate Report Released

  The G.5 Foreign Exchange Rate Report for September 2007 has been released by the FRB. G.5  10/02/07

• October 2007 FedFlash Published

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

  • the migration of Payor Bank Services to Check 21-enabled Presentment Products,
  • the design of the new $5 note,
  • holiday currency information, and
  • cross shipping fees.

  FedFlash  10/02/07

• Check 21 Business Value Calculator Available

  A new Check 21 Business Value Calculator has been made available by FRB Financial Service to enable institutions to gauge the business case for Check 21-enabled products; test multiple "what-if" scenarios; and save, print and e-mail the results to others in the organization. Calculator  10/02/07

• Federal Reserve Bank Address Changes

  The FRB has announced changes of addresses, effective October 29, 2007, to which consumers should send (1) questions concerning creditors for which the Federal Reserve System administers compliance with Regulation B, or (2) complaints regarding a state member bank (under Regulation AA). Affected creditors have until October 1, 2008, to include the new address and telephone number on adverse action notices under Regulation B. Reg B Notice; Reg AA Notice  10/01/07

• FRB Publishes Rule in FR for Depository Institutions; Reserve Requirements (Regulation D)

  The FRB is amending Regulation D, Reserve Requirements of Depository Institutions, to reflect the annual indexing of the reserve requirement exemption amount and the low reserve tranche for 2008. The Board is also announcing changes in two other amounts, the nonexempt deposit cutoff level and the reduced reporting limit, that are used to determine the frequency at which depository institutions must submit deposit reports. TXT; PDF   10/01/07

• FRB Announces Possible Delay in Posting Return Items

  Due to problems at the Federal Reserve Bank of St. Louis processing center, FRB Financial Services has announced that there may be delay in posting credits for deposits and debits for presentment or return of both Check 21 and paper unpaid items. Delay  10/01/07

• Third Quarter Call Report Information Released

  The FFIEC and FDIC and have issued information regarding the filing of the Third Quarter 2007 Call Report. FIL; FFIEC  10/01/07

• Holiday Cash Ordering Schedule Announced

  FRB Financial Services has announced the schedule for the ordering additional cash for the holiday season. Two special ordering periods have been established. Schedule  10/01/07

• New Electronic Interpretations and Actions Announced

  The OCC has announced and posted online the September 2007 New Electronic Interpretations and Actions. Electronic  10/01/07

• Georgia Bank Closed and Deposits Assumed

  OTS has announced that it has closed $2.5 billion NetBank, headquartered in Alpharetta, Georgia, and appointed the FDIC as receiver. The FDIC has announced the approval of the assumption of the insured deposits of NetBank by ING Bank, fsb, Wilmington, Delaware. Receiver; Assumption  10/01/07

The FDIC has announced the agenda for the July 15, 2014, meeting of its Board of Directors.

The NCUA announced that credit union staff, managers and senior leadership still have time to register for the following informative training sessions in July:

• In Pittsburg on July 23—Registration
• Protecting Your Credit Union From the Rising Trend of Employment Practices Lawsuits
• Marketing in the Digital Age
• Bank Secrecy Act—Money Services Businesses
• Examination Modernization
• In Newark on July 26—Leadership Boot Camp—Registration

A California school district has been charged by the SEC with misleading bond investors about its failure to provide contractually required financial information and notices. The case is the first to be resolved under a new SEC initiative to address materially inaccurate statements in municipal bond offering documents. A cease and desist order has been issued.

The Department of Justice has announced the sentencing of two Alabama men in separate stolen identity refund fraud (SIRF) cases. One case involved the use of stolen identities to steal money from the IRS by filing fraudulent tax returns claiming refunds in the victims' names and the other involved the sale of stolen identities to others to be used in SIRF crimes.

The FDIC has announced the agenda for the July 15, 2014, meeting of its Board of Directors.

The NCUA announced that credit union staff, managers and senior leadership still have time to register for the following informative training sessions in July:

• In Pittsburg on July 23—Registration
• Protecting Your Credit Union From the Rising Trend of Employment Practices Lawsuits
• Marketing in the Digital Age
• Bank Secrecy Act—Money Services Businesses
• Examination Modernization
• In Newark on July 26—Leadership Boot Camp—Registration

A California school district has been charged by the SEC with misleading bond investors about its failure to provide contractually required financial information and notices. The case is the first to be resolved under a new SEC initiative to address materially inaccurate statements in municipal bond offering documents. A cease and desist order has been issued.