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DoD Lending Rules Finalized

The Department of Defense has published final rules setting forth new requirements for loans to servicemembers and their dependents under the John Warner National Defense Authorization Act. The implementation date is October 1, 2007. While banks, thrifts and credit unions are not exempted from coverage by the new regulation, the impact on those entities will likely not be substantial because of the narrow scope of the final rules. For example, loans secured by an interest in a dwelling are exempt, as are open-end credit products. The three loan types that are covered under the new §232.3 include:

1. payday loans, which are 91 days or less and do not exceed $2,000,
2. vehicle title loans, which are 181 days or less and exclude purchase money loans, and
3. tax refund anticipation loans.

TXT; PDF   8/31/07

Counterfeit Checks Special Alerts

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

• First FarmBank, Greeley, Colorado (Counterfeit Cashier's Checks);
• First PREMIER Bank, Sioux Falls, South Dakota (Counterfeit Expense Checks);
• The Bank of Delmarva, Seaford, Delaware (Counterfeit Official Checks);
• Peoples Bank, Clifton, Tennessee; and
• Bank of the San Juans, Durango, Colorado (Counterfeit Cashier's Checks).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeit page.  8/31/07

Colombian Drug Traffickers and Related Interests Added to OFAC List

OFAC has designated four Colombian drug traffickers and five of their related interests (entities and individuals) as Specially Designated Narcotics Traffickers (SDNT) and added their names to the Specially Designated Nationals (SDN) List. Information regarding the new entries has been posted on the BOL OFAC Page.  8/31/07

Fraudulent OCC Letters Alerts

The OCC, the FDIC, and the European Commission have issued Alerts regarding fraudulent letters appearing to be sent by the OCC concerning the release of funds supposedly under the control of the European Commission in Belgium. The letter is being sent to U.S. bank customers and indicates that monies are being held until the recipient can produce the necessary documents, which will cost the customer $25,000. FDIC Special Alert; European Commission Warning  8/31/07

CHARM Booklet Deadline Approaches

This is a reminder that you can use your existing stock of Consumer Handbook on Adjustable-Rate Mortgages (CHARM) booklets until September 30, 2007. To comply with Regulation Z beginning October 1, 2007, creditors must provide a copy of the revised CHARM booklet, or a suitable substitute, to consumers with every application for an adjustable rate mortgage loan. Deadline; CHARM Booklet English; CHARM Booklet Spanish  8/31/07

OCC Issues BSA Bulletins

Three Bulletins have been issued by the OCC regarding previously announced compliance with the provisions of the Bank Secrecy Act (BSA):

• BSA Enforcement Policy Interagency Statement:
• 2007 National Money Laundering Strategy; and
• Suspicious Activity Report (SAR) Supporting Documentation.

Interagency Statement Bulletin; Strategy Bulletin; SAR Bulletin  8/31/07

Treasury Updates Homepage

Treasury's homepage has a new look and allows web-users to access press releases, speeches and reports on key issues. Links have been consolidated and reorganized to provide easier access and a new feature called the Secretary's Corner has been added. Homepage  8/31/07

Counterfeit Checks Special Alerts Issued

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

• Brenham National Bank, Brenham, Texas (Counterfeit Cashier's Checks);
• Commerce Bank/Harrisburg National Association (Commerce Bank), Lemoyne, Pennsylvania (Counterfeit Cashier's Checks);
• Citizens Bank, Mooresville, Indiana (Counterfeit Cashier's Checks);
• Haven Savings Bank, Hoboken, New Jersey (Counterfeit Official Checks);
• First Western Bank, Wall, South Dakota (Counterfeit Cashier's Checks); and
• Liberty Bank, Alton, Illinois (Counterfeit Cashier's Checks).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  8/30/07

Counterfeit Money Orders Alert

The OCC has issued an Alert regarding counterfeit personal money orders issued in the name of Canandaigua National Bank & Trust, Canandaigua, New York, are being presented for payment nationwide in connection with a mystery shopping scam. Information concerning the counterfeit money orders has been posted on the BOL Alerts & Counterfeits page.  8/30/07

Written Agreement Announced

The FRB has announced the execution of a Written Agreement by and among Premier Bank, Denver, Colorado, the State of Colorado Division of Banking, Denver, Colorado, and the Federal Reserve Bank of Kansas City. Agreement   8/30/07

Banks Encouraged to Work with Customers Affected by Flooding

The OCC has announced that prudent efforts by national banks to adjust or alter terms on existing loans in areas affected by flooding and related problems flooding in Wisconsin, Minnesota, Illinois, and Ohio should not be subject to bank examiner criticism. Flooding   8/30/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position report with data current as of August 24, 2007. Reserve Position  8/30/07

Illegitimate Checks and Currency Alerts Given

The FRB has issued an Alert regarding illegitimate checks being drawn on an entity named TUC Private Currency Office and currency called "The United States Private Dollar" being promoted by The United Cities Corp., Miami, Florida. Information regarding the illegitimate checks and currency has been posted on the BOL Alerts & Counterfeits page.  8/29/07

Counterfeit Checks Special Alerts Issued

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

• S&T Bank, Indiana, Pennsylvania (Counterfeit Treasurer's Checks);
• First Lowndes Bank, Fort Deposit, Alabama (Counterfeit Cashier's Checks);
• CapitalBank, Greenwood, South Carolina (Counterfeit Official Checks); and
• The Talbot Bank of Easton, Easton, Maryland (Counterfeit Cashier's Checks).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits Page.  8/29/07

$85,045 Flood CMP Announced

The FRB has announced that a civil money penalty (CMP) in the amount of $85,045 has been assessed against Capital City Bank, Tallahassee, Florida, for alleged violations of Reg. H. CMP  8/29/07

Early Savings Bond Redemptions Authorized

FRB Financial Services has announced that savings bond agents serving specified Minnesota, Wisconsin and Oklahoma counties recently affected by severe weather are authorized to redeem EE and I savings bonds less than one year old presented during the months of August, September, and October 2007. Early Redemptions  8/29/07

Section 312 Final Rule Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced FinCEN Final Rule concerning Section 312 of the USA PATRIOT Act. Information regarding the Final Rule was posted in the August 9, 2007 BOL Top Stories. Bulletin  8/29/07

FOMC Minutes Published

The minutes of the August 7, 2007 meeting of the Federal Open Market Committee have been published by the FRB. Minutes   8/29/07

Employer-Assisted Mortgage Programs Report Released

The OCC has released a Community Developments Insights report entitled, "Understanding Employer-Assisted Mortgage Programs: A Primer for National Banks," which highlights key features of employer assisted mortgage programs and opportunities for bank involvement with these initiatives. Report  8/28/07

Annual Dollar Trigger Final Rule Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced annual adjustment by the FRB to its Regulation Z Commentary related to the dollar amount that triggers requirements for certain home mortgage loans. Information concerning the 2008 dollar amount was posted in the August 7, 2007 BOL Top Stories. Bulletin  8/28/07

Prohibition on Bank Political Contributions Bulletin

The OCC has issued a Bulletin that describes and emphasizes the prohibitions on political contributions or expenditures by national banks pursuant to the Federal Election Campaign Act of 1971. Bulletin  8/28/07

BSA/AML Manual Revised

The Federal Financial Institutions Examination Council (FFIEC) has issued the 2007 Bank Secrecy Act/Anti-Money Laundering (BSA/AML) Examination Manual. Revised Manual; Interagency Statement; FRB SL; FDIC FIL; OCC Bulletin; OTS PR; NCUA PR  8/27/07

Early Savings Bond Redemption Authorized

FRB Financial Services has announced that the early redemption of certain savings bonds has been authorized in specified counties of Minnesota recently affected by severe weather. Early Redemption  8/27/07

Revised Exam Procedures Announced

The OCC has issued a Bulletin that announces the examination procedures for compliance with the provisions of the Telephone Consumer Protection Act and Junk Fax Prevention Act have been revised. Bulletin; Procedures; Worksheet  8/27/07

FRB Legal Interpretations Published

Three legal interpretations have been published by the FRB regarding: 1) granting exemptions from section 23A of the Federal Reserve Act and Regulation W for certain securities financing transactions between a bank and an affiliate: and 2) a nonvoting convertible preferred stock investment permissible under section 4(c)(6) of the Bank Holding Company Act. Exemptions; Stock Investment  8/27/07

Preventing and Detecting Child Pornography

The FDIC has issued a FIL regarding the distribution of "Internet Merchant Acquisition and Monitoring Best Practices for the Prevention and Detection of Commercial Child Pornography," a brochure prepared by the Financial Coalition Against Child Pornography. FIL; Brochure  8/27/07

Prohibition Orders Issued

NCUA has issued orders prohibiting five individuals from participating in the affairs of any federally insured financial institution. One former credit union manager was ordered participate in a Pretrial Intervention Program, pay $20,000 in restitution, undergo 36 months of supervised probation, and provide 50 hours of community service. Orders  8/24/07

Mergers and Asset Purchases Working Paper Published

The FRB has published a working paper in the Financial and Economic Discussion Series (FEDS) on the topic of "An Efficiency Perspective on the Gains from Mergers and Asset Purchases". Abstract; Full Paper  8/24/07

FRB Publishes Final Rule in FR for eExtensions of credit by Federal Reserve Banks (Regulation A):

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  8/24/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of the First National Bank of Holdrege, Holdrege, Nebraska. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  8/23/07

Eight New Flood CMPs

The FDIC has announced that eight institutions were recently assessed civil money penalties in excess of $126,000 for flood violations. The year-to-date fines average $3,927 per day for a current total of $914,941. Annualized, at the current pace, $1.4 Million in files will be imposed in 2007. Information regarding all of the fines has been posted on the BOL Flood Penalties Watch page.  8/23/07

Change in Control Legal Interpretation Released

A legal interpretation has been released by the FRB regarding an inquiry on the appropriate risk-based capital treatment of certain collateralized loans of cash under the Board's risk-based capital guidelines for state member banks and bank holding companies. Interpretation  8/23/07

Second Quarter Bank Earnings Released

The FDIC has released the earnings at FDIC insured banks for the second quarter 2007. Summary; Full Report  8/23/07

Mid-Year CU Earnings Released

NCUA has released the earning at federally insured credit unions for the second mid-year 2007. Summary; Full Report  8/23/07

Consumer Foreclosure Resources Webpage

The FRB has created a Web page that contains links to regulatory information for consumers having difficulty making mortgage payments. Webpage  8/23/07

FATF Annual Report Issued

The Financial Action Task Force (FATF) has issued its Annual Report which provides an overview of the achievements of the FATF against its mandate over the course of 2006-2007. FATF is an inter-governmental body whose purpose is the development and promotion of national and international policies to combat money laundering and terrorist financing. Abstract; Full Annual Report  8/23/07

Enforcement Actions Announced

The FDIC has released a list of orders of administrative enforcement actions taken against banks and individuals in June 2007. List  8/22/07

Compliance Risk Workshop Scheduled

The OCC will hold a compliance risk workshop for community bank directors on September 25, 2007 in Lexington, Kentucky. The workshop is limited to the first 50 registrants and is geared primarily to outside directors of national community banks with assets of less than $1 billion. Online registration is available. Agenda; Registration   8/22/07

Nontraditional Mortgage Products Bulletin Issued

A Bulletin has been issued by the OCC regarding the previously announced interagency Final Rule contains illustrations of consumer information on nontraditional mortgage products. Information concerning the Final Rule was posted in the June 1, 2007 BOL Top Stories. Bulletin   8/22/07

Thrift Industry Second Quarter Earnings Solid

OTS has reported that the nation's thrift industry posted solid earnings and profitability in the second quarter of 2007 despite the effects of a slowing housing market and flat-to-inverted yield curve. Highlights; Charts; Selected Indicators  8/22/07

Transaction Costs Working Paper Published

A working paper in the Financial and Economic Discussion Series (FEDS) on the topic of "Transaction Costs and Consumption" has been published by the FRB. Abstract; Full Paper  8/22/07

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 June 30, 2007. Report  8/22/07

Wyoming State Quarter Information Available

FRB Financial Services have published information regarding the distribution of the Wyoming State quarter. Quarter  8/22/07

FinCEN Launches Search Engine

A new search engine has been launched by FinCEN which allows users to search through more than 220 file types, including forms and regulations. Users will also have the capability to sort results by relevancy or date and the option to fine tune searches for all materials. Search Engine  8/21/07

Cross-Shipping Waivers Granted

FRB Financial Services has announced that cross-shipping waivers may be granted for certain weather related and natural disasters. Waivers  8/21/07

Second Quarter 2007 TRF Data Released

OTS has released the Aggregated Thrift Financial Report (TFR) Data for the 2nd Quarter 2007. TRF  8/21/07

FHC List Published

The list of bank holding companies that have elected as of August 17, 2007 to be treated as financial holding companies (FHCs) has been published by the FRB. List  8/21/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as
of August 17, 2007. Reserve Position  8/21/07

Counterfeit Cashier's Checks Special Alerts

The FDIC has issued two Special Alerts regarding counterfeit cashier's checks bearing the names of the Mid-America Bank, Baldwin City, Kansas, and Pacific Global Bank, Chicago, Illinois. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  8/20/07

Fed Reduces Rates

The FRB has approved a 50 basis point reduction in the primary credit rate to 5-3/4 percent which narrows the spread between the primary credit rate and the Federal Open Market Committee (FMOC) target federal funds rate to 50 basis points. In addition, the FRB will allow the provision of term financing for as long as 30 days, renewable by the borrower. Rate; FOMC Statement  8/20/07

314a Fact Sheet Updated

FinCEN has updated the 314a Fact Sheet and the Law Enforcement Information Sharing with the Financial Industry Report with data current as of August 15, 2007. 314a; Sharing Report  8/20/07

FDIC Consumer News 2007 Summer Special Edition

The FDIC has published the Summer 2007 issue of the FDIC Consumer News, a Special Edition featuring 51 Ways to Save Hundreds on Loans and Credit Cards. Consumer News  8/20/07

Reserve Position Report Issued

Treasury has issued the U.S. International Reserve Position Report for August 10, 2007. Reserve position Report  8/20/07

Worthless and Counterfeit Checks Alerts

The OCC has issued an Alert regarding worthless checks listing The United Cities Corp., Miami, Florida, as the maker, drawn on an unknown entity by the name of TUC Private Currency Office, Kissimmee, Florida, and using an invalid ABA routing number. In addition, the FDIC has issued a Special Alert regarding counterfeit official checks bearing the name of Century Bank, FSB, Santa Fe, New Mexico. Information concerning the worthless and counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  8/17/07

September HOEPA Rates Posted

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in September 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, you 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  8/17/07

FRB Publishes Technical Amendment to Availability of Funds and Collection of Checks

The FRB is amending appendix A of Regulation CC to delete the reference to the Helena branch office of the Federal Reserve Bank of Minneapolis and reassign the Federal Reserve routing symbols currently listed under that office to the Denver branch office of the Federal Reserve Bank of Kansas City.TXT; PDF  8/17/07

Written Agreements Announced

The FRB has announced that it has entered into two written agreements, one by and among Marco Community Bank, Marco Island, Florida, the Florida Office of Financial Regulation, and the Federal Reserve Bank of Atlanta; and the other by and among Anadarko Bank & Trust Company, Anadarko, Oklahoma, the Oklahoma State Banking Department, and the Federal Reserve Bank of Kansas City. Marco Agreement; Anadarko Agreement  8/17/07

June Receivables Report Released

The G.20 Owned and Managed Receivables Outstanding and Auto Loans: Terms of Credit Report for June 2007 has been released by the FRB. G.20  8/17/07

FR Bulletin Statistical Supplement Published

The July 2007 Statistical Supplement to the Federal Reserve Bulletin has been published. Supplement  8/17/07

46 Names Added To OFAC List

OFAC has added 23 individuals and 23 companies tied to a leader of Colombia's North Valle drug cartel to the SDN list with the designation of Specially Designated Narcotics Traffickers (SDGT). Information regarding the additions has been posted on the BOL OFAC page.  8/16/07

Consumer Credit Score Tips Brochure

The FRB has issued a consumer brochure containing five tips for ways to improve a credit score. Brochure  8/16/07

August FedFlash Published

FRB Financial Services has published the August 2007 issue of FedFlash which contains articles on minimizing the impact of Check Relay changes, compliance with Check 21, same-day Federal tax payment wire transfers, new FedReceipt RTNs, and cash letter deferment deadlines. FedFlash  8/16/07

Credit Scoring Report Delivered to Congress

As required by the Fair and Accurate Credit Transactions Act of 2003, the FRB and the FTC have delivered a report to Congress regarding the effects of credit scoring on credit and insurance markets. Report  8/16/07

Defined Benefit Pension Plans Working Paper

The FRB has published a working paper in the Finance and Economic Discussion Series (FEDS) on the topic of "Why Do Firms Offer Risky Defined Benefit Pension Plans?". Abstract; Full Paper  8/16/07

Cost of Funds Reports Issued

OTS has issued the historical and current National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Reports for August 15, 2007. Historical; Current  8/16/07

June 2007 TIC Data

Treasury has issued the TIC Data Report for June 2007. TIC  8/16/07

Industrial Production Report Released

The G.17 Industrial Production and Capacity Utilization Report for July 2007 has been released by the FRB. G.17  8/16/07

Counterfeit Checks Special Alerts

The FDIC has issued five Special Alerts regarding stolen expense checks and counterfeit cashiers, official and treasurer's checks bearing the names of the following institutions:

• Sun West Bank, Las Vegas, Nevada (Stolen Expense Checks);
• First State Bank of Newcastle, Newcastle, Wyoming (Counterfeit Cashier's Checks);
• MainSource Bank, Greensburg, Indiana (Counterfeit Official Checks);
• Merchants Bank, Burlington, Vermont (Counterfeit Treasurer's Checks); and
• Bank of Tennessee, Kingsport, Tennessee (Counterfeit Official Checks).

Information concerning the stolen and counterfeit items has been posted on the BOL Alerts & Counterfeits page.   8/15/07

Consumer Subprime Lending Illustrations Proposed

The federal financial regulatory agencies are requesting comments on proposed illustrations of consumer information for certain adjustable-rate mortgage (ARM) products described in the agencies previously issued Statement on Subprime Mortgage Lending (Subprime Statement). Information regarding the Subprime Statement was posted in the July 2, 2007 BOL Top Stories. Illustrations; Statement; FRB PR; OCC NR; FDIC FIL; OTS PR; NCUA PR  8/15/07

$16,245 Flood Violation CMP Announced

The FRB has announced the issuance of a consent Order of Assessment of a Civil Money Penalty (CMP) of $16,245 against Chemical Bank, Midland, Michigan, in connection with alleged violations of the Board's Reg. H which implements the National Flood Insurance Act. Read about this and other flood related civil money penalties on BOL Flood Penalties Watch.  8/15/07

Enforcement Actions Announced

The OCC has announced new enforcement actions recently taken against national banks and individuals currently and formerly affiliated with national banks. Actions  8/15/07

Flood Relief Guidance Updated

The FDIC has issued a FIL announcing the update of a previously issued Guidance regarding a series of steps intended to provide regulatory relief to financial institutions and to facilitate recovery in additional areas of Texas and Oklahoma that are suffering from storms and flooding. FIL  8/15/07

Entity Added To OFAC List

An entity designated as a SDGT has been added to the OFAC SDN List. Information regarding the addition has been posted on the BOL OFAC page.  8/14/07

CRA Ratings Released

The OCC has released the ratings received by twenty-two national banks that were recently evaluated for compliance with the provisions of the CRA. Ratings  8/14/07

FRB Restructures Check Processing Operations

The FRB has announced amendments effective October 20, 2007, to Appendix A of Regulation CC that reflect the restructuring of the Federal Reserve's check processing operations in the Ninth and Tenth Districts. These amendments are part of a series of amendments to Appendix A associated with the previously-announced restructuring of the Reserve Banks' check processing operations. Amendments  8/14/07

Pandemic Readiness Testing Urged

The Federal Financial Institutions Examination Council (FFIEC) agencies are inviting financial institutions to participate in the Treasury sponsored industry-wide business continuity exercise for members of the financial services sector. The purpose of the exercise is to test the financial sector's ability to respond to a pandemic like crisis, such as an influenza pandemic. The exercise will simulate one wave of a pandemic like event and is scheduled to begin September 24, 2007, and conclude on October 10, 2007. Test; OCC NR; FFIEC PR  8/14/07

FEDS Executive Compensation Working Paper Published

A working paper in the Finance and Economics Discussion Series (FEDS) on the topic of " Executive Compensation: A New View from a Long-Term Perspective, 1936-2005" has been published by the FRB. Abstract; Full Paper  8/14/07

Loan Officer Opinion Survey Results

The FRB has issued the results of the July 2007 Senior Loan Officer Opinion Survey on Bank Lending Practices. Summary; Full Report  8/14/07

Counterfeit Official Checks Special Alert

The FDIC has issued a Special Alert regarding counterfeit official checks bearing the name of Sentry Bank & Trust, Cheraw, South Carolina. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.  8/13/07

CRA Ratings Announced

The OTS has announced the ratings received by savings associations recently evaluated for compliance with the provisions of the CRA. Ratings  8/13/07

Fed To Provide Liquidity

The Federal Reserve has announced that it will provide reserves as necessary through open market operations to promote trading in the federal funds market at rates close to the Federal Open Market Committee's (FOMC) target rate of 5-1/4 percent. Fed  8/13/07

SSN Use SR Letter Issued

The FRB has issued a SR Letter regarding the previously announced request for comments by the FTC on the use of SSNs in the financial services industry, and within the private sector more generally, in response to recommendations established by the President's Task Force on Identity Theft. SR Letter; Comments  8/13/07

CMPs Announced

The Treasury has announced the civil money penalties (CMPs) recently assessed individuals and entities for violations of various OFAC Sanctions Programs. No financial institutions were listed. CMPs  8/13/07

Community Bank Directors Compliance Risk Workshop

The OCC will a Compliance Risk Workshop for community bank directors on September 11, 2007 in Little Rock, Arkansas. The workshop entitled, "Compliance Risk: What Directors Need to Know," will provide practical information to expand bank directors' skills and understanding of issues facing their banks. Workshop; Registration  8/13/07

Counterfeit Checks and Money Orders Special Alerts

Four Special Alerts have been issued by the FDIC regarding counterfeit cashier's checks and money orders bearing the names of the following institutions:

• Pinnacle Bank, Lincoln, Nebraska (Counterfeit Cashier's Checks);
• Citizens Bank, Batesville, Arkansas (Counterfeit Cashier's Checks);
• American National Bank of Sidney, Sidney, Nebraska (Counterfeit Money Orders); and
• Muenster State Bank, Muenster, Texas (Counterfeit Cashier's Checks).

Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.   8/10/07

Flood Violation CMP Assessed

The FRB has announced the issuance of a consent Order of Assessment of a Civil Money Penalty in the amount of $8,835 against Hanmi Bank, Los Angeles, California, in connection with the institution's alleged violations of the Board's Reg H implementing the National Flood Insurance Act. CMP  8/10/07

Fake "Guarantees" or "Proof of Funds" Letters Special Alert

The FDIC has issued a Special Alert regarding the publication of a "Warning Notice" by the Office of the Superintendent of Financial Institutions (OSFI) of Canada concerning "guarantees" or "proof of funds" letters reflecting the name Banco Central del Ecuador that are circulating in international financial markets. Special Alert  8/10/07

State of the Economy Working Paper Published

A working paper in the Finance and Economic Discussion Series (FEDS) on the topic of "News, Noise, and Estimates of the 'True' Unobserved State of the Economy" has been published by the FRB. Abstract; Full Paper  8/10/07

OCC Booklet to Help Banks Fight Child Pornography

In a letter to CEOs of national banks and other interested groups, Comptroller Dugan announced that the OCC is collaborating with The Financial Coalition Against Child Pornography to distribute a booklet, "Internet Merchant Acquisition and Monitoring Best Practices for the Prevention and Detection of Commercial Child Pornography", to national banks and other interested parties. Booklet  8/10/07

Five Counterfeit Cashier's Checks Alerts Issued

The OCC has issued one Alert and the FDIC has issued four Special Alerts regarding counterfeit cashier's checks issued in or bearing the names of the following institutions:

• The First, National Association, Damariscotta, Maine;
• Town Center Bank, Frankfort, Illinois;
• Northmark Bank, North Andover, Massachusetts;
• First National Bank of the Mid-Cities, Bedford, Texas; and
• Jefferson Bank of Missouri, Jefferson City, Missouri.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  8/09/07

Section 312 of the USA PATRIOT ACT Final Rule Issued

FinCEN has issued a Final Rule which implements a key provision of Section 312 of the USA PATRIOT Act by clarifying the risk-based procedures that U.S. financial institutions should use in tailoring their enhanced due diligence to assess the risks of some foreign banking relationships. The rule applies to the accounts of three specific and relatively small categories of foreign banks, including those with an offshore banking license and certain high-risk banks subject to well-recognized international or Treasury determinations. Final Rule  8/09/07

Written Agreement Announced

The FRB has announced the execution of a Written Agreement by and among Marshall BankFirst Corp., Minneapolis, Minnesota; BANKFIRST, Sioux Falls, South Dakota; the South Dakota Department of Revenue and Regulation, Division of Banking; and the Federal Reserve Bank of Minneapolis. Agreement  8/09/07

First Quarter Issue Quarterly Review of Interest Rate Risk Published

OTS has published the First Quarter 2007 issue of the "Quarterly Review of Interest Rate Risk" which features a Q & A with Indymac Bank's Chris Pappalardo on ALM Models. Quarterly Review   8/09/07

IFDP Working Papers Published

Two working papers in the International Finance Discussion Papers (IFDP) series on the topics of "Three Great American Disinflations" and "What Can the Data Tell Us about Carry Trades in Japanese Yen?" have been published by the FRB. Three Abstract; Three Full Paper; What Abstract; What Full Paper   8/09/07

Reserve Position Updated

Treasury has updated the U.S. International Reserve Position Report with data current as of August 3, 2007. Reserve Position  8/09/07

Counterfeit Checks Special Alerts

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

• Indiana First Savings Bank, Indiana, Pennsylvania (Counterfeit Official Checks);
• Financial Bank USA, Dakota Dunes, South Dakota (Counterfeit Bank Checks);
• Union Bank and Trust Company, Lincoln, Nebraska (Counterfeit Cashier's Checks); and
• Paragon National Bank, Memphis, Tennessee (Counterfeit Cashier's Checks).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  8/08/07

Fed Funds Rate Unchanged

The Federal Open Market Committee has announced that it has decided to keep the target for the federal funds rate at 5-1/4 percent. Rate  8/08/07

Unauthorized Banking Alert

The OCC has issued an Alert regarding IFT Bank, N.A. aka IFT N.A., an entity that is not authorized to conduct banking activities, that is representing itself as a national bank on the Internet and is offering banking products and services to the general public. Alert  8/08/07

Business Relationships and Director Interlocks Legal Interpretations Published

The FRB has published two legal interpretations regarding whether or not certain proposed investments, proposed business relationships and director interlocks between investors and a financial institution would cause the investors to be deemed in control of the financial institution for purposes of the Bank Holding Company Act. Legal 1; Legal 2  8/08/07

OTS To Hold Housing Forum

OTS will hold its Second Annual National Housing Forum (NHF) on December 3, 2007, at the National Press Club in Washington, D.C. The NHF will address the outlook for housing markets nationwide, challenges and risks in the home mortgage market, the influence of the capital markets on the housing sector, and key consumer protection issues, including the growing problem of foreclosures, and other issues. NHF  8/08/07

FDIC Issues Stakeholder Letter

A FIL has been issued by the FDIC regarding the publication of a Letter to Stakeholders which reports on the regulator's priorities and activities for the second quarter of 2007. FIL; Letter  8/08/07

Consumer Credit Report Released

The FRB has released the G. 19 Consumer Credit Report for June 2007. G. 19   8/08/07

Monetary Policy FEDS Working Paper Published

A working paper in the Finance and Economic Discussion Series (FEDS) on the topic of "Robust Monetary Policy with Imperfect Knowledge" has been published by the FRB. Abstract; Full Paper  8/08/07

Eight Counterfeit Alerts Issued

The OCC and the FDIC have issued eight Alerts regarding counterfeit accounts payable, cashier's, official and treasurer's checks issued in or bearing the names of the following institutions:

• Bridgehampton National Bank, Bridgehampton, New York (Counterfeit Accounts Payable Checks),
• Colonial American Bank, West Conshohocken, Pennsylvania (Counterfeit Cashier's Checks),
• Keystone Nazareth Bank & Trust Company, Bethlehem, Pennsylvania (Counterfeit Cashier's Checks),
• First Harrison Bank, Corydon, Indiana (Counterfeit Cashier's Checks),
• Affinity Bank of Pennsylvania, Wyomissing, Pennsylvania (Counterfeit Cashier's Checks),
• Bank of the Sierra, Porterville, California (Counterfeit Cashier's Checks),
• Skylands Community Bank, Hackettstown, New Jersey (Counterfeit Treasurer's Checks), and
• Commercial Bank & Trust Company, Paris, Tennessee (Counterfeit Official Checks).

Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  8/07/07

CMP Assessed Against American Express Entities

The FRB and FinCEN have announced the assessment of $20 million in civil money penalties (CMP) against American Express Bank International (AEBI) of Miami, Florida, for violations of the Bank Secrecy Act (BSA). In addition, FinCEN announced a separate $5 million civil money penalty against American Express Travel Related Services Company, Inc., a money services business, located in Salt Lake City, Utah, also for violations of the BSA. Adding in a related Department of Justice Deferred Prosecution Agreement and forfeiture order, the two companies are obliged to pay a total of $70 million. A summary of the orders has been added to BOL's BSA/AML Penalties Page. FRB CMP; FinCEN CMP  8/07/07

Names Added to OFAC List

OFAC has announced that one name has been added to the SDN list in addition to several entities. Information regarding the deletions has been posted on the BOL OFAC page.  8/07/07

FRB Publishes Final Rule in FR for Truth in Lending (Reg Z)

The Board is publishing a final rule amending the staff commentary that interprets the requirements of Regulation Z (Truth in Lending). The Board is required to adjust annually the dollar amount that triggers requirements for certain home mortgage loans bearing fees above a certain amount. In keeping with the
statute, the Board has annually adjusted the $400 amount based on the annual percentage change reflected in the Consumer Price Index that is in effect on June 1. The adjusted dollar amount for 2008 is $561.TXT; PDF  8/07/07

CRA Ratings Released

The FDIC has issued the list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). Ratings   8/07/07

Counterfeit and Stolen Checks Special Alerts

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

• Liberty Bank, Geraldine, Alabama (Counterfeit Cashier's Checks);
• Citizens First Bank, Wartburg, Tennessee (Stolen Certificate of Deposit Interest Checks); and
• First Georgia Banking Company, Franklin Georgia (Counterfeit Official Checks).

Information concerning the counterfeit and stolen checks has been posted on the BOL Alerts & Counterfeits page.  8/06/07

Executive Order Blocks Property of Persons Undermining the Sovereignty of Lebanon

President Bush has issued an Executive Order blocking the property and interests in property of persons determined by the Secretary of the Treasury to have taken, or to pose a significant risk of taking, actions, including acts of violence, that have the purpose or effect of (1) undermining Lebanon's democratic processes or institutions; (2) contributing to the breakdown of the rule of law in Lebanon; (3) supporting the reassertion of Syrian control or contributing to Syrian interference in Lebanon; or (4) infringing upon or undermining Lebanese sovereignty. Since no determinations have been made at the present time, no new entries have been added to the OFAC SDN List. Executive Order  8/06/07

OTS Publishes Proposed Rulemaking for Unfair or Deceptive Acts or Practices in Federal Register

OTS has issued an Advance Notice of Proposed Rulemaking (ANPR) seeking public comment on approaches for the OTS to consider in expanding its regulatory authority to address unfair or deceptive acts or practices (UDAP) in the thrift industry. Public comments are sought on whether, and how, a UDAP regulation could provide greater clarity to supervised institutions and benefit customers by promoting fair and equitable practices in lending, deposit-taking and related activities. ANPR; TXT; PDF  8/06/07

Treasury Issues Economic Update

An U.S. economic update as of August 3, 2007 has been issued by Treasury. Update  8/06/07

Town Hall Meeting Registration Available

Online registration is now available for the last of the NCUA 2007 Outreach Task Force Town Hall meetings to be held on October 2, 2007, in Washington, D.C. Registration  8/06/07

Working Papers Published

A working paper in the Finance and Economics Discussion Series (FEDS) has been published by the FRB on the subject of "Labor Reallocation over the Business Cycle: New Evidence from Internal Migration". The OCC has also published a working paper on the subject of "Loss Given Default of High Loan-to-Value Residential Mortgages". Labor Abstract; Labor Full Paper; Loss Full Paper  8/06/07

Counterfeit Cashier's and Official Checks Alerts

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Winona National Bank, Winona, Minnesota. In addition, the FDIC has issued two Special Alerts regarding counterfeit official checks bearing the names of Colony Bank of Dodge County, Eastman, Georgia, and Farmers & Merchants Bank, Eatonton, Georgia. Information concerning the counterfeit cashier's and official checks has been posted on the BOL Alerts & Counterfeits page.  8/03/07

Order of Prohibition Issued

The FRB has issued a Consent Order of Prohibition against Richard N. DeLong, a former chief lending officer, director, and institution-affiliated party of Mid America Bank and Trust Company, Dixon, Missouri. The action resulted from his alleged participation in unsafe and unsound practices and breaches of fiduciary duty to the Bank involving the Bank's granting of loans to alleged nominee borrowers and the granting of loans based on allegedly false purpose statements, to the alleged misapplication of loan proceeds, and to the alleged submission of false and misleading information to the Bank's board of directors. Order  8/03/07

New Electronic Interpretations and Actions Announced

The OCC has announced and posted online the July 2007 New Electronic Interpretations and Actions. Electronic  8/03/07

Seminar for Thrift Financial Managers Scheduled

OTS will hold a seminar for Thrift Financial Managers which is designed for chief executive officers, chief financial officers, controllers, or others responsible for accounting and financial reporting. The agenda focuses on various technical accounting issues, and regulatory capital standards. The sessions are scheduled for September 11 in Denver, Colorado; September 13 in Los Angeles, California; and September 17 in Seattle, Washington. Seminar  8/03/07

FDIC and China Sign MOU

A Memorandum of Understanding (MOU) has been signed by the FDIC and the People's Republic of China. The is designed to forge a formal international working relationship between the two entities, with the purpose of developing expanded methods of interaction on economic and financial issues. MOU  8/03/07

Reg Z Loan Disclosures Triggers Adjusted

The FRB has published the amendment to Reg Z regarding the annual adjustment of the dollar amount that triggers additional disclosure requirements under the Truth in Lending Act for home mortgage loans that bear rates or fees above a certain amount. The adjustments are effective January 1, 2008. Adjustments  8/02/07

Cross-Shipping Waiver Request Forms Available

In limited circumstances, the Federal Reserve Banks will waive the cross-shipping fees that went into effect on July 2, 2007. Customers who experience special circumstances that they believe qualify for a waiver should notify their Federal Reserve cash office within 5 days of the onset of the situation and submit the waiver request form. Waiver Information; Form  8/02/07

314a Fact Sheet Update

Fin CEN has updated the 314a Fact Sheet and the Law Enforcement Information Sharing with the Financial Industry Report with data current as of July 31, 2007. 314a; Report  8/02/07

NCUA Publishes Final Rule in FR for Records Preservation Program and Appendices—Record Retention
Guidelines

This final rule clarifies the meaning of catastrophic act and the requirements for preserving vital records. The agency also provides a new Appendix B that offers guidelines for developing a program to prepare for a catastrophic act.TXT; PDF  8/02/07

TBAC Meeting Minutes Released

Treasury has released the minutes of the July 31, 2007 meeting of the Minutes of the Meeting of the Treasury Borrowing Advisory Committee of the Securities Industry and Financial Markets Association (TBAC). Minutes   8/02/07

August FedFlash Online

FRB Financial Services has posted online the August 1, 2007 issue of FedFlash which contains articles on accessing Technical and Service-Setup Support starts with having current CCC telephone numbers, the Treasury check data verification service, the released date for the Thomas Jefferson $1 coin, a savings bond seminar series, and changes to consolidated deadlines. FedFlash  8/02/07

Summer 2007 Community Liaisons Published

OTS has published the Summer 2007 issue of Community Liaisons, the regulator's community affairs newsletter. Community Liaisons  8/02/07

Foreign Exchange Rates Report Issued

The G.5 Foreign Exchange Rates Report for July 2007 has been issued by the FRB. G.5   8/02/07

Counterfeit Money Orders Alert

The OCC has issued an Alert regarding counterfeit money orders issued in the name of The Canandaigua National Bank & Trust, Canandaigua, New York. Information concerning the counterfeit money orders has been posted on the BOL Alerts & Counterfeits page.  8/01/07

Fraudulent Correspondence Alert

An Alert has been issued by the OCC regarding fraudulent correspondence that appears to be from the OCC regarding funds controlled by the European Commission. The letter is being sent to United States bank customers in an attempt to elicit funds from them. Alert  8/01/07

Mortgage Banking Bulletin and CEO Letter Issued

OTS has issued a Regulatory Bulletin and a CEO Letter regarding Mortgage Banking. Bulletin; CEO Letter  8/01/07

NCUA Proposes Rulemaking for Permissible Foreign Currency Investments for Federal and Corporate Credit Unions

NCUA is considering whether to amend its investment rules to permit natural person federal credit unions
(FCUs) and corporate credit unions (corporates) to make certain investments denominated in foreign currency.TXT; PDF  8/01/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as of July 27, 2007. Reserve Position  8/01/07

Receivables and Auto Loans Report Issued

The G.20 Owned and Managed Receivables Outstanding and Auto Loans: Terms of Credit Report for May 2007 has been issued by the FRB. G.20  8/01/07

OFAC List FIL

The FDIC has issued an FIL regarding previously announced changes to the OFAC SDN List. Information concerning the changes was posted in BOL Top Stories on July 25, 2007. FIL  7/31/07

Second Quarter Asset and Liability Price Table Released

The OTS has released the Asset and Liability Price Table for the second Quarter 2007. Table  7/31/07

FAS 159 and Risk-Based Capital-Market Risk Bulletin Issued

The OCC has issued a Bulletin regarding the Financial Accounting Standards Board Statement No. 159 (FAS 159) and compliance with the Market Risk Capital Rule. Bulletin  7/30/07

Municipal Securities Dealer and Transfer Agent CEO Letter Issued

The OTS has issued a CEO Letter regarding notification requirements for saving associations that are conducting either municipal securities and/or transfer agent activities. CEO Letter  7/30/07

FinCEN Director Freis Addresses Pan-American Congress On Terrorism

In a presentation at the Pan-American Congress on Asset Laundering and Financing Terrorism Prevention and Control in Cartagena De Indias, Columbia, FinCEN Director Freis discussed the various programs utilized by the to address the problems. Speech  7/30/07

FRA 23A and 9 Legal Interpretations Released

The FRB has released two legal interpretations regarding an exemption from section 23A of the Federal Reserve Act (FRA) and Regulation W for certain covered transactions between a bank and its affiliates in connection with the bank's securities borrowing transactions and the approval of an acquisition by a bank of equity securities under section 9 of the FRA solely for the purpose of hedging the bank's exposure from equity derivative transactions with third parties. 23A; 9  7/27/07

Regulators Announce Availability of 2006 Community Development Lending Data

The four federal banking agency members of the Federal Financial Institutions Examination Council (FFIEC) have announced the availability of data on small business, small farm, and community development lending reported by certain commercial banks and savings institutions, pursuant to the Community Reinvestment Act (CRA). A disclosure statement in electronic form is available for each reporting commercial bank and savings institution. FFIEC PR; Lending Data   7/27/07

CAC 2008 Meeting Dates Announced

The dates of the meetings to be held in 2008 by the Federal Reserve Board Consumer Advisory Council (CAC) have been announced. Dates  7/27/07

Jefferson Presidential Coin Information Released

FRB Financial Services has released information regarding the distribution dates of the Thomas Jefferson Presidential $1 Coin. Jefferson Coin   7/27/07

Two Counterfeit Check Alerts Issued

The OCC has issued two Alerts regarding counterfeit cashier's and official checks issued in the names of Hiawatha National Bank, Hager City, Wisconsin, and KeyBank National Association, Niagara Falls, New York. Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  7/26/07

$50,000 CMP Issued

The FRB has announced the issuance of a consent Order of Prohibition and Order of Assessment of Civil Money Penalty (CMP) in the amount of $50,000 against Josephine Wang, a former director, controlling shareholder and institution-affiliated party of Asian Bank, Philadelphia, Pennsylvania, and its parent, Asian Financial Corporation. The Orders were based on Ms. Wang's alleged participation in unsafe and unsound practices, breaches of fiduciary duty and violations of law and regulation by repeatedly overdrawing her accounts at the bank and depositing checks which she knew would be dishonored to cover overdrafts. CMP  7/26/07

Market Capital Rule SR Letter Issued

A SR Letter has been issued by the FRB that reminds banking organizations that reporting an amount of gross trading assets and liabilities that equals 10 percent or more of total assets, or $1 billion or more, may subject a banking organization to the market risk capital rule. SR Letter  7/26/07

HOEPA Public Hearing Transcript Released

The transcript of the June 14, 2007 HOEPA Public Hearing has been released by the FRB. Transcript  7/26/07

Subprime Statement SR Letter and Bulletin Issued

The FRB has issued a SR Letter and the OCC has issued a Bulletin regarding the previously announced Statement on Subprime Mortgage Lending (Subprime Statement) to address issues and questions related to certain adjustable-rate mortgage (ARM) products marketed to subprime borrowers. The Subprime Statement was issued by the federal financial institutions regulatory agencies and posted in the July 2, 2007 BOL Top Stories. SR Letter; Bulletin  7/26/07

Check 21 Business Value Calculator Online

FRB Financial Services has posted online a Check 21 Business Value Calculator that allows financial institutions to determine the business case for Check 21-enabled products. Value Calculator  7/26/07

Beige Book Updated

The FRB has updated the Beige Book with the addition of data current as of July 16, 2007. Beige Book   7/26/07

Hizballah Related Entities Added To OFAC List

Treasury has added members of Hizballah's support network to the OFAC SDN List by designating five entities including the Iran-based Martyrs Foundation, its U.S. branch, and the finance firm Al-Qard al-Hassan (AQAH) as SDGTs along with two individuals. Information regarding the new designations has been posted on the BOL OFAC page.  7/25/07

Unauthorized Use of Bank Name Alert Issued

The OCC has issued an Alert regarding the unauthorized use of the name of Cumberland Valley National Bank & Trust Company of East Bernstadt, Kentucky, by a debit card Web site. Alert   7/25/07

Discount Rate Meetings Minutes Released

The Federal Reserve Board has released the minutes of its discount rate meetings for May 21 and June 25, 2007. Minutes  7/25/07

IFDP and FEDS Working Papers Published

Two working papers have been published by the FRB, one in the International Finance Discussion Papers (IFDP) series on "Oil Shocks and External Adjustment" and the other in the Finance and Economics Discussion Series (FEDS) series on "Employer-to-Employer Flows in the United States: Estimates Using Linked Employer-Employee Data". Oil Shocks Abstract; Oil Shocks Full Paper; Employer Abstract; Employer Full Paper  7/25/07

International Reserve Position Update.

The U.S. International Reserve Position Report has been updated by Treasury with data current as of July 20, 2007. Reserve Position  7/25/07

CRA Ratings Released

OTS has released the ratings received by savings associations that were recently evaluated for compliance with the CRA. CRA Ratings  7/24/07

Reg T Risk-Based Capital Adequacy Guidelines Exemption Granted

The FRB has released a legal opinion regarding the granting of an exemption to the regulator's Risk-Based Capital Adequacy Guidelines concerning the regulatory capital treatment of the Regulation T margin loans. Legal Opinion  7/24/07

Cash Letter and Deposit Availability Changes Announced

Availability changes, effective August 20, 2007, for Check 21 image cash letter and paper-to-image deposits resulting from the upcoming San Francisco to Los Angeles check processing shift have been announced by the FRB. Availability Changes   7/23/07

Enforcement Actions Released

The FDIC has released the list of twenty-three administrative enforcement actions taken against banks and individuals in May 2007. Enforcement Actions  7/23/07

Unauthorized Banking Special Alert

A Special Alert has been issued by the FDIC regarding the publication by the Cayman Islands Monetary Authority (CIMA) of a list of financial entities, whose Web sites note a Cayman Island address, that neither registered nor licensed to undertake activities regulated by the CIMA who may be operating offering banking or other financial services to individuals, businesses or financial institutions located in the United States. Special Alert;   7/23/07

Agencies Issue Basel II Implementation Agreement

The federal financial institution regulators have announced the reaching of an agreement regarding the implementation of Basel II in the United States. The agreement resolves major outstanding issues and will lead to finalization of a rule implementing the advanced approaches for computing large banks' risk-based capital requirements. FRB PR; OCC NR; FDIC PR; OTS PR  7/23/07

Enforcement of BSA AML Requirements

A statement has been issued by the federal financial regulatory agencies regarding the their policies for enforcing specific anti-money laundering (AML) requirements of the Bank Secrecy Act (BSA). Statement; FRB SR; OCC NR; FDIC PR; OTS PR; NCUA PR; FinCEN PR  7/20/07

Enforcement Orders Issued

The FRB has issued a consent Order of Prohibition and Order to Cease and Desist against Rick W. Bouse, the former president and director of Progress Bank of Missouri, Sullivan, Missouri, and a former institution-affiliated party of Progress Bancshares, Inc. The orders were based on based on Mr. Bouse's alleged participation in unsafe and unsound practices and alleged breaches of fiduciary duty to the bank. Orders  7/20/07

FOMC Minutes Released

The Federal Reserve Board and the Federal Open Market Committee (FOMC) have released the minutes of the Committee meeting held on June 27-28, 2007. Minutes  7/20/07

Securities Settlement Systems Compliance Assessment Issued

The FRB has issued an assessment of compliance of the Fedwire Securities Service and recommendations for securities settlement systems. Assessment  7/20/07

Congress Receives Presidential Coin Report

The FRB has presented to Congress the agency's Annual Report to the Congress on the Presidential $1 Coin Program. Coin Program   7/20/07

President Issues Iraq Executive Order

The President has issued a new Executive Order that blocks the property and interests in property of persons determined by the Secretary of the Treasury to have committed or to pose a significant risk of committing an act or acts of violence that have the purpose or effect of (1) threatening the peace or stability of Iraq or the Government of Iraq, or (2) undermining efforts to promote economic reconstruction and political reform in Iraq or to provide humanitarian assistance to the Iraqi people. No names of individuals or entities were listed at this time and the OFAC list remains unchanged. Order  7/19/07

Market Risk Capital FIL Issued

A FIL has been issued by the FDIC regarding market risk capital rules. Banks that report a significant amount of trading assets on the balance sheet or increase the percentage of assets reported as trading assets are reminded that they may be subject to the regulator's market risk capital requirement. FIL  7/19/07

Bulletin Issued Regarding Proposed CRA Q & As

The OCC has issued a Bulletin regarding the previously announced Community Reinvestment Act (CRA) proposed 2007 interagency questions and answers (Q & As). Information concerning the proposed Q & As was posted in the July 12, 2007 BOL Top Stories. Proposed Q & A  7/19/07

Monetary Policy Report Presented To Congress

FRB Chairman Bernanke testified before the House Committee on Financial Services and presented the agency's Semiannual Monetary Policy Report to Congress. He reviewed the current economic situation and the outlook, beginning with developments in the real economy and the situation regarding inflation and commented on issues related to lending to households and consumer protection. Testimony; Monetary Policy Report  7/19/07

International Reserve Position Report Update

Treasury has updated the U.S. International Reserve Position Report with data current as of July 13, 2007. Position Report  7/19/07

Counterfeits Alert Issued

An Alert has been issued by the OCC regarding counterfeit money orders and official checks issued in the name of The American National Bank, Sidney, Nebraska. Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  7/18/07

CRA Evaluations Released

The OCC has released the rating received by twenty-eight national banks recently examined for compliance with the Community Reinvestment Act (CRA). Ratings  7/18/07

314(a) Fact Sheet Update

FinCEN has updated the 314(a) Fact Sheet and the Law Enforcement Information Sharing Report with the Financial Industry Report with data current as of July 17, 2007. 314(a); Information Sharing  7/18/07

Supervision of Subprime Mortgage Lenders Pilot Project

Three federal agencies, the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators have announced that beginning in the fourth quarter 2007 they will launch an innovative pilot project to conduct targeted consumer-protection compliance reviews of selected non-depository lenders with significant subprime mortgage operations. FRB PR; OTS PR; FTC NR  7/18/07

Industrial Production Report Issued

The FRB has issued the G.17 Industrial production and Capacity Utilization Report for June 2007. G.17  7/18/07

May TIC Data Released

Treasury has released the May 2007 Treasury International Capital (TIC) data. TIC  7/18/07

Special Alerts Issued

The OCC has issued five Special Alerts regarding counterfeit and stolen cashier's checks, money orders and temporary checks bearing the names of the following institutions:

• Bank of Walterboro, Walterboro, South Carolina (Counterfeit Cashier's Checks),
• Peoples Bank and Trust Company, McPherson, Kansas (Counterfeit Cashier's Checks),
• First Community Bank of Crawford County, Van Buren, Arkansas (Stolen Cashier's Checks, Money Orders and Temporary Checks),
• Great Western Bank, Watertown, South Dakota (Counterfeit Cashier's Checks), and
• Oshkosh Bank, Oshkosh, Wisconsin and The American National Bank of Beaver Dam, Beaver Dam, Wisconsin (Counterfeit Cashier's Checks).

Information concerning the counterfeit and stolen items has been posted on the BOL Alerts & Counterfeits page.  7/17/07

August HOEPA Rates Established

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in August 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, you use the yield in effect on the 15th of the month that precedes the month you received the application. Since July 15 was a Sunday, use the rate on July 13, the business day immediately preceding the 15th. Weekly H.15  7/17/07

Enforcement Action Released

The OCC has released the new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks. Enforcement Actions  7/17/07

"Help With My Bank" Web Site Launched

The OCC has launched a new Web site named "Help With My Bank" dedicated to providing answers and assistance to national bank customers. The site will provide answers to common questions based on thousands of calls made to the OCC Customer Assistance Group each year. Help With My Bank  7/17/07

FDIC To Aid At Risk Customers

The FDIC and the NeighborWorks Center for Foreclosure Solutions have entered into a partnership to promote foreclosure-prevention strategies for consumers at risk of foreclosure from subprime and nontraditional mortgage lending. Partnership  7/17/07

Community Bank Strategic Lending Working Paper Published

The OCC has published a working paper on the topic of "Community Bank Strategic Lending Choices and Performance". The paper examines whether the lending strategy chosen by any community bank is a key determinant of its survival. Working Paper  7/17/07

National Average Cost of Funds Reports Issued

NCUA has issued the Current and Historical National Average Cost of Funds Ratio to OTS Regulated SAIF Insured Institutions Reports. CurrentHistorical  7/17/07

Final Rule to Amend Mgmt Interlocks Published in FR

The regulators are amending their rules regarding management interlocks to implement section 610 of the Financial Services Regulatory Relief Act of 2006 and to correct inaccurate cross-references. TXT; PDF  7/16/07

Risk-Based Money Laundering and Terrorist Financing Guidance

The Financial Action Task Force (FATF) has developed a Guidance on the Risk-Based Approach to combating Money Laundering and Terrorist Financing. The Guidance supports the development of a common understanding of what the risk-based approach involves, outlines the high-level principles involved in applying the risk-based approach, and indicates good public and private sector practice in the design and implementation of an effective risk-based approach.
Guidance   7/16/07

Loan Fair Value Practices Working Paper

A working paper in the Finance and Economic Discussion Series (FEDS) has been published by the FRB on the topic of "Bank Commercial Loan Fair Value Practices".
Abstract;
Full Paper   7/16/07

Credit Card Profitability Report

The FRB has delivered its annual report to Congress on the profitability of creditcard operations of depository institutions. The report is required by the provisions of the Fair Credit and Charge Card Disclosure Act of 1988 and contains an analysis of the profitability over time of depository institutions' credit card activities by examining the performance of larger institutions that specialize in such activities and of a sample of smaller commercial banks that offer a range of credit services.
Report   7/16/07

Early Savings Bonds Redemptions Authorized

FRB Financial Services has announced that as a result of recent severe weather, savings bond agents in designated counties of Kansas, Oklahoma, and Texas are authorized to redeem EE and I savings bonds less than one year old presented during the months of July and August 2007. Redemptions  7/13/07

Rules Proposed To Reduce Regulatory Burden

The OCC has issued a Bulletin regarding the previously announced proposed rules to reduce unnecessary regulatory burden, to update certain rules, and to make certain technical, clarifying, and conforming changes to its regulations. Information concerning the proposed rules was posted in the July 3, 2007 BOL Top Stories. Bulletin; Purposed Rule  7/13/07

FinCEN Launches New Web Page

A new Regulatory Efficiency and Effectiveness Initiative Web page has been launched by FinCEN. The purpose of the page is to provide information to the public regarding the efforts of the agency to administer and implement a Bank Secrecy Act regulatory environment that is both efficient for the regulated industries and effective for law enforcement, analytical, and regulatory purposes. Web Page   7/13/07

ComE-IN Meeting to Discuss Subprime Mortgages

The FDIC has announced a meeting of the Advisory Committee on Economic Inclusion (ComE-IN) at 9:00 a.m. on Monday, July 16, 2007. "The Subprime Mortgage Situation - How Did We Get Here and What Can We Do?" will be the focus of the meeting which is open to the public. Participants will discuss efforts to help troubled borrowers, examine the role of mortgage brokers and discuss the issues associated with crafting national lending standards. Meeting Information; Agenda  7/13/07

Profits and Balance Sheets

"Profits and Balance Sheet Developments at U.S. Commercial Banks in 2006" in the topic of the feature article in the July 12, 2007 issue of the Federal Reserve Bulletin. Bulletin  7/13/07

New CRA Q&A Comments Sought

The federal bank and thrift regulatory agencies have requested public comment on a series of proposed new and revised interagency questions and answers (Q&A) pertaining to the Community Reinvestment Act (CRA). Comments Sought; FRB PR; OCC NR; Comptroller's Statement; FDIC PR; FDIC FIL; OTS PR   7/12/07

OFAC CMPs Announced

Treasury has announced the civil money penalties (CMPs) recently assessed against individuals and entities for violations of various OFAC Sanctions Programs. No financial institutions were listed the most recent report. CMPs  7/12/07

2007 Census Data Added To Geocoding System

The FFIEC has added the 2007 Census Data to its Geocoding System. Geocoding System; Census Data  7/12/07

July FedFocus Published

Federal Reserve Financial Services has published the July 2007 issue of FedFocus. The theme of the issue is, "Industry catalyst for electronic payments innovations" and features articles regarding the rewards of Check 21; managing cross shipping with cost-saving tools; moving to an all-electronic check environment; and pumping up your financial superhero powers with FedACH Origination Kit. FedFocus  7/12/07

OCC Chief Counsel Discusses Wachovia Case

In a presentation before the New York Bankers Association, Chief Counsel and First Senior Deputy Comptroller Julie L. Williams discussed the Supreme Court's decision in Watters v. Wachovia Bank. Speech  7/12/07

Reserve Assets Reports Issued

The FRB has issued the 3.12 U.S. Reserve Assets and 3.13 Foreign Official Assets Held at Federal Reserve Banks Reports for June 2007. Reports  7/12/07

New FedReceipt Routing Numbers Announced

FRB Financial Services has announced new FedReceipt routing numbers that are effective the business day of July 16, 2007. Routing Numbers  7/11/07

BSA/AML C& D Order Issued

The National Credit Union Administration (NCUA) has issued an administrative cease and desist (C&D) order compelling Garden Savings Federal Credit Union to implement an adequate Bank Secrecy Act/Anti-Money Laundering (BSA/AML) program. C&D  7/11/07

OCC and Puerto Rico Agree to Share Consumer Complaints

A Memorandum of Understanding has been signed by the OCC and the Office of the Commissioner of Financial Institutions for the Commonwealth of Puerto Rico provides a mechanism for sharing consumer complaints between the two agencies. The agreement, based on a template created by the OCC and the Conference of State Bank Supervisors, is the twentieth such agreement entered into by the OCC. Agreement  7/11/07

Bernanke On Inflation

In a presentation At the Monetary Economics Workshop of the National Bureau of Economic Research Summer Institute in Cambridge, Massachusetts, FRB Chairman Bernanke discussed the relationships among monetary policy, inflation, and the public's expectations of inflation. He also gave an overview of the way the FRB staff forecasts inflation, including discussion of how they incorporate information about expected inflation into the forecasting process. Speech  7/11/07

Supplement to FR Bulletin Published

The FRB has published the June 2007 Supplement to the Federal Reserve Statistical Bulletin. Index; Supplement  7/11/07

FRB Order of Prohibition Issued

The issuance of a Final Decision and Order of Prohibition against Michelle M. Moore, a former employee of RBC Centura Bank, Rocky Mount, North Carolina, has been announced by the FRB. The order prohibits Ms. Moore from participating in the conduct of the affairs of any financial institution or holding company and orders her to make restitution to the bank in the sum of $59,823.53. Order  7/10/07

NCUA Prohibition Orders Issued

The National Credit Union Administration (NCUA) has issued orders prohibiting the following individuals from participating in the affairs of any federally insured financial institution:

• Margaret H. Burton, former manager of Progressive Teachers Federal Credit Union Chattanooga, Tennessee;
• Louise Jacobson, former president of Peoples and Employees Federal Credit Union, Fort Wayne, Indiana; and
• Joseph E. Pogue and Jean T. Pogue, former officials of Unified Singers Federal Credit Union of Thomasville, Georgia.

Burton Order; Jacobson Order; Joseph Pogue Order; Jean Pogue Order  7/10/07

Authorized Activities

The OCC has released and posted online two publications, "2006 Significant Legal, Licensing, and Community Development Precedents for National Banks" and "Activities Permissible for a National Bank, Cumulative: 2006," that provide the latest OCC interpretations and decisions authorizing activities for national banks and their operating subsidiaries. Significant; Activities  7/10/07

May Consumer Credit Report Released

The G. 19 Consumer Credit Report for May 2007 has been released by the FRB. G.19  7/10/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position report with data current as of July 6, 2007. Reserve Position  7/10/07

Flood Relief FILs Issued

The FDIC has issued two FILs announcing a series of steps intended to provide regulatory relief to financial institutions and to facilitate recovery in areas of Nebraska, Missouri, Kansas, Oklahoma, and Texas. FIL 1; FIL 2  7/09/07

CRA Rating Released

The FDIC has released the list of state non-member banks recently evaluated for compliance with the Community Reinvestment Act (CRA) and the ratings they received. CRA Ratings  7/09/07

MSB Registration List Updated

FinCEN has updated the MSB Registration List with data current as of June 6, 2007. MSB List  7/09/07

NCUA Extends Comment Period for Proposed Rulemaking on Bylaws

The NCUA Board recently issued a proposed rule to reincorporate the Federal Credit Union (FCU) Bylaws
into NCUA regulations that provided a 60-day comment period. 72 FR 30984
(June 5, 2007). NCUA received a request to extend the comment period and the NCUA Board has decided to extend it for an additional two weeks.TXT; PDF  7/09/07

Economic Update Released

Treasury has released its July 7, 2007 Economic Update that indicates that 132,000 new jobs were created in June and over 2 million new jobs have been created in the past 12 months. Economic Update  7/09/07

$3.6 Million For Economically Distressed Native American Communities

Treasury has announced that awards totaling $3,632,292 to 19 organizations serving Native American or Alaskan Native communities in 12 states have been made through the agency's Community Development Financial Institutions (CDFI) Fund Native American Assistance Program. Awards; CDFI  7/09/07

Nontraditional Mortgage Products Information For Consumers

The OCC has posted online illustrations of consumer information for nontraditional mortgage products that can be downloaded and printed. The illustrations of consumer information are intended to help institutions implement the consumer protection portion of the Interagency Guidance on Nontraditional Mortgage Product Risks previously published by the federal financial regulators.

National banks are encouraged to make the information, which is printed in both English and Spanish, available to their customers.   7/06/07

Counterfeit Special Alerts - 27 and Counting

So far this week the FDIC has issued twenty-seven Special Alerts regarding counterfeit items. The latest five concern counterfeit checks and money orders bearing the names of the following institutions:

• Commerce Bank, Geneva, Minnesota (Counterfeit Money Orders);
• Brickyard Bank, Lincolnwood, Illinois (Counterfeit Cashier's Checks);
• Chester National Bank, Chester, Illinois, and Chester National Bank of Missouri, Perryville, Missouri (Counterfeit Cashier's Checks);
• Bank of Greeleyville, Greeleyville, South Carolina (Counterfeit Cashier's Checks); and
• First Community Bank, National Association, Lexington, South Carolina (Counterfeit Checks).

Information regarding all twenty-seven of the counterfeit items has been posted on the BOL Alerts & Counterfeits page.
  7/06/07

Final Rule on Consumer Receipts (Reg E) published in FR

The FRB has issued a final rule excepting transactions of $15 or less from requirement that receipts be made available to consumers for transactions at electronic terminals. TXT; PDF  7/05/07

Ten More Counterfeit Special Alerts

The FDIC has issued ten new Special Alerts regarding counterfeit checks and money orders for a total of twenty-two in the last two days. The new items bear the names of the following institutions:

• First Tuskegee Bank, Tuskegee, Alabama (Counterfeit Official Checks);
• Chevy Chase Bank, F.S.B., McLean, Virginia (Counterfeit Cashier's Checks);
• First State Bank, New Braunfels, Texas (Fraudulent Cashier's Checks);
• Cornhusker Bank, Lincoln, Nebraska (Counterfeit Cashier's Checks);
• CommunityAmerica Credit Union, Lenexa, Kansas (Counterfeit Official Checks);
• Fitchburg Savings Bank, FSB, Fitchburg, Massachusetts (Counterfeit Official Checks);
• First Mutual Bank, Bellevue, Washington (Counterfeit Cashier's Checks);
• SouthwestUSA Bank, Las Vegas, Nevada (Counterfeit Cashier's Checks);
• Umpqua Bank, Roseburg, Oregon (Counterfeit Cashier's Checks); and
• American Bank, Eau Claire, Wisconsin (Alliance Bank, Lake City, Minnesota) (Counterfeit Cashier's Checks)

Information regarding the counterfeit items has been posted on the BOL Alerts & Counterfeits page.   7/05/07

Consumer Compliance Handbook updated

The FRB has updated its Consumer Compliance Handbook with the addition of a new handbook chapter, VI. Community Reinvestment Act, regarding the recently issued guidance on Community Reinvestment Act (CRA) examinations. The new chapter also provides guidance on the sampling of CRA data, community contact procedures, and the writing of public evaluations.
Handbook   7/05/07

FDIC Fraudulent Email Reminder

The FDIC has issued a Special Alert to remind financial institutions that the regulator is continuing to receive reports that fraudulent emails that appear to have been sent by the FDIC are being received by institutions and individuals.
Special Alert
  7/05/07

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 information current as of July 3, 2007.Fact Sheet; Report   7/05/07

2007 BOS Information

OTS is conducting the 2007 Branch Office Survey (BOS). The Survey form, an introduction letter, and instructions for completing the Survey are available online. The filing deadline is Monday, August 27, 2007. Letter; Survey; Instructions   7/05/07

NCUA Town Hall Meeting Registration

Registration for the NCUA Outreach Task Force "Town Hall" meeting to be held in Denver, Colo., on Wednesday, August 15, 2007 is available online. Town Hall;
Registration   7/05/07

Twelve Counterfeit Special Alerts

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

• Venture Bank, Bloomington, Minnesota (Counterfeit Cashier's Checks);
• Danversbank, Danvers, Massachusetts (Counterfeit Official Cashier's Checks);
• Greystone Bank, Raleigh, North Carolina (Counterfeit Cashier's Checks);
• First Texas Bank, Killeen, Texas (Counterfeit Money Orders);
• The Lenox National Bank, Lenox, Massachusetts (Counterfeit Official Checks);
• Ameriana Bank, SB (formerly named Ameriana Savings Bank), New Castle, Indiana (Counterfeit Cashier's Checks);
• 1st Bank Yuma, Yuma, Arizona (Counterfeit Cashier's Checks);
• Meridian Bank Texas, Fort Worth, Texas (Counterfeit Cashier's Checks);
• Parkvale Savings Bank (known as Parkvale Bank), Monroeville, Pennsylvania (Counterfeit Cashier's Checks);
• First Century Bank, National Association, Bluefield, West Virginia (Counterfeit Cashier's Checks);
• Lone Star Bank, Houston, Texas (Counterfeit Cashier's Checks); and
• Apollo Trust Company, Apollo, Pennsylvania (Counterfeit Treasurer's Checks).

  7/03/07

Forms 031 and 041 Online with Instructions

The FFIEC has posted online Forms 031 and 041 and the instructions for the completion of the forms. Form 031; Form 041 Instructions  7/03/07

OCC Proposes Rulemaking for Regulatory Rule Amendments

The Office of the Comptroller of the Currency (OCC) is proposing to revise its rules in order to reduce
unnecessary regulatory burden, to update certain rules, and to make certain technical, clarifying, and
conforming changes to its regulations. TXT; PDF  7/03/07

New CRA Bulletin Issued

OTS has issued a new Regulatory Bulletin concerning the revision of Examination Handbook Section 1500 regarding the Community Reinvestment Act (CRA) and the rescission of Thrift Bulletin 85. Bulletin  7/03/07

Community Bank Directors Workshop on Credit Risk

The OCC will hold a credit risk workshop on July 31, 2007 in St. Louis geared primarily for outside directors of national community banks with assets of less than $1 billion. Registration  7/03/07

FILs Regarding OFAC

The FDIC has issued two FILs regarding previously announced changes made to the SDN list by OFAC. Information regarding the changes was posted in the BOL Top Stories on June 4 and June 11, 2007. FIL 1; FIL 2  7/03/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as of June 29, 2007. Reserve Position  7/03/07

June Foreign Exchange Rates

The G.5 Foreign Exchange Rates Report for June 2007 has been posted online by the FRB. G.5  7/03/07

OFAC Issues New Palestinian Authority Guidelines

New guidelines on dealing with the Palestinian Authority have been issued by OFAC regarding the scope of General License No. 7 of June 20, 2007, which authorizes all approved transactions with the Palestinian Authority. Guidelines  7/02/07

Agencies Issue Subprime Lending ARM Final Statement

The federal financial regulatory agencies have issued a final statement on subprime mortgage lending to address issues relating to certain adjustable-rate mortgage (ARM) products that can cause payment shock. The statement describes the prudent safety and soundness and consumer protection standards that institutions should follow to ensure borrowers obtain loans they can afford to repay and includes a fully indexed, fully amortized qualification for borrowers and cautions on risk-layering features. Statement; FRB PR; OCC NR; FDIC PR; OTS PR; NCUA PR  7/02/07

C&D Order Issued

The OCC has issued a Stipulation and a Cease and Desist (C&D) Order against Commerce Bank, National Association, Philadelphia, Pennsylvania. Stipulation; C&D  7/02/07

New Electronic Interpretations and Actions Announced

The OCC has announced June 2007 New Electronic Interpretations and Actions. Interpretations and Actions  7/02/07

Retail Payments Fraud Roundtable Discussion Summary

The FRB has issued a summary of the March, 2007, roundtable discussion on retail payments fraud. Summary  7/02/07

Bank Trading Revenues Set Record

The OCC's Quarterly Report on Bank Derivatives Activities for the First Quarter 2007 indicates that insured U.S. commercial banks posted a record $7 billion in trading revenues during the first quarter of 2007, 24 percent higher than the first quarter of 2006, and 82 percent higher than the fourth quarter of 2006. Quarterly Report  7/02/07

April 2007 Finance Companies Receivables Report

The April, 2007, G. 20 Finance Companies Owned and Managed Receivables and Auto Loans: Terms of Credit Report has been released by the FRB. G.20  7/02/07

July FedFlash Published

FRB Financial Services has published and posted online the July 1, 2007, issue of FedFlash. The issued contains articles regarding security token renewals, the online resource center for account management information, registration for the check adjustments webinar and my FedDirectory. FedFlash  7/02/07

OTS Strategic Plan Released

OTS has released its 2007-2012 Strategic Plan sets forth the agency's vision and mission statements and outlines objectives and strategies that will be used to accomplish its goals. Strategic Plan  7/02/07

ComE-IN Meeting Scheduled

The FDIC will host its second meeting of the Advisory Committee on Economic Inclusion (ComE-IN) on July 16, 2007. The meeting is open to the public and the agenda will focus on the subprime mortgage issues. ComE-IN was formed to provide advice and recommendations on initiatives to expand access to banking services by underserved populations. Meeting Notice; Agenda  7/02/07

OTS 2006 Fact Book Published

The 2006 Fact Book which contains the annual update to the compilation of statistics concerning the OTS-Regulated thrift industry had been published. Fact Book  7/02/07

Counterfeit Cashier's Checks Special Alerts

The FDIC has issued two Special Alerts regarding counterfeit cashier's checks bearing the names of Acacia Federal Savings Bank, Falls Church, Virginia; and Altura State Bank, Altura, Minnesota. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  6/29/07

Names Removed From OFAC List

OFAC has announced that two names with the SDNT designation have been removed from the SDN List. Information regarding the deletions has been posted on the BOL OFAC page.  6/29/07

Don't Forget the Payroll Cards Rules Mandatory Compliance Date

The compliance date for the new Reg E provisions regarding payroll cards is July 1, 2007. For more information read the article by BOL Gurus Andy Zavoina and John Burnett, "New Reg E Rules on Check Conversions, Payroll Cards".  6/29/07

Reg E Final Rules Exemption of Certain Consumer Receipts

The FRB has issued a final rule excepting transactions of $15 or less from requirement that receipts be made available to consumers for transactions at electronic terminals.Final Rule  6/29/07

Unauthorized Banking Special Alert

The FDIC has issued a Special Alert after being notified by the Office of the Superintendent of Financial Institutions (OSFI) of Canada that Golden Merchant Bank, Verdun, Quebec, and Dexia Financial Trust, Brantford, Ontario, may be conducting unauthorized banking operations in the United States and Canada. Special Alert  6/29/07

Prompt Corrective Action Q&A Issued

The National Credit Union Administration (NCUA) has posted the questions and answers discussed at last week's monthly NCUA Board meeting by the Board and staff pertaining to prompt corrective action (PCA) reform. Q&A  6/29/07

TFR Instruction Manual Updated

OTS has updated the 2007 Thrift Financial Report (TFR) Instruction Manual. Manual  6/29/07

CRA Ratings Released

The ratings received by savings associations recently evaluated for compliance with the provisions of the CRA have been released by OTS. CRA Ratings  6/29/07

Fed Funds Rate Unchanged

The Federal Open Market Committee (FOMC) has announced its decision to keep the target for the federal funds rate at 5-1/4 percent. FOMC  6/29/07

IFDP Working Paper Published

A working paper in the International Finance Discussion (IFDP) series on the topic of "Price Setting during Low and High Inflation: Evidence from Mexico" has been published by the FRB. Abstract; Full Paper  6/29/07

FRB Conducts Survey of Consumer Finances

The Survey of Consumer Finances (SCF) conducted every three years by FRB. The main purpose of the survey is to help the government and, ultimately, the public at large understand the financial condition of families in the United States and to study the effects of changes in the economy. SCF  6/29/07

First Quarter 2007 Interest Rate Risk Measures

OTS has published the First Quarter 2007 issue of Interest Rate Risk Measures. Interest Rate Risk Measures  6/29/07

June 30 Call Report Instructions

A Financial Institution Letter has been issued by the FDIC that contains the instructions for completing and filing the June 30, 2007 Call Report. FIL  6/28/07

Second Quarter 2006 Banking Industry Condition Report Published

The FRB has published the Second Quarter 2006 Report on the Condition of the U.S. Banking Industry. Report  6/28/07

BSA FILs

Two FILs have been issued by the FDIC regarding previously announced FFIEC guidance on the topics of providing all documentation supporting the filing of a Suspicious Activity Report (SAR) and requests by a law enforcement agency to keep particular accounts open. Information concerning the guidance was posted in the June 14, 2007 BOL Top Stories. SAR FIL; Open Accounts FIL  6/27/07

Secure Exchange of Electronic Examination Information

The FDIC has issued a FIL that announces starting July 9, 2007 participating state bank regulators will have access to the FDICconnect Examination File Exchange system. Financial institutions are encouraged to use the system to quickly and securely transmit examination information to the FDIC and/or their state regulator. FIL  6/27/07

NTB Capital and Liquidity Guidance Revised

The OCC has issued a Bulletin concerning the rescission of Bulletin 2000-26 and issuance of a revised guidance that clarifies the OCC's capital and liquidity policy for national trust banks (NTBs). Bulletin  6/27/07

Foreclosure Prevention Best Practices Report

The OCC has published an Insights report on the subject of "Foreclosure Prevention: Improving Contact with Borrowers," which highlights the best practices that loan servicers are using to improve their contact rate with delinquent mortgage borrowers to help prevent foreclosures. Report  6/27/07

FDIC Proposes Rulemaking to Extend the Time Period for Quarterly Reporting of Bank Officers' and
Certain Employees' Personal Securities Transactions

The FDIC proposes to amend its rule concerning the period of time that officers and all employees of state
nonmember banks who make or participate in investment decisions for the accounts of customers have to report their personal securities transactions after the end of the calendar quarter. TXT; PDF  6/27/07

NCUA Publishes Proposed Rule for the Purchase, Sale, and Pledge of Eligible Obligations

NCUA proposes to amend its rule governing the purchase, sale, and pledge of eligible obligations, as a result of recommendations from its annual regulatory review process, by adding a conflict of interest provision substantially similar to the conflict of interest provision in NCUA's general lending rule. TXT; PDF  6/27/07

OTS Publishes Final Rule in Federal Register for Stock Benefit Plans in Mutual-to-Stock Conversions and Mutual Holding Company Structures

The Office of Thrift Supervision (OTS) is clarifying its regulations regarding stock benefit plans established after mutual-to-stock company structures, and modifying the voting requirements for the adoption of certain stock benefit plans in mutual holding company structures and several other minor
changes to the regulations governing mutual-to-stock conversions and minority stock issuances. TXT; PDF  6/27/07

OTS Proposes Rulemaking for Optional Charter Provisions in Mutual Holding Company Structures

The Office of Thrift Supervision (OTS) is proposing to amend its mutual holding company (MHC) regulations to permit certain MHC subsidiaries to adopt an optional charter provision that would prohibit any person from acquiring, or offering to acquire, beneficial ownership of more than ten percent of the MHC subsidiary's minority stock (stock held by persons other than the subsidiary's MHC). TXT; PDF  6/27/07

Check Operations Changes Announced By FRB

The FRB has announced changes beginning in 2008 to check operations as a result of the shift from using paper checks toward electronic payments. In order to increase check service efficiency, some regional check processing sites will have their operations scaled back. The scaled-back sites will all print substitute checks, but some will also capture paper checks. Changes  6/27/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as of June 22, 2007. Reserve Position  6/27/07

OCC Licensing Manual Updated

The revised Branches and Relocations booklet is now posted on the OCC Web site for immediate use. It no longer requires a Messenger Service/Mobile Branch log. Booklet  6/26/07

PSA Ads Aimed at Delinquent Borrowers

In a presentation at symposium on preventing foreclosures sponsored by NeighborWorks America, Comptroller Dugan unveiled two new Public Service Announcements (PSAs) aimed at encouraging delinquent mortgage borrowers to get help by contacting their lenders or a trusted housing counselor in order to avoid foreclosure have been announced by the OCC. He stated, "As these ads so powerfully underscore, doing nothing is the worst thing a delinquent borrower can do". Speech  6/26/07

Treasury Publishes Final Rule for Financial Crimes Enforcement Network; Amendments to Bank
Secrecy Act Regulations Regarding Casino Recordkeeping and Reporting Requirements

The Financial Crimes Enforcement Network (FinCEN) publishes final rule in FR to amend the Bank
Secrecy Act regulation requiring casinos to report transactions in currency. The amendments exempt,
as reportable transactions in currency, jackpots from slot machines and video lottery terminals, as well as transactions, under certain conditions, involving certain money plays and bills inserted into electronic gaming devices. TXT; PDF  6/26/07

First Quarter Aggregate Exposure and CMR Report Released

The OTS has released the Aggregate Exposure and CMR Report for the First Quarter 2007. Report  6/26/07

REMINDER: Payroll Cards Rules Mandatory Compliance Date

Don't forget the mandatory compliance date for the new Reg E provisions regarding payroll cards is July 1, 2007. For more information read the article by BOL Gurus Andy Zavoina and John Burnett, "New Reg E Rules on Check Conversions, Payroll Cards". Reg E  6/25/07

BSA Effectiveness and Efficiency Fact Sheet Released

FinCEN has released a Fact Sheet that contains data concerning the effectiveness and efficiency of the Bank Secrecy Act (BSA). Fact Sheet  6/25/07

FRB Publishes Technical Amendment to Final Rule for Reg CC

The Board of Governors is amending appendix A of Regulation CC to delete the reference to the head office of the Federal Reserve Bank of San Francisco and reassign the Federal Reserve routing symbols currently listed under that office to the Los Angeles branch office of the Federal Reserve Bank of San Francisco. TXT; PDF  6/25/07

Agricultural Finance Databook Update

The FRB has published the June 2007 E.15 Agricultural Finance Databook which contains data regarding the amount and characteristics of farm loans made by commercial banks, selected statistics from the quarterly reports of condition of commercial banks, and the Reserve Bank surveys of farm credit conditions and farm land values. E.15  6/25/07

Five Counterfeit Cashier's Checks Alerts

The OCC has issued five Alerts regarding counterfeit cashier's check issued in the names of the following national banks:

• Whitney National Bank, New Orleans, Louisiana;
• Rabobank, N.A., El Centro, California;
• Chester National Bank, Chester, Illinois, and of Chester National Bank of Missouri, Perryville, Missouri;
• Oshkosh Bank, a Branch of The American National Bank of Beaver Dam, Wisconsin; and
• Fort Sill National Bank, Fort Sill, Oklahoma.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  6/22/07

Special Alert Counterfeit Business Checks

The FDIC has issued a Special Alert regarding counterfeit business checks that are being used in connection with various consumer scams. Special Alert   6/22/07

HMDA MSA/MD Changes for CY2007

The FFIEC has posted online downloadable software that contains the HMDA and CRA MSA/MD changes for calendar year 2007. Software  6/22/07

New SAR Activity Review Published

Issue 8 of the SAR Activity Review - By The Numbers has been published by FinCEN. The Issue includes the following new enhancements: representations of the numerical depository institution SAR data for individual states; charts and graphs highlighting SAR filing trends and patterns between April 1, 1996 and December 31, 2006 for each state and territory; and maps for calendar year 2006. Issue 8  6/22/07

Supervisory Insights Journal Summer 2007 Issue

The FDIC has published the Summer 2007 issue of the Supervisory Insights Journal. The issue contains articles on how banks can manage risks associated with third-party arrangements for products and services, the need for vigilance toward mortgage fraud, challenges in maintaining wind insurance, the electronic exchange of documentation in bank examinations, and recent decisions affecting the accounting for split-dollar life insurance. Index  6/22/07

Casino CTR Final Rule Announced

FinCEN has announced a final rule that exempts casinos from the requirement to file currency transactions reports (CTRs) on jackpots from slot machines and video lottery terminals. The final rule also exempts reportable transactions in currency, under certain conditions, involving certain money plays and bills inserted into electronic gaming devices. Final Rule  6/22/07

IFDP Working Paper Published

The FRB has published a working paper in the International Financial Discussion Paper (IFDP) series on the topic of "A Note on the Coefficient of Determination in Models with Infinite Variance Variables". Abstract; Full Paper  6/22/07

Six Counterfeit Cashier's Checks Special Alerts

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

• Peoples Bank & Trust Company, Manchester, Tennessee;
• Timberland Bank, Hoquiam, Washington;
• First State Bank, Noble, Oklahoma;
• Oritani Savings Bank, Township of Washington, New Jersey;
• Sandy Spring Bank, Olney, Maryland; and
• The Pleasant Hill Bank, Pleasant Hill, Missouri.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  6/21/07

Twelfth District Check Processing Restructured

The FRB has announced amendments to Appendix A of Regulation CC that reflect the restructuring of the Federal Reserve's check processing operations in the Twelfth District. As of August 18, 2007, the head office of the Federal Reserve Bank of San Francisco no longer will process checks, and banks currently served by that office will be reassigned to the Los Angeles branch office of the Federal Reserve Bank of San Francisco. Reg CC  6/21/07

Receive HMDA and CRA Reports Via Email

The FFIEC has issued a memorandum explaining how financial institutions can receive HMDA and CRA data edit reports via email. Memo  6/21/07

Paulson Discusses International Finance System

In testimony before the House Committee on Financial Services, Treasury Secretary Paulson discussed the state of the International Finance System. He stated that policies to embrace openness, promote trade and assist developing economies will enhance economic security and prosperity for people around the world. Testimony  6/21/07

FEDS Working Papers Published

Two working papers in the Financial and Economics Discussion Series (FEDS) have been published by the FRB on the topics of "Corporate Asset Purchases and Sales: Theory and Evidence" and "Racial Dispersion in Consumer Credit Interest Rates". Corporate Assets Abstract; Corporate Assets Full Paper; Racial Dispersion Abstract; Racial Dispersion Full Paper  6/21/07

$106,930 Flood CMP Announced

The FRB has announced the issuance of a consent Order of Assessment of a Civil Money Penalty (CMP) in the amount of $106,930 against RBC Centura Bank, Raleigh, North Carolina for alleged violations of the Board's Regulations implementing the National Flood Insurance Act. Information regarding the CMP has been posted on the BOL Flood Penalties Watch page.  6/20/07

CRA Ratings Released

The OCC has released the ratings received by twenty-three national banks recently evaluated for compliance with the provisions of the CRA. Ratings  6/20/07

Affordable Small-Dollar Loan Guidelines Published

The FDIC has issued an FIL announcing the publication of Affordable Small-Dollar Loan Guidelines that encourage financial institutions to offer small-dollar credit products and to promote these products to their customers. FIL; Guidelines  6/20/07

Small-Dollar Loan Review Pilot Project Announced

The FDIC has approved a two year pilot project to review affordable and responsible small dollar loan programs in financial institutions. The project is designed to assist bankers by identifying information on replicable business models for affordable small-dollar loans. Project  6/20/07

Order of Prohibition Issued

A consent Order of Prohibition has been issued by the FRB against Joy McClard, a former employee of the former Cumberland Bank, Franklin, Tennessee, based on her alleged participation in the embezzlement of funds from the bank and falsification of the bank's books and records. Order  6/20/07

Written Agreement Announced

The FRB has announced the execution of a Written Agreement by and among Mid America Bank and Trust Company, Dixon, Missouri; the Missouri Division of Finance; and the Federal Reserve Bank of St. Louis. Written Agreement  6/20/07

Online Mortgage Comparison Calculator

The FRB has made available online a mortgage comparison calculator that consumers can use to compare monthly mortgage payments and the amount of equity they will build for up to six types of fixed and adjustable rate mortgages. Calculator  6/20/07

First Quarter DIF Results

The FDIC has released the first quarter 2007 financial results for the Deposit Insurance Fund (DIF). Results  6/20/07

July HOEPA Rates Set

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in July 2007 will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find the applicable release which lists the Treasury security with the same maturity term as your loan. To make the calculation, you use the yield in effect on the 15th of the month that precedes the month you received the application. Weekly H.15; Daily H.15  6/19/07

Houston Workshops For Community Bank Directors Scheduled

The OCC has scheduled two workshops for community bank directors on the following topics: "Compliance Risk: What Directors Need to Know," on July 17, 2007, and "Credit Risk: A Director's Focus," on July 18, 2007. Workshops  6/19/07

Final Guidance Consumer Information for Nontraditional Mortgage Products

OTS has issued a Final Guidance regarding consumer information for nontraditional mortgage products. Guidance  6/19/07

Fake Email Warning Issued By FTC

The FTC has issued a warning regarding a bogus e-mail supposedly sent by the agency but actually sent by third parties hoping to install spyware on computers. Consumers, including corporate and banking executives, appear to be targets of the e-mail which poses as an acknowledgment of a complaint filed by the recipient, and includes an attachment. Recipients who open the attachment unleash malicious spyware onto their computers. Emails  6/19/07

FDIC Quarterly Discusses IDAs

The First Quarter 2007 issue of the FDIC Quarterly contains a report "IDAs and Banks: A Solid 'Match,'" which is the first in a series of articles looking at underbanked consumers and the delivery of alternative financial services. The Quarterly is a new publication that consolidates research and information that was previously available in the FDIC Outlook, the FDIC Banking Review, and the Quarterly Banking Profile. FDIC Quarterly  6/19/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as of June 15, 2007. Reserve Position  6/19/07

Five SDGT and NPWMD Designations Added To SDN List

Treasury has designated two Iranian individuals for their involvement in Iran's nuclear program and three Libyan individuals who are members of both al-Qaida and the Libyan Islamic Fighting Group (LIFG). Information concerning the additions has been posted on the BOL OFAC page.   6/18/07

Commercial Bank Examination Manual Updated

The FRB has published the semi-annual update to the Commercial Bank Examination Manual.
Update   6/18/07

SOD Filing FIL

The FDIC has issued a FIL concerning the June 30, 2007 filing of Summary of Deposits (SOD) survey, the annual survey of branch office deposits to be filed all FDIC-insured commercial banks, FDIC-supervised savings banks, and insured branches of foreign banks.
FIL   6/18/07

Revised SAR Implementation FIL

A FIL has been issued by the FDIC regarding the previously announced delay by FinCEN of the implementation of the revised SAR form. Information concerning the delay was posted in the April 26, 2007 BOL Top Stories. FIL   6/18/07

Deposit Insurance Changes Summary

The FIDC has post online a summary of the assessment related changes that have been implemented as a result of the Federal Deposit Insurance Reform Act of 2005.
Assessment Changes   6/18/07

New Jersey CU Placed in Conservatorship

NCUA has announced that the board of directors of Peoples First Choice Federal Credit Union voluntarily consented to conservatorship and the National Credit Union Administration (NCUA) has assumed control of the credit union located in Glen Rock, New Jersey.
Conservatorship   6/18/07

April TIC Data Released

The Treasury International Capital (TIC) report for April 2007 has been released by Treasury.
TIC   6/18/07

June FedFlash Published

The FRB Financial Services has published the June 15, 2007 issue of FedFlash which features articles on the following topics: the full implementation of Check Relay changes, a reminder to use the standard cash letter forms, detection of duplicate substitute checks, FR-ETA changes to same day Federal tax payment options, new FedReceipt RTNs, and changes to HDGS and PPGS transit number listings.
FedFlash   6/18/07

First Quarter Charge-Off Rates

The thrift industry charge-off rates for the first quarter 2007 have been released by OTS.
Charge-off Rates   6/18/07

Cost of Funds Reports Released

OTS has released the current and historical National Average Cost of Funds Ratio to OTS Regulated, SAIF-Insured Institutions reports.
Current;
Historical   6/18/07

CAC Nominations Sought

The FRB is seeking nominations for appointments to its Consumer Advisory Council. The Council, which meets three times a year in Washington D.C., advises the Board on the exercise of its responsibilities under various consumer financial services laws and on other matters. Ten new members will be appointed to serve three-year terms beginning in January 2008.
Nominations   6/18/07

Bernanke Discusses the Financial Accelerator and the Credit Channel

In a presentation the conference on The Credit Channel of Monetary Policy in the Twenty-first Century, FRB Chairman Bernanke commented on how important it is for a developing economy to establishing a modern, well-functioning financial system. He noted that critical idea is that the cost of funds to borrowers depends inversely on their creditworthiness, as measured by indicators such as net worth and liquidity.
Speech   6/18/07

Industrial Production Report Issued

The FRB has issued the G. 17 Industrial Production and Capacity Utilization report for May 2007.
G.17   6/18/07

Survey of Terms of Business Lending Released

The E. 2 Survey of Business Lending Terms for the week of May 4-11, 2007 has been released by the FRB.
E. 2   6/18/07

Enforcement Actions Released

The OCC has released a list of new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks. Enforcement Actions  6/15/07

Consumer Complaint Information Sharing Agreement Announced

An agreement for sharing consumer complaint information between the OTS and state banking regulators has been announced by the Office of Thrift Supervision (OTS) and the Conference of State Banking Supervisors (CSBS). Sharing Agreement  6/15/07

First Quarter State Profiles Available

The FDIC has posted online the State Profiles for the First Quarter 2007 with data sheets summarizing the banking and economic conditions for each state. State Profiles  6/15/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Sonabank, N.A., Clifton Forge, Virginia. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  6/14/07

FinCEN Issues Guidance

Guidance has been issued by FinCEN regarding two topics: Suspicious Activity Reporting (SAR) Documentation and Requests by Law Enforcement for Financial Institutions to Maintain Accounts. SAR Documentation; Account Request  6/14/07

Regulators Discuss Federal Consumer Protection Standards With House Committee

In testimony before the House Committee on Financial Services, Comptroller Dugan indicated that OCC supervision plays a unique and critical role in ensuring compliance with federal consumer protection standards. FDIC Chairman Bair discussed the current legal tools available to regulators and reforms that would improve the ability of consumer protections to keep pace with innovation in the financial marketplace. Dugan Oral Statement; Dugan Written Testimony; Bair Statement  6/14/07

Bulletin Issued Regarding CRA 2007 List of Distressed or Underserved Geographies

The OCC has issued a bulletin regarding the previously announced publication by the federal bank and thrift regulatory agencies of the 2007 list of distressed or underserved nonmetropolitan middle-income geographies in which bank revitalization or stabilization activities will receive Community Reinvestment Act (CRA) consideration as "community development." Information concerning the list was posted in the June 4, 2007, BOL Top Stories. Bulletin  6/14/07

FRB Publishes Proposed Rulemaking for Reg Z

The Board proposes to amend Regulation Z, which implements the Truth in Lending Act (TILA), and the staff commentary to the regulation, following a comprehensive review of TILA's rules for open-end (revolving) credit that is not home-secured. The proposed revisions take into consideration comments from the public on an initial advance notice of proposed rulemaking (ANPR) published in December 2004.TXT; PDF  6/14/07

Beige Book News

The FRB has published the June 13, 2007 issue of the Beige Book that contains a summary of current economic conditions in each of the Federal Reserve Districts. Summary; Full Report  6/14/07

SB Registration List Updated

FinCEN has updated the Money Services Businesses (MSB) list with data current as of May 9, 2007. The list now contains information on 32,595 MSBs. List  6/14/07

Semiannual Report on International Economic and Exchange Rate Policies Released

The Treasury has released the Semiannual Report on International Economic and Exchange Rate Policies. Report  6/14/07

First Quarter Household Debt Service and Financial Obligations Ratios

The FRB has published the Household Debt Service and Financial Obligations Ratios for the First Quarter 2007. Ratios  6/14/07

FRB Publishes Proposed Rulemaking for Reg Z

The Board proposes to amend Regulation Z, which implements the Truth in Lending Act (TILA), and the staff commentary to the regulation, following a comprehensive review of TILA's rules for open-end (revolving) credit that is not home-secured. The proposed revisions take into consideration comments from the public on an initial advance notice of proposed rulemaking (ANPR) published in December 2004.  6/14/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Perryton National Bank of Perryton, TX, that are being presented for payment. Information concerning the counterfeit cashier's checks is posted on the BOL Alerts and Counterfeits page.  6/13/07

Counterfeit Instruments and Stolen Official Documents 2002-2007

The OCC has issued an Alert that contains a list which provides information regarding counterfeit and stolen instruments dating from 2002-2007. Alert; List  6/13/07

Host State Loan-to-Deposit Ratios Issued

The federal banking regulators have issued the host state loan-to-deposit ratios that they will use to determine compliance with section 109 of the Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994. Section 109 prohibits a bank from establishing or acquiring a branch or branches outside of its home state primarily for the purpose of deposit production and prohibits branches of banks controlled by out-of-state bank holding companies from operating primarily for the purpose of deposit production. Ratios; FRB PR; OCC NR; FDIC PR  6/13/07

Unauthorized Banking 1996-2007

The OCC has issued an Alert that contains a list which provides information regarding unauthorized banking activities, both offshore and domestic from 1996-2007. Alert; List  6/13/07

Assets Reports Released

The FRB has released the 3.12 U.S. Reserve Assets and 3.13 Foreign Official Assets Held at Federal Reserve Banks reports for April 2007. Reports  6/13/07

Inflation History Working Paper Published

The FRB has published a working paper in the Finance and Economic Discussion series (FEDS) on the topic of "The Rise and Fall of U.S. Inflation Persistence". Abstract; Full Paper  6/13/07

Third Quarter CRA Exam Schedule Announced

The OTS has announced its CRA examination schedule for the Third Quarter 2007. Schedule  6/12/07

Regulators To Host Minority Depository Institution National Conference

The four Federal financial institution regulatory agencies are hosting a conference at the Miami Beach Resort and Spa in Miami Beach, Florida, from July 31- August 2, 2007, for minority depository institutions (MDIs) on the challenges and issues facing the MDI segment of the banking industry. The conference will present a unique opportunity for minority bankers, regulatory officials, and private industry representatives to exchange knowledge and increase awareness on matters affecting MDIs. Agenda; Registration   6/12/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as of June 8, 2007. Reserve Position   6/12/07

Entities Added To SDN List

Treasury has designated four Iranian companies for their role in Iran's proliferation of weapons of mass destruction and added their names to the SDN List with the NPWMD designation. Information regarding the additions has been posted on the BOL OFAC page.   6/11/07

CRA Ratings Released

The FDIC has issued a list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA) and the ratings they received. CRA Ratings  6/11/07

CMPs Announced By OFAC

OFAC has announced the civil money penalties (CMP) recently imposed for violations of various sanctions programs. No financial institutions were penalized. CMPs  6/11/07

HOEPA Public Hearing Agenda

The FRB has posted online the agenda for the previously announced Home Ownership and Equity Protection Act (HOEPA) public meeting to be held June 14, 2007, in Washington, D.C. Agenda; Registration  6/11/07

Community Directors' Workshops Scheduled

The OCC will host workshops for national community bank directors at the Arrowwood Conference Center, Alexandria, Minnesota, July 10-12. Three workshops will be held on consecutive days on risk assessment ("Understanding the OCC's Risk Assessment Process"), compliance risk ("Compliance Risk: What Directors Need to Know"), and credit risk ("Credit Risk: A Director's Focus"). Registration   6/11/07

FEDS Working Papers Published

Two working papers in the Finance and Economic Discussion Series (FEDS) on the topics of "Sectoral Productivity in the United States: Recent Developments and the Role of IT" and "Estimating the Long-Run User Cost Elasticity for a Small Open Economy: Evidence Using Data from South Africa" have been published by the FRB. Sectoral Abstract; Sectoral Full Paper; Estimating Abstract; Estimating Full Paper  6/11/07

First Quarter 2007 Legal Developments

The FRB has published in the June 2007 FRB Bulletin the First Quarter 2007 Legal Developments (orders issued under the Bank Holding Act, orders issued under the International Banking Act, and final enforcement actions issued by the Board). Legal Developments  6/11/07

Money Smart Program Improves Consumer' Money-Management Practices

The FDIC has issued a FIL that contains the results of a survey that indicate the Money Smart financial education curriculum positively influenced how course participants manage their finances as well as their financial confidence. FIL; Survey  6/11/07

Seven Counterfeit Special Alerts Issued

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

• Table Rock Community Bank, Kimberling City, Missouri (Counterfeit Cashier's Checks);
• Territorial Savings Bank, Honolulu, Hawaii (Counterfeit Cashier's Checks);
• Zavala County Bank, Crystal City, Texas (Counterfeit Cashier's Checks);
• Sevier County Bank, Sevierville, Tennessee (Counterfeit Cashier's Checks);
• Perryton National Bank, Perryton, Texas (Counterfeit Cashier's Checks);
• The Commercial and Savings Bank of Millersburg, Ohio, Millersburg, Ohio (Counterfeit Cashier's Checks);
• The North Country Savings Bank, Canton, New York (Counterfeit Treasurer's Checks).

Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  6/08/07

Regulators Express Credit Card Concerns

In testimony presented to a before a subcommittee of the House Committee on Financial Services, FDIC Chairman Bair discussed credit card practices that have raised concerns at the agency; OCC Comptroller Dugan indicated that current credit card disclosure rules should be changed to improve consumers' ability to make well-informed decisions about the credit cards they choose; and NCUA Chairman Johnson stated that NCUA is looking forward to working with Congress, the Fed and other agencies to make certain that consumers are well informed and protected so they can wisely and prudently use their credit. Bair Statement; Dugan Written Testimony; Dugan Oral Statement; Johnson Testimony  6/08/07

First Quarter Flow of Funds Report Released

The FRB has released the Z.1 Flow of Funds Report for the First Quarter 2007. Z.1  6/08/07

FR Bulletin Statistical Supplement Published

The May 2007 Statistical Supplement to the Federal Reserve Bulletin has been published. Supplement  6/08/07

Consumer Credit Report Released

The G.19 Consumer Credit Outstanding and Terms of Credit Report for April 2007 has been released by the FRB.
G.19   6/08/07

Six Counterfeit Special Alerts

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

• Arrowhead Bank, Llano, Texas (Counterfeit Cashier's Checks);
• Harford Bank, Aberdeen, Maryland (Counterfeit Cashier's Checks);
• Piscataqua Savings Bank, Portsmouth, New Hampshire (Counterfeit Cashier's Checks);
• Bonneville Bank, Provo, Utah (Counterfeit Cashier's Checks);
• First American Bank, Birmingham, Alabama (Counterfeit Official Checks); and
• First Texas Bank, Killeen, Texas (Counterfeit Money Orders).

Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  6/07/07

Order of Prohibition Issued

The FRB has announced the issuance of a consent Order of Prohibition against William R. Kahler, a former officer of Primebank, LeMars, Iowa, based on his conviction for an offense taking place during his previous employment at Iowa-Nebraska State Bank, Sioux City, Iowa. Order  6/07/07

Fake OCC Correspondence Alert

The OCC has issued an Alert regarding fictitious emails, faxes, and regular mail items circulating worldwide that claim to be authored by the OCC. They fraudulently encourage recipients to reply to receive funds owed by the OCC and other agencies. Alert; Fake Sample  6/07/07

Enforcement Actions Released

The FDIC has released a list of orders of administrative enforcement actions taken against banks and individuals in April 2007. List  6/07/07

314(a) Fact Sheet 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 June 5, 2007. Fact Sheet; Sharing Report  6/07/07

OCC Publishes Interim Rule in FR for Special Lending Limits

The Office of the Comptroller of the Currency (OCC) is amending Part 32 to permanently incorporate special
lending limits for 1–4 family residential real estate loans, small business loans, and small farm loans or extensions of credit. TXT; PDF  6/07/07

FRB Annual Report To Congress

The FRB has delivered its 93rd Annual Report to Congress. Full Report; Index  6/07/07

Working Papers Published

The FRB has published two workings papers, one in the FEDS series on the topic of "Incorporating Vintage Differences and Forecasts into Markov Switching Models" and the other in the IFDP series on the topic of "The Stability of Large External Imbalances: The Role of Returns Differentials." Incorporating Abstract; Incorporating Full Paper; Stability Abstract; Stability Full Paper  6/07/07

Fraudulent FDIC Letters Special Alert

The FDIC has issued a Special Alert regarding fraudulent letters appearing to be from the FDIC that are being faxed to financial institutions. The letters state that "information is sought pursuant to sections 5318(J) and 5318(k) of Title 31 of the United States Code, as added by sections 313 and 319(b) of the USA PATRIOT ACT OF 2001 (Public Law 107-56)." Special Alert  6/06/07

Reg D Retail Sweep Guidance Summary Issued

The FRB has issued a summary of the previously released guidance relating to requirements for a retail sweep program under the Board's Regulation D. Summary  6/06/07

Bernanke Discusses the Housing Market and Subprime Lending

In a presentation via satellite to the participants at the 2007 International Monetary Conference, in Cape Town, South Africa, FRB Chairman Bernanke discussed the U.S. housing market and the impact of subprime lending. He noted that emergence of some serious stresses in subprime mortgage markets have resulted in initiatives taken or planned by the Federal Reserve to respond to the problems in subprime mortgage lending. He stated, "Effective disclosures are the first line of defense against improper lending. If consumers are well informed, they are in a much better position to make decisions in their own best interest." Speech  6/06/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the addition of data current as of June 1, 2007. Report  6/06/07

Discount Rate Meetings Minutes Released

The FRB has released the minutes of its discount rate meetings for April 23 and May 7, 2007. Minutes  6/06/07

OCC CRA Exam Schedule Released

The OCC has released its schedule of Community Reinvestment Act (CRA) examinations to be conducted in the third quarter of 2007. Schedule   6/05/07

Deposit Insurance Late Payment of Assessment Penalties

The FDIC has issued a FIL that reminds insured institutions that the previously announced new late assessment penalties rule will be effective beginning with the June 29, 2007, assessment collection. Information regarding the new rule was posted in BOL Top Stories November 3, 2006. FIL  6/05/07

NCUA Proposes Rulemaking for Federal Credit Union Bylaws

NCUA is proposing to reincorporate 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. TXT; PDF  6/05/07

Wage Bargaining Working Papers Published

Working papers in the International Finance Discussion Papers (IFDP) series on the topic of "Optimal Fiscal and Monetary Policy with Costly Wage Bargaining" and the Finance and Economics Discussion Series (FEDS) series on the topic of "Bond Risk Premia and Realized Jump Volatility" have been published by the FRB. Optimal Abstract; Optimal Full Paper; Bond Abstract; Bond Full Paper  6/05/07

SDN List Additions and Updates Announced

Treasury has added the names of five individuals and one entity to the SDN List with the SDNTK (Narcotics Kingpin Act) designation. Changes have also been made to twelve existing SGDT (Global Terrorism) entries. Information regarding the additions and the changes has been posted on the BOL OFAC page.  6/04/07

CRA Distressed or Underserved Nonmetropolitan Middle-Income Geographies List

The federal bank and thrift regulatory agencies have made available online the 2007 list of distressed or underserved nonmetropolitan middle-income geographies in which bank revitalization or stabilization activities will receive Community Reinvestment Act (CRA) consideration as "community development." The 2007 list and lists from previous years can be found on the FFIEC web site. List; FRB NR; OCC NR; FDIC PR; OTS PR  6/04/07

Treasury Economic Update

Treasury has issued its June 1, 2007 economic update which states that "The economy is on track to rebound in the second quarter and beyond following a slowdown of late-2006 and early this year. The strong labor market will support household spending, and this in turn will drive a continued upturn in business investment." Update  6/04/07

FedFlash June 2007 Issue Published

The June 1, 2007 issue of FedFlash features articles on the following topics: the upcoming change in verification procedures for Electronic Access requests; new FedReceipt RTNs; new cross-shipping fees and standard UCAP fees; changes to deposit of items in carrier documents; changes to the HDGS and PPGS transit number listings; the end of the John Adams $1 Coin special order period; and the removal of 12th District: Endpoints from the Forward Remote Fine Sort program. FedFlash  6/04/07

Idaho Quarter Information

The distribution schedule for the Idaho quarter is now available online. Idaho Quarter  6/04/07

New Electronic Interpretations and Actions Announced

The OCC has announced May 2007 New Electronic Interpretations and Actions. Interpretations and Actions  6/04/07

FOMC 2008 Meeting Schedule

The Federal Open Market Committee (FOMC) has announced its tentative meeting schedule for 2008. Schedule  6/04/07

May 2007 Foreign Exchange Rates

The FRB has released the G.5 Foreign Exchange Rates Report for May 2007. G.5  6/04/07

Minority-Owned Banks Report

The fourth quarter 2007 Minority-Owned Banks Report has been published by the FRB. Report  6/04/07

CRA Exam Schedule

The FDIC has published the list of institutions that it has scheduled for a Community Reinvestment Act (CRA) examination during the third quarter of 2007. Exam Schedule  6/01/07

Agencies Issue Nontraditional Mortgage Products Consumer Information Illustrations

The federal bank, thrift, and credit union regulatory agencies have issued final illustrations of consumer information intended to help institutions implement the consumer protection portion of the Interagency Guidance on Nontraditional Mortgage Product Risks that the agencies adopted October 4, 2006. Illustrations; FRB PR; OCC NR; FDIC PR; OTS PR; NCUA PR  6/01/07

FRB Publishes Final Rule in FR for Loans to Executive Officers, Directors and Principal Shareholders in Member Banks

The Board is adopting amendments to the Board's Regulation O to eliminate certain reporting requirements. These amendments implement section 601 of the Financial Services Regulatory Relief Act of 2006.TXT; PDF  6/01/07

OTS Publishes Interim Final Rule in FR for Personal Transactions in Securities

In this interim final rule, OTS is amending 12 CFR 551.150(a) to provide that certain officers and employees of savings associations file reports of personal securities transactions with the savings association no later than 30 calendar days after the end of each calendar quarter.TXT; PDF  6/01/07

First Quarter Earnings Released

The FDIC has published the Quarterly Banking Profile which announces that commercial banks and savings institutions insured by the regulator reported net income of $36.0 billion in the first quarter of 2007, the fourth highest ever reported by the industry. Earnings  6/01/07

Owned and Managed Receivables Report

The FRB has issued the March 2007 G.20 Owned and Managed Receivables Outstanding and Auto Loans: Terms of Credit Report. G.20  6/01/07

May 2007 FRB Bulletin Published

The May 2007 issue of the Federal Reserve Bulletin contains an article entitled, "Industrial Production and Capacity Utilization: The 2006 Annual Revision." Bulletin  6/01/07

Counterfeit Cashier's Checks and Money Orders Alerts

The OCC has issued three Alerts regarding counterfeit cashier's checks and money orders issued in the names of Extraco Banks, N.A., Temple, Texas; Shamrock Bank, N.A., Coalgate, Oklahoma; and First National Bank, Mountain View, Missouri. Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.  5/31/07

2007 HMDA Guide Online

The 2007 issue of A Guide to HMDA Reporting has been posted online by the FFIEC. The Guide provides a summary of responsibilities and requirements, directions for assembling the necessary tools, and step-by-step instructions for reporting HMDA data. The Guide is only available online. HMDA Guide  5/31/07

HMDA Data Collection Procedures Change

The FRB has announced that the Federal Reserve Bank of St. Louis has agreed to transfer the collection and processing of HMDA data from each Federal Reserve District to the HMDA Operations Unit at the FRB beginning with the calendar year 2007 HMDA data collected in 2008. HMDA Data  5/31/07

NCUA Publishes Technical Amendments to Final Rule

NCUA is amending a number of its regulations by making minor technical corrections, clarifications and
grammatical changes. Among those is the addition of a cross-reference between two regulations addressing credit union borrowing authority; addition of a statement in the provision on insurance coverage for volunteer officials to note, etc. It is also removing certain regulatory references to NCUA's FCU Bylaws that are no longer accurate due to revisions. TXT; PDF  5/31/07

Reserve Position Report Update

Treasury has updated the U.S. International Reserve Position Report to include data as of May 25, 2007. Reserve Position  5/31/07

FOMC Minutes Released

The FRB and the Federal Open Market Committee have released the minutes of the Committee meeting held on May 9, 2007. Minutes  5/31/07

Large Banks Assets Report Issued

The March 30, 2007 Insured U.S. Chartered Commercial Banks That Have Consolidated Assets of 4300 Million or More Report has been issued by the FRB. Report  5/31/07

Reg O Final Rule

The Federal Reserve Board announced its adoption of final amendments to Regulation O to eliminate certain reporting requirements. These amendments, identical to those previously adopted as an interim rule on 12/11/2006, implement section 601 of the Financial Services Regulatory Relief Act of 2006. Final Rule  5/30/07

HOEPA Meeting Discussion Topics Announced

The following discussion topics for the previously announced FRB June 14 public hearing under HOEPA have been identified:

• Prepayment penalties
• Escrow accounts for taxes and insurance on subprime loans
• "Stated income" or "low doc" loans
• Consideration of a borrower's ability to repay a loan

The purpose of the hearing is to gather information about how the Board might use its rulemaking authority to curb abusive lending practices in the home mortgage market, including the subprime sector, in a way that preserves incentives for responsible lenders to provide credit to borrowers. Comments are also being sought. HOEPA Meeting; Registration  5/30/07

New FedReceipt Routing Numbers Announced

FRB Financial Services has announced new FedReceipt Routing Numbers that will be effective June 4, 2007. Numbers  5/29/07

Entities Added To OFAC List

Three names have been added to the SDN list pursuant to E.O. 13400 of April 26, 2006 as contribuing to
the conflict in the Darfur region. with the description of [DARFUR]. Thirty-one other entities havea been added to OFAC's SDN list. Information regarding the new additions has been posted on the BOL OFAC page.  5/29/07

FHC List Update

The FRB has updated the Financial Holding Company List with data current as of May 25, 2007. The List contains the names of the bank holding companies that have elected to be treated as a financial holding company (FHC). List  5/29/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Community First National Bank of West Plains, West Plains, Missouri. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  5/25/07

SAR Research Guide Updated

BOL's SAR Research Guide has been updated to include excerpts from FinCEN's May 2007 SAR Activity Review: Trends, Tips and Issues. There are new articles on suspicious activity trends with MSBs, New SAR form completion tips, and 11 new examples of cases resulting from BSA filings.  5/25/07

First Quarter 2007 TFR Data and Interest Rate Risk Measure Reports Online

OTS has posted online the Aggregated Thrift Financial Report (TFR) and the Preliminary Interest Rate Risk Measure Report for the first quarter 2007. TRF; Interest Rate Risk  5/25/07

Counterfeit and Fraudulent Checks Special Alerts Issued

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

• Capital Crossing Bank, a division of Lehman Brothers Bank, FSB, Boston, Massachusetts (Counterfeit Cashier's Checks),
• Hoosac Bank, North Adams, Massachusetts (Fraudulent Cashier's Checks),
• CIB Marine Bancshares, Inc., Brookfield, Wisconsin, and Riggs Bank, Washington, DC (Fraudulent Checks), and
• Independence Bank of Kentucky, Owensboro, Kentucky (Counterfeit Cashier's Checks).

Information concerning the counterfeit and fraudulent checks has been posted on the BOL Alerts & Counterfeits page.  5/24/07

Reg Z Amendments Proposed

The FRB has issued for public comment proposed amendments to Regulation Z (Truth in Lending) that are intended to improve the effectiveness of the disclosures consumers receive in connection with credit card accounts and other revolving credit plans by ensuring that information is provided in a timely manner and in a form that is readily understandable. The proposed amendments principally focus on the rules for open-end credit accounts that are not home-secured, chiefly general-purpose and retail credit card plans. Amendments  5/24/07

CMPs Assessed

Civil money penalties (CMPs) have been assessed by the FRB against East West Bank, Pasadena, California, in the amount of $16,245 and First Sentinel Bank, Richlands, Virginia, in the amount of $4,235 for violations of the National Flood Insurance Act. East West Bank; First Sentinel  5/24/07

Consumer Bank Complaint Form Online

The FRB has posted online instructions and a form to be used by a consumer who wants to file a complaint against a bank. Form  5/24/07

HOEPA Public Hearing Registration Online

A registration form for the FRB public HOEPA hearings on curbing abusive lending practices in the home mortgage market to be held on June 14, 2007, has been posted online. Registration Form  5/24/07

Stated Income Subprime Loans Concern Dugan

In a presentation to the Neighborhood Housing Services of New York, Comptroller Dugan expressed his concern over stated income subprime loans. He noted that in a market where house prices are rising, the risks of stated income loans are masked, since borrowers can refinance if they run into trouble. Speech  5/24/07

2007 National Money Laundering Strategy FIL Issued

A FIL has been issued by the FDIC regarding the previously announced 2007 National Money Laundering Strategy jointly released by the Departments of Treasury, Justice, and Homeland Security. Information concerning the 2007 National Money Laundering Strategy was posted on the BOL Top Stories May 4, 2007. FIL  5/24/07

Thrift Industry First Quarter Earnings Released

OTS has announced that the nation's thrift industry posted solid earnings and profitability in the first quarter of 2007 despite continued weakness in the housing market and a flat-to-inverted yield curve. Earnings; Charts; Selected Indicators  5/24/07

Sanctions Implemented Against Charles Taylor

OFAC has issued regulations implementing sanctions against the regime of former Liberian President Charles Taylor. The sanctions are not directed against the country of Liberia, the Government of Liberia, or the Central Bank of Liberia. A general license has been issued to authorize transactions previously prohibited with respect to the importation of round logs or timber products originating in Liberia. BOL's OFAC Sanctions Matrix has been updated.  5/24/07

314(a) Fact Sheet 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 May 22, 2007. 314(a); Sharing Report  5/23/07

Counterfeit Cashier's Checks Special Alerts

Two Special Alerts have been issued by the FDIC regarding counterfeit cashier's checks bearing the names of East West Bank, Pasadena, California, and USA Bankchares of Miami, Miami, Florida. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  5/22/07

CRA Ratings Released

The OCC has released the ratings received by twenty-nine national banks that were recently examined for compliance with the provisions of the Community Reinvestment Act (CRA). Ratings  5/22/07

CU Assets, Savings and Membership Grow

Credit unions reported strong savings and asset growth while membership grew to over 86 million people during the first quarter of 2007 according to Call Report data submitted by the country's 8,305 federally insured credit unions. First Quarter Data  5/22/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as of May 18, 2007. Reserve Position  5/22/07

CRA Median Family Income Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced publication of the U.S. Census and 2007 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. The data is used to determine income levels of geographies in Community Reinvestment Act (CRA) performance evaluations. Information concerning the family income data was posted in BOL Top Stories May 8, 2007. Bulletin; Family Income Data  5/21/07

IFD Working Paper Published

A working paper in the International Finance Discussion series on the topic of " U.S. External Adjustment: Is It Disorderly? Is It Unique? Will It Disrupt the Rest of the World?" has been published by the FRB. Abstract; Full Paper  5/21/07

No Harm No Foul

The United Stated Court of Appeals for the First Circuit dismissed a case where the lender used the incorrect model rescission form. The plaintiffs argued that the general rescission form was used instead of one denoting a refinance by the same lender. The court ruled that the disclosure provided may have been incorrect, but was clear, conspicuous and acceptable. Read why in BOL Court Watch under Santos/Rojas vs. Doral.  5/18/07

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

The Board of Governors is amending appendix A of Regulation CC to delete the reference to the Nashville
branch office of the Federal Reserve Bank of Atlanta and reassign the Federal Reserve routing symbols currently listed under that office to the head office of the Federal Reserve Bank of Atlanta and
is amending appendix B of Regulation CC to delete the reference to the Nashville branch office.TXT; PDF  5/18/07

Anti-Narcotics Designations By OFAC

OFAC has designated six companies and twelve individuals in Mexico that act as fronts for Ismael Zambada Garcia, the leader of a Sinaloa, Mexico-based drug trafficking organization and added the names to the SDN List. Information regarding the designations has been posted on the BOL OFAC page.  5/18/07

Order to Cease and Desist Issued

OTS has issued an Order to Cease and Desist to The Clifton Heights Savings and Loan Company, Cincinnati, Ohio. The Order, which was effective May 9, 2007, regarded the making of loans to one borrower that exceeded the federal lending limit. Order  5/18/07

Delayed Implementation of Revised SAR Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced decision by FinCEN to delay the implementation of the revised SAR form. Information concerning the delay was posted in the BOL Top Stories on April 26, 2007. Bulletin  5/18/07

FinCEN Withdrawals Nigerian Advisory

FinCEN has issued an Advisory informing banks and other financial institutions operating in the United States that Financial Crimes Enforcement Network (FinCEN) Advisory Issue 32, regarding the Federal Republic of Nigeria, is hereby withdrawn. Advisory  5/18/07

CAC Meeting Scheduled

The FRB has announced that the Consumer Advisory Council (CAC) will hold its next meeting at 9:00 a.m., Thursday, June 21, 2007, in the Board's Martin Building, Washington, D.C. The session is open to the public, but registration is necessary for security purposes and may be made online. Agenda; Registration  5/18/07

Regulators Discuss Subprime Mortgage Market and Regulatory Reform

In presentations at the Federal Reserve Bank of Chicago's 43rd Annual Conference on Bank Structure and Competition, in Chicago, Illinois, FRB Chairman Bernanke discussed the subprime lending market and FDIC Chairman Bair discussed regulatory reform. Bernanke Speech; Bair Speech  5/18/07

Freis Pledges Commitment to BSA Effectiveness and Efficiency

FinCEN Director Freis hosted the 27th plenary of the Bank Secrecy Act Advisory Group (BSAAG) and pledged to work closely with all BSAAG members to ensure that the Bank Secrecy Act (BSA) is being administered in the most effective and efficient way. BSAAG  5/18/07

5th Annual Community Development Policy Summit Set

The Federal Reserve Bank of Cleveland will host "Partnering for Success", the 5th Annual Community Development Policy Summit, on June 21-22, 2007 at the Cleveland Marriot Downtown. Summit; Registration  5/18/07

Counterfeit Cashier's/Official Checks Special Alerts

The FDIC has issued two Special Alerts regarding counterfeit cashier's and official checks bearing the names of Merrimac Savings Bank, Merrimac, Massachusetts, and Provident Bank of Maryland, Baltimore, Maryland. Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  5/17/07

Unauthorized Banking Special Alert

The FDIC has issued a Special Alert after being notified by Office of the Superintendent of Financial Institutions (OSFI) of Canada that Borealis International may be conducting banking operations in Canada or the United States without authorization. Other names associated with Borealis International are "The Laiki Group", "The Synergy Group", and "Atlantic Trust Company." Special Alert

HUD Race and Ethnic Data Reporting Forms

HUD has posted online its Race and Ethnic Data Reporting Forms (HUD-27061 and HUD-27061-H) in fillable pdf and Word formats. 2706; 27061-H  5/17/07

June HOEPA Rates Established

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in June 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, you 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  5/17/07

Enforcement Actions Released

The OCC has released the list of enforcement actions recently taken against national banks and individuals currently and formerly affiliated with national banks. Enforcement Actions  5/17/07

Flood Violation CMP Assessed

The FRB has announced the issuance of a consent Order of Assessment of a Civil Money Penalty (CMP) against Orrstown Bank, Shippensburg, Pennsylvania in connection with its alleged violations of the Board's Regulations implementing the National Flood Insurance Act. The Order requires the bank to pay a civil money penalty of $1,665. Order  5/17/07

Deposit Insurance Guidelines for Risk Category I Institutions

The FDIC has issued a FIL regarding the recent approval of guidelines for determining adjustments to be made to the quarterly assessment rates of large Risk Category I insured institutions. FIL  5/17/07

SAR Activity Review May 2007 Issue

The May 2007 issue of the SAR Activity Review Trends, Tips and Issues has been published by FinCEN. SAR Activity Review  5/17/07

Industrial Production Report Released

The FRB has released the G.17 Industrial Production Report for April 2007. G.17  5/17/07

IFDP Working Paper Published

A working paper in the International Finance Discussion Paper series has been published by the FRB on the topic of "Some Simple Tests of the Globalization and Inflation Hypothesis". Abstract; Full Paper  5/17/07

Reg CC Amendments Approved

The FRB has announced the approval of amendments to Appendix A of Regulation CC that reflect the restructuring of the check processing operations of the Federal Reserve Bank of Atlanta and provide notice relating to future changes to Appendix A. Summary; Amendments  5/16/07

Enforcement Actions Announced

The FDIC has announced twenty-one enforcement actions recently taken against banks and individuals in March 2007. The actions included five removal and prohibition orders, 10 civil money penalty orders, and six cease and desist orders. Enforcement Actions  5/16/07

May 2007 FedFlash Published

The May 15, 2007 issue of FedFlash has been published and contains article on Check Relay, Canadian deposit item deadlines, detection of duplicate substitute checks, a change to same day Fed tax payment options, and changes in the delivery of CD images. FedFlash  5/16/07

Bernanke Discusses Regulation and Financial Innovation

In a presentation via satellite to the participants at the Federal Reserve Bank of Atlanta's 2007 Financial Markets Conference, in Sea Island, Georgia, Chairman Bernanke noted that central banks and other regulators should resist the temptation to devise ad hoc rules for each new type of financial instrument or institution. He remarked that the goal of regulation should be to preserve those benefits while achieving important public policy objectives, including financial stability, investor protection, and market integrity. Speech  5/16/07

Spring 2007 Issue Consumer News Published

The FDIC has published the Spring 2007 issue of Consumer News that features a look at some revolutionary new ways to conduct daily financial transactions using high-tech cards and cell phones, along with tips for choosing and using these services. Other articles include advice for adjustable-rate mortgage (ARM) borrowers that may help them avoid losing their home if they are unable to make monthly payments when the interest rate goes up, and tips for avoiding inappropriate or fraudulent investments. Consumer News  5/16/07

User's Guide to U.S. Cross-Border Derivatives Data

The May 20007 Federal Reserve Bulletin contains an article regarding a user's guide to U. S. cross-derivatives data. Bulletin  5/16/07

Cost of Funds Reports Released

OTS has released the current and historical National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions reports. Current; Historical  5/16/07

March TIC Data Released

Treasury has released the Treasury International Capital (TIC) data for March 2007. TIC  5/16/07

Expanded Examination Cycle SR Letter Issued

The FRB has issued a Supervisory Letter regarding the previously announced expanded examination cycle for certain financial institutions. Information regarding the new cycle was posted on the April 4, 2007, BOL Top Stories. SR Letter  5/15/07

OCC To Host Community Bank Directors Credit Risk Workshop

The OCC will host a credit risk workshop for national community bank directors at the Congress Hotel, Cape May, New Jersey, on June 19, 2007. Workshop Information; Online Registration  5/15/07

Bank Lending Practices Opinion Survey Results Released

The results of the April 2007 Senior Loan Officer Opinion Survey on Bank Lending Practices has been released by the FRB. Summary; Full Report  5/15/07

International Reserve Position Update

Treasury Department has released U.S. reserve assets data for the week ending May 11, 2007. Reserve Position  5/15/07

Counterfeit Cashier's Checks Special Alerts

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

• The First Bank and Trust Company, Abingdon, Virginia;
• Metcalf Bank, Overland Park, Kansas;
• Marblehead Savings Bank, Marblehead, Massachusetts;
• First Community Bank, Winston- Salem, North Carolina; and
• Empire Bank, Indianapolis, Indiana.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  5/14/07

Unauthorized Banking Special Alert

The FDIC has issued a Special Alert after being notified by Superintendencia de Bancos de Panama that an entity calling itself, Ready State Bank of Panama, is promoting several banking services and products, primarily in Caracas, Venezuela. The entity is not authorized to engage in the business of banking within or from the Republic of Panama. Special Alert  5/14/07

Notice of Settlement Guidance Issued

The FRB has issued a SR/CA letter to provide guidance to banking organizations under its supervision of requirements for filing notice of proposed settlements of class action litigation. Letter  5/11/07

Bank Examination Cycle Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced interim rule that amends 12 CFR 4 to expand description of banks qualified for the 18-month examination cycle. Information concerning the interim rule was posted on the April 10, 2007 BOL Top Stories. Bulletin; Interim Rule  5/11/07

Assistance For Kansas Institutions and Communities Announced

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 Kiowa County, Kansas, which suffered major damage from tornadoes on May 4, 2007. FIL  5/11/07

CU Liquidated

NCUA has announced that Sharebuilders Federal Credit Union, of Northridge, California, was liquidated on April 25, 2007. Liquidation  5/11/07

CRA Ratings Released

The FDIC has issued a list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA) containing the evaluation ratings assigned to institutions in February 2007. Ratings  5/10/07

Fed Funds Rate Unchanged

The FRB FOMC has announced that the committee has decided at its May 9, 2007 meeting to keep the target for the federal funds rate at 5-1/4 percent. Meeting  5/10/07

Prohibition Orders Issued

NCUA has issued orders prohibiting Glenn W. Culler, former CEO of the former Ackerman Credit Union, Columbus, Ohio; and Michael D. Monette, former collections supervisor of Vermont Federal Credit Union, Burlington, Vermont, from participating in the affairs of any federally insured financial institution. Culler Order; Monette Order  5/10/07

Advance Fee Credit Card Scam Stopped

A federal district court in Illinois has entered final orders against three people based in Canada who allegedly defrauded U.S. consumers out of more than $9 million through the sale of phony advance-fee credit cards. Summary; Orders  5/10/07

Early Savings Bonds Redemptions Authorized

FRB Financial Services has authorized savings bond agent serving Kiowa County, Kansas, to redeem Series EE and I savings bonds less than one year old presented during the months of May and June 2007. Early Redemptions  5/09/07

314(a) Fact Sheet New Information

FinCEN has updated the 314(a) Fact Sheet and the Law Enforcement Information Sharing with Financial Industry Report with the inclusion of data current as of May 8, 2007. 314(a) Fact Sheet; Sharing Report  5/09/07

International Reserve Position Update

The U.S. International Reserve Position Report has updated by Treasury with data current as of May 4, 2007. Reserve Position  5/09/07

Seven Counterfeit Checks Alerts Issued

The OCC and FDIC have issued seven Alerts regarding counterfeit cashier's checks issued in or bearing the names of the following institutions:

• City National Bank of West Virginia, Charleston, West Virginia;
• Temecula Valley Bank, Temecula, California;
• Lincoln County Bank, Merrill, Wisconsin;
• TriCentury Bank, Simpson, Kansas;
• North Shore Bank, a Co-operative Bank (also known as North Shore Bank), Peabody, Massachusetts;
• Millennium State Bank of Texas, Dallas, Texas; and
• The Bank of Carbondale, Carbondale, Illinois.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  5/08/07

2007 Estimated Metropolitan Area Median Family Income Data Online

The FFIEC has posted on its Web page the HUD 2007 Estimated Metropolitan Area Median Family Income data. Family Income  5/08/07

OTS Publishes Interim Final Rule in Federal Register for Prohibited Service at Savings and Loan Holding Companies

OTS is adopting an interim final rule implementing section 710(a) of the Financial Services Regulatory
Relief Act of 2006, which added a new section 19(e) to the Federal Deposit Insurance Act (FDIA) prohibiting any person who has been convicted of any criminal offense involving dishonesty, breach of trust, money laundering or has agreed to enter into a pretrial diversion or similar program in connection with a
prosecution for such an offense from holding certain positions with respect to a savings and loan holding company (SLHC).TXT; PDF  5/08/07

April 2007 FRB Bulletin Statistical Supplement Published

The FRB has published the April 2007 Statistical Supplement to the FRB Bulletin. Supplement  5/08/07

OFAC CMPs Announced

OFAC has announced the civil money penalties assessed for violations of various Sanctions Programs. One financial institution, Fleet National Bank, remitted $7,277 to settle allegations of violations of the Iranian Transactions Regulations. CMPs  5/07/07

Prohibition Orders Issued

NCUA has issued orders prohibiting Willie Brown, a former official and chairman of the former Mt. Hebron Baptist Federal Credit Union, Philadelphia, Pennsylvania, and Dorothea Brown, former treasurer of the former Mt. Hebron Baptist Federal Credit Union, Philadelphia, Pennsylvania, from participating in the affairs of any federally insured financial institution. W. Brown Order; D. Brown Order  5/07/07

CRA Ratings Announced

OTS has announced the ratings received by the savings associations that were recently examined for compliance with the CRA. Ratings  5/07/07

HMDA FAQs Updated

The FFIEC has updated its HMDA frequently asked questions (FAQs) Web page with the addition of Reverse Mortgages questions. FAQs  5/07/07

OFAC Cartel Impact Report Released

OFAC released the Impact Report on Economic Sanctions Against Colombian Drug Cartels, a report reviewing OFAC's efforts to expose and isolate significant Colombian narcotics traffickers and their associates, and disrupt and dismantle their business empires. The report provides detailed documentation on each of the 21 Colombian drug cartel principals and organizations that have been targeted by OFAC. Report  5/07/07

Fraudulent FDIC Email Contains Malicious Software

The FDIC has issued a Consumer Alert regarding report of an e-mail that appears be from the FDIC and delivers malicious software to the recipient's computer. Consumer Alert  5/07/07

OTS Performance Plan Published

OTS has published its 2007 Performance Plan. Plan  5/07/07

Counterfeit Cashier's Checks Special Alerts

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

• Border State Bank, Greenbush, Minnesota;
• Mercantile Southern Maryland Bank, Leonardtown, Maryland;
• The Citizens Bank of Philadelphia, Philadelphia, Mississippi; and
• Frontenac Bank, Earth City, Missouri.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  5/04/07

2007 National Money Laundering Strategy Announced

The Departments of Treasury, Justice, and Homeland Security have jointly issued the 2007 National Money Laundering Strategy that details in one hundred twelve pages the continued efforts to dismantle money laundering and terrorist financing networks and bring these criminals to justice. Strategy; Treasury PR  5/04/07

HOEPA Hearing Scheduled

The FRB has announced that it will hold a public hearing, under the provisions of Home Ownership and Equity Protection Act (HOEPA), to gather information on how the regulator might use its rulemaking authority to curb abusive lending practices in the home mortgage market, including the subprime sector. The hearing is scheduled for Thursday, June 14, 2007, at the Federal Reserve Board offices at 20th and C Streets, N.W., Washington, D.C. HOEPA Hearing  5/04/07

Unauthorized Banking Alert Issued

The OCC has issued an Alert regarding the Ready State Bank of Panama who is promoting several banking services and products through an office located in the State of Florida. The Superintendecia de Bancos de Panamahas informed the OCC that the Bank is not a banking entity authorized to engage in the banking business within or from the Republic of Panama. Alert   5/04/07

March Asset and Liability Price Tables Published

OTS has published the Asset and Liability Price Tables as of March 31, 2007. Tables  5/04/07

FDIC Issues First Quarter Letter to Stakeholders

The FDIC has issued a FIL regarding the First Quarter 2007 Letter to Stakeholders that summarizes the agency's performance in depositor protection, mission support, and resource management. FIL; Letter  5/04/07

Reserve Assets Report Release

The April 2007 Statistical Supplement to the Federal Reserve Bulletin, that contains the 3.12 U.S. Reserve Assets and the 3.13 Foreign Official Assets Held at Federal Reserve Banks reports, has been issued. Statistical Supplement  5/04/07

Counterfeit Cashier's Checks Special Alerts

The FDIC has issued two Special Alerts regarding counterfeit cashier's checks bearing the names of Latimer State Bank, Wilburton, Oklahoma, and River Valley State Bank, Wausau, Wisconsin. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  5/03/07

March 2007 Call Report Information

The filing information for March 31, 2007 Call Reports is now available. March Call Reports  5/03/07

FRB Consumer Survey Distributed

The FRB has begun the mailing to over 10,000 households the annual Survey of Consumer Finances that provides policymakers with important insight into the economic condition of all types of American families. A letter from Chairman Bernanke urges participation in the study. Survey Information; Letter  5/03/07

Fraudulent Letter Special Alert

The FDIC has issued a Special Alert regarding fraudulent letters that are being sent to financial institutions in the United States and other countries. The letters instruct the financial institution to deposit an enclosed official or cashier's check into a customer's account. Information concerning the fraudulent letters has been posted on the BOL Alerts & Counterfeits Page.  5/02/07

Bulletin Issued Regarding BSA/AML Final Rule

The OCC has issued a Bulletin regarding the previously announced Final Rule issued by FinCEN that imposed special measures against Banco Delta Asia (BDA) designated by Treasury as a financial institution of primary money laundering concern. Information regarding the Final Rule was posted in the March 15, 2007 BOL Top Stories. Bulletin  5/02/07

New Electronic Interpretations and Actions Announced

The OCC has announced the New Electronic Interpretations and Actions for April 2007. Electronic  5/02/07

Bernanke Discusses Free Trade and The Global Economy

In a presentation at the Montana Economic Development Summit 2007, Chairman Bernanke discussed the crucial economic benefits received from the ongoing expansion of international trade. He noted that our continued prosperity depends on our embracing the many opportunities provided by trade, even as we provide a helping hand to individuals and communities that may have suffered adverse consequences. Speech  5/02/07

FedFlash May Issue Published

FRB Financial Services has published the May 2007 issue of FedFlash that features articles on the following topics: the release date for the new John Adams $1 coin, the FedReceipt RTNs, the implementation of ACH weekend file landing, and the elimination of the Off-Peak National Sort Product. FedFlash  5/02/07

April Foreign Exchange Rates Released

The FRB has issued the G.5 Foreign Exchange Rates report for April 2007. G.5  5/02/07

Orders of Prohibition Issued

The FRB has issued two Orders of Prohibition, one against Bonnie C. Milne, a former employee and institution-affiliated party of First Interstate Bank, Casper, Wyoming, and the other against Cheryl McMillan, a former cashier and institution-affiliated party of the Bank of Durango, Durango, Colorado. Milne Order; McMillan Order  5/01/07

New FedReceipt Routing Numbers Announced

FRB Financial Services has announced the availability of new FedReceipt routing numbers. Routing Numbers  5/01/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with data current as of April 27, 2007. Reserve Position  5/01/07

Market Financing Estimates Announced

Treasury has announced its current estimates of net marketable financing for the second and third quarters of 2007. Estimates  5/01/07

Money Start Program Aids Consumers

A Gallup survey results indicate that those who took the FDIC Money Smart course were more likely to open deposit accounts, save money, use and adhere to a budget, and have increased confidence in their financial abilities. FDIC Chairman Blair, in testimony before a subcommittee of the Senate Committee On Homeland Security And Governmental Affairs, described the program and stated, "This unprecedented survey shows that financial education works and can make a significant difference in the way people save and spend their money". Survey Summary; Full Results; Statement  5/01/07

Counterfeit Checks and Fraudulent Bank Guarantees Alerts

The OCC has issued two Alerts regarding counterfeit cashier's checks issued in the name of First National Bank of Dozier, Dozier, Alabama, and fraudulent bank guarantees issued in the name of Central Bank of Ecuador. Information concerning the counterfeit cashier's checks and the fraudulent guarantees has been posted on the BOL Alerts & Counterfeits page.   3/30/07

Compliance Training and CRA Updates Scheduled

OTS has announced that a training regarding compliance with the CRA will be held in Boston, Massachusetts on Thursday, May 24, 2007. Training  3/30/07

Consumer Alert Issued

The OCC has issued a Consumer Alert regarding solicitations about a CRA program that entitles certain homeowners to cash grants or equity disbursements. Consumer Alert  3/30/07

Structure and Share Data Report Issued

The FRB has issued the December 2006 Structure and Share Data for U.S. Offices of Foreign Banks Report. Report  3/30/07

New Quarter and Dollar Information

FRB Financial Services has posted information regarding the distribution of the new Washington State quarter and the new John Adams dollar commemorative coins online. Coins  3/30/07

Drug Trafficker and Associates Added to OFAC List

OFAC has added a major drug trafficker along with related 45 companies and 64 individuals in Colombia, Belize, Ecuador, Guatemala, Honduras, Jamaica, Mexico, and Panama to the SDN List with the SDNT designation. Information concerning the additions has been posted on the BOL OFAC Page.  3/29/07

Small Dollar Lending Pilot Project Proposed

The FDIC staff has proposed and the agency advisory committee has endorsed a two-year small-dollar loan program pilot project. Project  3/29/07

Joint Agencies Propose Rulemaking for Model Privacy Form Under Gramm-Leach-
Bliley Act

The OCC, Board, FDIC, OTS, NCUA, FTC, and SEC (the Agencies) are proposing amendments to
their rules that implement the privacy provisions of the Gramm-Leach-Bliley Act (GLB Act), Title V, Subtitle A. These rules require financial institutions to provide initial and annual privacy notices to their customers.TXT; PDF  3/29/07

FEDS Working Paper Published

A working paper in the Finance and Economics Discussion Series (FEDS) series on the topic of "Natural Rate Measures in an Estimated DSGE Model of the U.S. Economy" has been published by the FRB. Abstract; Full Paper  3/29/07

Bernanke's Economic Outlook

In testimony before the Joint Economic Committee of Congress, Chairman Bernanke presented an update on the outlook for the U.S. economy. He observed that the Federal Open Market Committee has left its target for the federal funds rate unchanged, at 5-1/4 percent, since last June and that future policy decisions will depend on the evolution of the outlook for both inflation and economic growth. Testimony  3/29/07

Interest Rate Risk Reports Released

The Aggregate Exposure and CMR Report along with the Historical and Current National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Reports for the Fourth Quarter 2006 have been released by OTS. Aggregate Exposure; Historical; Current  3/29/07

Financial Reporting Bulletin Published

OTS has published the March 2007 Financial Reporting Bulletin. Bulletin  3/29/07

Counterfeit Checks Special Alerts Issued

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

• Orange County Teachers Federal Credit Union, Santa Ana, California (Counterfeit Money Orders);
• Westside Community Bank, University Place, Washington (Counterfeit Cashier's Checks);
• Farmers & Merchants Bank of Central California, Lodi, California (Counterfeit Cashier's Checks); and
• McIntosh State Bank, Jackson, Georgia (Counterfeit Official Checks).

Information concerning the counterfeit checks and money orders has been posted on the BOL Alerts & Counterfeits page.  3/28/07

Second Quarter 2007 CRA Exam Schedule Announced

OTS has announced that seventy savings associations are scheduled for Community Reinvestment Act (CRA) examinations during the second quarter of 2007. Schedule  3/28/07

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 March 27, 2007. Fact Sheet; Information Sharing Report  3/28/07

Call Report Instruction Book Update and Optional Worksheet

The FFIEC has published and posted online an update to the Call Report Instruction Book and an Optional Worksheet for calculating Call Report applicable income taxes. Instruction Book; Worksheet  3/28/07

Guidance Issued For Financial Institutions To Facilitate Recovery in Southeast

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 counties affected by severe storms and tornadoes in Georgia and Alabama. FIL  3/28/07

Court Stops "Reduce Debt Now" Scheme

At the request of the FTC, a Federal Court has issued an Order that temporarily halts an operation that falsely claimed it could reduce consumers' credit card interest rates or the total amount of their credit card debt. Order  3/28/07

Online Survey For FRB Financial Services Customers

FRB Financial Services is requesting its customers to complete an online survey regarding how the agency's Website can better support their business needs. Survey  3/28/07

New Electronic Interpretations and Actions

The OCC has announced the new electronic interpretations and actions for March 2007. Interpretations and Actions  3/28/07

International Reserve Position Update

Treasury has updated the U. S. International Reserve Position Report with the addition of data current as of March 23, 2007. Reserve Position  3/28/07

First Quarter 2007 Call Report Information

The FDIC has issued a FIL and the FFIEC has issued Supplemental Instructions regarding the filling of the March 31, 2007 Call Report. FIL; Supplemental Instructions  3/27/07

Enforcement Actions Announced

The FDIC has announced twenty-one orders of administrative enforcement actions taken against banks and individuals in February. Enforcement Actions  3/27/07

Faith Based Credit Union Chartered

NCUA has approved a charter and low-income designation for New Covenant Dominion Federal Credit Union of Bronx, New York. The new CU will serve the members of the New Covenant Christian Church and students of New Covenant Christian Church schools. Faith Based  3/27/07

NCUA Announces Proposed Rulemaking for Catastrophic Preparedness

NCUA proposes to amend its regulations to address a federally insured credit union's obligation to
maintain a records preservation program. The proposed rule draws from existing guidance to clarify
requirements for preserving vital records and to suggest important items for consideration in restoring vital member services.TXT; PDF  3/27/07

OTS Gives Notice of Proposed Rulemaking for Permissible Activities of Savings and Loan Holding Companies

The Office of Thrift Supervision (OTS) is proposing to revise its regulations to expand the permissible activities of savings and loan holding companies (SLHCs) to the full extent permitted under the Home Owners' Loan Act (HOLA). It also proposes to amend the regulation to the statute that it is intended to implement by replacing the absolute prohibition on certain SLHC transactions that is currently in the regulation with a prior approval requirement.TXT; PDF  3/27/07

Financial Holding Company List Update

The FRB has updated the list of bank holding companies that have elected to be treated as financial holding companies as of March 23, 2007. FHC List  3/27/07

March 2007 FedFocus Published

FRB Financial Services has published and posted online the March issue of FedFocus that features an article regarding the accelerating adoption rate of electronic payments throughout the nation. Other topic of interest include: comments from one of the first Federal Reserve Financial Services customers to use FedLine Direct, how a credit unions utilizes Directo a México to help its customer base move electronic payments, and how the Electronic Check Adjustments Service makes some customers' jobs easier. March FedFocus  3/27/07

FDIC 2007 Performance Plan

The FDIC has published its 2007 Performance Plan that sets out specific annual performance goals, indicators and targets for each of FDIC's three major business lines (Insurance, Supervision, and Receivership Management). Plan
  3/27/07

Counterfeit Cashier's Check Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Citizens National Bank, Cameron, Texas. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits Page.  3/26/07

Cease And Desist Order Issued

The FRB has announced the issuance of a consent Cease and Desist Order against Cache Valley Banking Company and Cache Valley Bank, both of Logan, Utah. The termination of a previously issued Written Agreement by and among Cache Valley Bank Company, Cache Valley Bank, the Federal Reserve Bank of San Francisco, and the Utah State Department of Financial Institutions was also announced. Order  3/26/07

Imposition of Special Measures SR Letter

A SR Letter has been issued by the FRB regarding the previously announced imposition of special measures by FinCEN against Banco Delta Asia SARL and its branches, offices, and subsidiaries. Information concerning the Special Measures was posted in the March 15, 2007 BOL Top Stories. SR Letter  3/26/07

IFDP Working Paper Published

The FRB has published a working paper in the International Finance Discussion Paper series on the subject of "Markov Switching GARCH Models of Currency Turmoil in Southeast Asia". Abstract; Full Paper  3/26/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Bank of Kimberling City, Kimberling City, Missouri. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  3/23/07

Social Security Setoff Case To Be Reviewed

The decision by a California state appellate court that Bank of America (BofA) did not act illegally when it accepted direct deposits of government benefits to overdrawn customer accounts will be reviewed by the California Supreme Court. In the case of Miller v. Bank of America, NT & SA, the appellate court overturned a lower court decision that could have cost BofA over one billion dollars in damages and agreed with BofA that applying direct deposits of Social Security and other government benefits to clear overdraft balances is not exercising a right of setoff. More information regarding this potentially landmark case can be found on the BOL Court Watch Page. California Supreme Court  3/23/07

FRB Announces Written Agreement With Ohio Bank

The FRB has announced the execution of a Written Agreement by and among the North Valley Bank, Zanesville, Ohio, the Ohio Division of Financial Institutions and the Federal Reserve Bank of Cleveland. Written Agreement  3/23/07

Counterfeit Checks Alerts Issued

The OCC has issued three alerts regarding counterfeit official and cashier's checks issued in the names of the following national banks:

• Platte Valley National Bank, Scottsbluff, Nebraska (Counterfeit Cashier's Checks);
• Unity National Bank, Houston, Texas (Counterfeit Cashier's Checks); and
• Great Lakes Bank, N.A., Blue Island, Illinois (Counterfeit Official Checks).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  3/22/07

Model Privacy Notice Comment Sought

The federal financial institution regulators along with the FTC, SEC and CFTC have released a notice of proposed rulemaking (NPR) requesting comment on a model privacy form that financial institutions can use for their privacy notices to consumers required by the Gramm-Leach-Bliley Act (GLB Act). The proposed model privacy form is a prototype privacy notice and the NPR proposes that a financial institution that chooses to use the model form would satisfy the disclosure requirements for the notices and so could take advantage of a legal safe harbor. NPR; FRB PR; FDIC PR; OCC NR; OTS PR; NCUA NR; FTC PR; SEC PR; CFTC PR  3/22/07

Chairman Blair Discusses Large Bank Failure Procedures

In a presentation at the Exchequer Club in Washington, D.C., FDIC Chairman Blair reviewed the procedures that the regulator would follow in the unlikely event of the failure of a large bank. She noted, "Stability and public confidence are easy to take for granted, and in good times such as these it is tempting to discount the probability of banking problems and the potential instability. The FDIC is resisting this temptation and is using this time to plan and prepare for what we hope will never happen." Speech  3/22/07

FDIC Enforcement Decisions Announced

The FDIC has announced the Enforcement Decisions and Orders recently issued regarding financial institutions. Enforcement Decisions  3/22/07

Final Rule for OTS Community Reinvestment Act - Interagency Uniformity

The Office of Thrift Supervision published a Final Rule in the Federal Register, changing
its Community Reinvestment Act (CRA) regulations in four areas to reestablish uniformity between its
regulations and those of the other federal banking agencies. It is making these revisions to promote consistency and facilitate objective evaluations of CRA performance across the banking and thrift industries. TXT PDF  3/22/07

Fed Funds Rate Unchanged

A statement has been released by the FOMC that target for the federal funds rate will remain unchanged at 5-1/4 percent. Statement   3/22/07

Counterfeit Checks Special Alerts

The FDIC has issued two Special Alerts regarding counterfeit cashier's checks bearing the names of Berkshire Bank, Pittsfield, Massachusetts, and The Farmers State Bank of Waupaca, Waupaca, Wisconsin. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   3/21/07

CRA Ratings Released

The OCC has released a list of the ratings received by national banks that were recently examined for compliance with the Community Reinvestment Act (CRA). Ratings   3/21/07

Credit Card Fraudsters To Pay $8.1 Million

A federal district court in Illinois has entered an order against several Canadian cross-border fraudsters that permanently bans their deceptive telemarketing pitches and requires them to pay $8.1 million gained from their sale of non-existent advance-fee Visa and MasterCard credit cards to U.S. consumers. $8.1 Million   3/21/07

OCC Publishes Strategic Plan

The OCC has published its strategic plan for 2007-2012 that outlines long range goals and how the agency intends to accomplish them. Strategic Plan   3/21/07

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the addition of data current as of March 16, 2007. Reserve Position   3/21/07

Counterfeit Checks and Money Orders Special Alerts

Five Special Alerts have been issued by the FDIC regarding counterfeit cashier's checks and money orders bearing the names of the following institutions:

• American Bank & Trust of the Cumberlands, Livingston, Tennessee (Counterfeit Cashier's Checks);
• Central Progressive Bank, Lacombe, Louisiana (Counterfeit Cashier's Checks);
• Tecumseh Federal Bank, Tecumseh, Nebraska (Counterfeit Cashier's Checks);
• Community State Bank of Orbisonia, Orbisonia, Pennsylvania (Counterfeit Money Orders); and
• MidSouth Bank, Beaumont, Texas (Counterfeit Cashier's Checks).

Information concerning the counterfeit cashier's checks and money orders has been posted on the BOL Alerts & Counterfeits page.   3/20/07

Enforcement Actions Announced

The OCC has announced the new enforcement actions recently taken against national banks and individuals currently and formerly affiliated with national banks. Actions   3/20/07

OTS Final CRA Rule

OTS has announced the publication of a final rule revising four areas of its Community Reinvestment Act (CRA) regulations to reestablish uniformity between its rules and those of the other federal banking agencies. OTS Director John Reich remarked that OTS is making the revisions to promote consistency and facilitate objective evaluations of CRA performance across the banking and thrift industries. Final Rule; Reich Remarks   3/20/07

New Community Bank Directors Workshop

The OCC will host a workshop for new national community bank directors at the Westin Embassy Row Hotel in Washington, D.C. on April 16-18, 2007. The sessions are geared primarily for directors with less than three years of experience and will provide practical information to expand their skills and understanding of issues facing their banks. Online registration is available. Workshop   3/20/07

Eleven Counterfeit Checks Special Alerts Issued

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

• Guaranty Bond Bank, Mount Pleasant, Texas, (Counterfeit Cashier's Checks)
• Washington Federal Savings Bank, Washington, Pennsylvania, (Counterfeit Cashier's Checks)
• Skagit State Bank, Burlington, Washington, (Counterfeit Cashier's Checks)
• Farmington Savings Bank, Farmington, Connecticut, (Counterfeit Cashier's Checks)
• Capital Bank & Trust Company, Albany, New York, (Counterfeit Cashier's Checks)
• PBI Bank, Louisville, Kentucky, (Counterfeit Cashier's Checks)
• Palmetto State Bank, Hampton, South Carolina, (Counterfeit Cashier's Checks)
• Clarke County State Bank, Osceola, Iowa, (Counterfeit Cashier's Checks)
• New York Community Bank, Westbury, New York, (Counterfeit Cashier's Checks)
• Hyde Park Bank and Trust Company, Chicago, Illinois, (Counterfeit Cashier's Checks) and
• Lebanon Valley Farmers Bank, Lebanon, Pennsylvania (Counterfeit Treasurer's Checks).

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   3/19/07

Wal-Mart Withdraws ILC Application

The President of Wal-Mart Financial Services has announced that the FDIC has been notified that Wal-Mart is withdrawing the application that was filed in July 2005 for an Industrial Loan Company (ILC) charter. FDIC Chairman Blair issued a statement regarding the Announcement. Withdrawal; Blair Statement   3/19/07

FEMA Announces Change in Notification Method for New or Modified Flood Maps

FEMA currently publishes a legal notice in a local newspaper when a new or revised Flood Insurance Rate Map (FIRM) is prepared and new or modified Base Flood Elevations (BFEs) including revisions that are effected by Letter of Map Revision (LOMR) are for proposed for a community. Beginning April 1, 2007, the BFE notices will also be posted on a FEMA Website. BFE Notices   3/19/07

April HOEPA Rates Set

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in April 2007 will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find applicable release that lists the Treasury Security with the same maturity term as your loan. To make the calculation, you 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   3/19/07

FedACH Implements 2007 ACH Rules

A letter has been issued by FedACH that encourages financial institutions to obtain a copy of the National Automated Clearing House Association (NACHA)'s 2007 ACH Rules that provides detailed information regarding the 2007 rule changes, their operational impact, and whether any software changes are required. Letter   3/19/07

Treasury Publishes Final Rule to impose a special measure relative to the BSA

The Department of the Treasury Publishes Final Rule in FR to impose a special measure against the Banco Delta Asia SARL pursuant to the authority contained in 31 U.S.C. 5318A of the Bank Secrecy Act, including its subsidiaries, Delta Asia Credit Limited and Delta Asia Insurance Limited, as a Financial Institution of Primary Money Laundering Concern.TXT PDF  3/19/07

Minority Owned Thrifts List Updated

OTS has updated its list of minority owned thrifts with data current as of March 2007. List   3/19/07

Industrial Production Report Released

The G. 17 Industrial Production and Capacity Utilization Report for February 2007 has been released by the FRB. G.17   3/19/07

FEDS Working Paper Published

A working paper in the Finance and Economics Discussion Series (FEDS) on the topic of "Estimating Probabilities of Recession in Real Time Using GDP and GDI" has been published by the FRB. Abstract; Full Paper   3/19/07

314a Fact Sheet Update

FinCEN has updated the 314a Fact Sheet and the Law Enforcement Information Sharing with the Financial Industry Report with information current as of March 15, 2007. Fact Sheet; Sharing Report   3/16/07

Credit Card Terms Survey Released

The FRB has released its semi-annual survey of the terms of credit card plans offered by financial institutions that includes information from the largest credit card issuers in the country as well as other financial institutions that participated in the survey. Survey   3/16/07

FedCash Services Announces New Due Diligence Procedures

The FRB has implemented new due diligence procedures for certain FedCash Services requests to use information collected through the Board Resolution and Official Authorization List (OAL) process. Procedures   3/16/07

FedFlash March Issue Published

The March 15, 2007 issue of FedFlash has been published by FRB Financial Services and features articles on the following topics: CheckImage Central Web site as a valuable Check 21 resource; Cash Letter forms update; enhancements to FedACH Derived Returns functionality; and contaminated coin no longer accepted beginning March 31, 2007. FedFlash   3/16/07

NCUA Town Hall Meeting Online Registration

NCUA has announced that registration is now open for the first of six upcoming Outreach Task Force "Town Hall" meetings. Registration   3/16/07

Cost of Funds Reports Released

OTS has released the Historical and Current Reports of National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions. Historical; Current   3/16/07

January TIC Data Online

The Treasury International Capital (TIC) data for January 2007 has been released and posted online. TIC   3/16/07

Treasury Cuts Off Bank From U.S. Financial System

Treasury has issued a final rule against Banco Delta Asia SARL (BDA) under Section 311 of the USA PATRIOT Act that bars BDA from accessing the U.S. financial system, either directly or indirectly. Under the final rule, which takes effect in 30 days, U.S. financial institutions will be prohibited from opening or maintaining correspondent accounts for or on behalf of BDA. Summary; Final Rule   3/15/07

New SAR Form Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced revision of the format for the Suspicious Activity Report by Depository Institutions (SAR-DI). Information concerning the revision was posted in the December 22, 2006 BOL Top Stories. Bulletin; New SAR-DI   3/15/07

Counterfeit Cashier's Checks Special Alerts Issued

Two Special Alerts have been issued by the FDIC regarding counterfeit cashier's checks bearing the names of ESSA Bank & Trust, Stroudsburg, Pennsylvania, and First United Bank and Trust Company, Durant, Oklahoma. Information concerning the counterfeit cashier's checks has been posted on the BOL Alert & Counterfeits Page.   3/14/07

BSA and AML Written Agreement Announced

The FRB and the New York State Banking Department have announced the execution of a Written Agreement with Intesa Sanpaolo S.p.A., Turin, Italy, that addresses BSA and anti-money-laundering compliance policies and practices at the institution's New York branch. Written Agreement   3/14/07

Survey of Terms of Business Lending Released

The E. 2 Survey of Terms of Business Lending report for February 7-9, 2007, has been released by the FRB. E.2    3/14/07

Household Ratios Published

The FRB has published the household debt service ratio (DSR) and financial obligations ratio (FOR) for the Fourth Quarter 2006. Ratios   3/14/07

New Electronic Interpretations and Actions Announced

The OCC has announced the New Electronic Interpretations and Actions for February 2007. The entries include an Interpretive Letter that concludes that banks can hold a non-controlling investment in company that sells fraud prevention, identity verification, credential validation, and payment/deposit risk services to financial institutions, credit card issuers, check acceptance companies, brokerage firms, mutual fund companies, retailers, government agencies, and others. Interpretations and Actions   3/13/07

International Reserve Position Update

Treasury has updated the U. S. International Reserve Position Report with data current as of March 9, 2007. Reserve Position   3/13/07

OFAC CMPs Announced

Treasury has announced the civil money penalties (CMPs) recently issued for violations of various Sanctions Programs. No financial institutions were listed. CMPs   3/12/07

Subprime Lending FIL Issued

The FDIC has issued a FIL regarding the previously announced Interagency Proposed Statement on Subprime Mortgage Lending. Information concerning the proposed statement was posted in the March 5, 2007 BOL Top Stories. FIL   3/12/07

Economic Update Released

Treasury has released its update of U.S. economic strength. Update   3/12/07

BSA Magnetic Media Filers Notice

FinCEN has issued a notice reminds financial institutions who file Bank Secrecy Act (BSA) forms by magnetic media that the only approved filing media are 3.5 inch diskettes and 18/36 track cartridges. Filers Notice   3/09/07

NCUA Publishes Rule for Sharing Insurance Appeals and to Clarify Enforcement Authority of the NCUA
Board

The National Credit Union Administration (NCUA)publishes a final rule in the Federal Register to implement amendments to the Federal Credit Union Act (FCU Act) made by the Financial Services Regulatory Relief Act of 2006 (Reg Relief Act) enacted by Congress on October 13, 2006. This final rule amends NCUA's regulations to assure they are consistent with the statutory changes made by the Reg Relief Act and adopts the amendments as stated in the interim final rule issued in November 2006.TXT, PDF    3/09/07

Fourth Quarter Flow of Funds Report Issued

The FRB has issued the Z.1 Flow of Funds Accounts of the U.S. Report for the Fourth Quarter 2006. Z.1    3/09/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of Santa Clara Valley Bank, N.A., Santa Paula, California. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   3/08/07

Two Added To SDN List

Treasury today added two U.S. companies to the OFAC SDN list of Specially Designated Narcotics Traffickers (SDNTs) for their ties to Colombia's North Valle drug cartel. In addition, changes have been made to existing entries. The new information has been added to the BOL OFAC page.   3/08/07

Early Savings Bonds Redemptions Authorized

FRB Financial Services has announced that the early savings bonds redemptions are authorized in certain areas affected by recent storms. Early Redemptions   3/08/07

C&D Order Issued

The FDIC has issued a Cease and Desist (C&D) Order against Fremont Investment & Loan, Brea, California, and its parent corporations for operating without effective risk management policies and procedures in place in relation to subprime mortgage and commercial real estate lending operations. C&D   3/08/07

Beige Book Update

The March 7, 2007 issue of the Beige Book that contains an informal review by the Federal Reserve Banks of current economic conditions in their Districts has been published by the FRB. Beige Book Summary; Beige Book Full Report   3/08/07

Blair and Dugan Address ICBA Convention

The Chairman of the FDIC and the Comptroller of the Currency each addressed the annual convention of the Independent Community Bankers of America. Chairman Blair noted that community banks play a critical role in the economic well-being of the towns and neighborhoods they serve. Comptroller Dugan observed that more than 90 percent of the banks supervised by the OCC are community institutions. Blair Speech; Dugan Speech   3/08/07

January Consumer Credit Report Released

The G.19 Consumer Report for January 2007 has been released by the FRB. G.19   3/08/07

Unauthorized Banking Alert

The OCC has issued an Alert regarding unauthorized banking activities that may be conducted by Deltec Financial & Trust Services, an entity that is not licensed under the to conduct banking and/or trust business in or from within The Bahamas or the United States. Unauthorized Banking   3/07/07

Reich On Community Banking

OTS Director Reich the addressed the annual conference of the Independent Community Bankers of America (ICBA)in Honolulu, Hawaii, and discussed why community banking matters. Presentation   3/07/07

Bernanke Discuses Freddie and Fannie

In a presentation by satellite, before the Independent Community Bankers of America's Annual Convention and Techworld in Honolulu, Hawaii, Chairman Bernanke discussed the regulation and supervision of the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac). Presentation   3/07/07

Fourth Quarter Legal Developments Report Released

The FRB has released the Legal Developments Report for the Fourth Quarter 2006. Legal Developments   3/07/07

CRA Ratings Released

The FDIC has issued a list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). CRA   3/06/07

FinCEN Director Named

James Freis, Jr., the current Deputy Assistant General Counsel for Enforcement & Intelligence, has been named the new Director of FinCEN by Treasury Secretary Paulson. New Director   3/06/07

Reserve Position Updated

Treasury has updated the U. S. International Reserve Position Report with the addition of data as of March 2, 2007. Reserve Position Report   3/06/07

Counterfeit Checks and Money Orders Special Alerts Issued

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

• Patriot Bank Minnesota, Wyoming, Minnesota (Counterfeit Money Orders),
• cPort Credit Union, Portland, Maine (Counterfeit Official Checks),
• Pierce Commercial Bank, Tacoma, Washington (Counterfeit Checks), and
• The Ravalli County Bank, Hamilton, Montana (Counterfeit Cashier's Checks)

Information regarding the counterfeit checks and money orders has been posted on the BOL Alerts & Counterfeits page.   3/05/07

Comments Sought on Subprime Lending Proposed Guidance

The federal financial regulatory agencies are seeking comments on a proposed Guidance that address certain risks and emerging issues relating to subprime mortgage lending practices, specifically, particular ARM lending products. Proposed Guidance; FRB PR; FDIC PR; OCC NR; OTS PR; NCUA PR   3/05/07

Enforcement Decisions Released

The FDIC has released a list of orders of administrative enforcement actions taken against banks and individuals in January. One bank was ordered to pay a civil money penalty (CMP) of $24,480 for violations of the Flood Disaster Protection Act. Enforcement Decisions   3/05/07

FIL Issued Regarding Call Report and TFR Revisions

The FDIC has issued a FIL regarding the FFIEC approved revisions to the reporting requirements for the Consolidated Reports of Condition and Income (Call Report) and the Thrift Financial Report (TFR). The effective date of the revisions is March 31, 2007. FIL; FFIEC Revisions   3/05/07

"419" Scam E-mail Alert

An Alert has been issued by the OCC regarding fraudulent correspondence, including e-mails that refer to the U.S. House Committee on Financial Services and appear to use the Committee's letterhead. The communications appear to be part of a Nigerian "419" scam. The potential victims are informed that they are due to receive large sums of money from an inheritance, but that they must first pay a large fee through lawyers to the Financial Services Committee in order to verify that the funds are not tied to terrorist financing. Recipients are requested to forward the emails to the United States Secret Service. Alert    3/05/07

OCC Revises Licensing Manual Booklet

The OCC has revised the Charters booklet in its Licensing Manual series regarding cumulative voting rights for election of directors. Charters   3/05/07

4th Quarter Interest Rate Measures Preliminary Report Issued

OTS has issued the preliminary interest rate measures report for the 4th Quarter 2006. Preliminary Report   3/05/07

Bank Directors Workshops Announced

The OCC has announced the 2007 schedule of the workshops that the agency will host for national bank directors at various locations. The one and two day workshops will be presented depending on the topics covered. Online registration is available. Workshops; Registration   3/05/07

FEDS Working Paper Published

The FRB has published a working paper in the Finance and Economic Discussion Series (FEDS) on the topic of "A Closer Look at the Sensitivity Puzzle: The Sensitivity of Expected Future Short Rates and Term Premia to Macroeconomic News". Abstract; Full Paper   3/05/07

Counterfeits Checks Alert

The OCC has issued an Alert regarding counterfeit official checks issued in the name of AMCORE Bank, N.A., Rockford, Illinois. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.   3/02/07

CRA Ratings Announced

OTS has announced the ratings received by saving associations recently evaluated for compliance with the CRA. CRA Ratings   3/02/07

CRA Examination Schedules Released

The OCC and the FDIC have released their respective CRA examination schedules for the second quarter 2007. OCC Schedule; FDIC Schedule   3/02/07

New Routing Numbers Announced

FRB Financial Services has announced new FedReceipt routing numbers that will be effective March 12, 2007. Routing Numbers   3/02/07

March Issue FedFlash Published

The March 2007 issue of FedFlash has been published and posted online. The issue features articles regarding new studies to examine payments usage, a new case numbering scheme for Checks Adjustment cases, revisions to Operating Circular 1, security access review for certain FRB services, and the 2007 daylight saving time shifts. FedFlash   3/02/07

Paulson On Trade

In a presentation to the Economic Club of Washington, Treasury Secretary Paulson detailed the major benefits trade and openness brings to our economy, addressed some of the concerns raised about trade, and discussed efforts to help more Americans tap into the potential of the economy. He noted that for more than 60 years, the United States has been the world's leader in advocating greater openness and increased trade. Speech   3/02/07

FR Bulletin Statistical Supplement Published

The FRB has published the February 2007 Statistical Supplement to the Federal Reserve Bulletin. Supplement   3/02/07

Foreign Exchange Rates Report Issued

The G.5 Foreign Exchange Rates Report for February 2007 has been issued by the FRB. G.5   3/02/07

Large Commercial Banks Ranking Report Released

The FRB has released the ranking by consolidated assets of insured U.S. chartered commercial banks that have consolidated assets of $300 million or more as of December 31, 2006. Ranking   3/02/07

Operating Circular 1 Revision Effective Date

FRB Financial Services has announced April 1, 2007 as the effective date of the revisions to Operating Circular 1. Effective Date   3/01/07

Gift Card Guidance Issued

OTS has issued a CEO Letter on the subject of Guidance on Gift Card Programs. CEO Letter   3/01/07

Basel II FIL and Bulletin Issued

The FDIC has issued a FIL and the OCC has issued a Bulletin regarding the previously announced proposed Guidance concerning the implementation of Basel II. The initial announcement by the regulators of the proposed Guidance was featured in BOL Top Stories on February 16, 2007. FIL; Bulletin; Proposed Guidance   3/01/07

Special Process For Ordering Presidential Coins Announced

FRB Financial Services has announced that a special process will be implemented regarding the ordering of the $1 Presidential coins. Ordering   3/01/07

Bernanke Discusses Long Term Challenges for the Economy

In testimony before the House Budget Committee, FRB Chairman Bernanke presented his views on the federal budget and related issues. He noted that while projections suggest that the budget deficit may stabilize or moderate further over the next few years, spending on entitlement programs will begin to climb quickly during the next decade. He indicated that addressing the country's fiscal problems will take persistence and a willingness to make difficult choices by the Congress, the Administration, and the American people. Testimony   3/01/07

Reserve Assets Report Released

The FRB has released the 3.12 U.S. Reserve Assets and 3.13 Foreign Official Assets Held at Federal Reserve Banks Reports for January 2007. Reports   3/01/07

FRB Proposes Rulemaking for the Following Regulations:

Consumer Leasing (Reg M)
The Board is proposing to amend Regulation M, which implements the Consumer Leasing Act, to withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001.
The interim final rules address the timing and delivery of electronic disclosures, consistent with the requirements of the Electronic Signatures in Global and National Commerce Act (E-Sign Act). TXT; PDF  4/30/07

Electronic fund transfers (Reg E)

The Board is proposing to amend Regulation E, which implements the Electronic Fund Transfer Act, to
withdraw the interim final rules for the electronic delivery of disclosures issued March 30, 2001. The interim final rules address the timing and delivery of electronic disclosures, consistent with
the requirements of the Electronic Signatures in Global and National Commerce Act. TXT; PDF  4/30/07

Equal Credit Opportunity (Reg B)

The Board is proposing to amend Regulation B, which implements the Equal Credit Opportunity Act, to
withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001. The interim final rules address the timing and delivery of electronic disclosures, consistent with the requirements of the Electronic Signatures in Global and National Commerce Act (E-Sign Act). TXT; PDF  4/30/07

Truth in Lending (Reg Z)

The Board is proposing to amend Regulation Z, which implements the Truth in Lending Act, to withdraw
portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001. The interim final rules address the timing and delivery of electronic disclosures, consistent with
the requirements of the Electronic Signatures in Global and National Commerce Act (E-Sign Act). TXT; PDF  4/30/07

Truth in Savings (Reg DD)

The Board is proposing to amend Regulation DD, which implements the Truth in Savings Act, to withdraw portions of the interim final rules for the electronic delivery of disclosures issued March 30, 2001. The interim final rules address the timing and delivery of electronic disclosures, consistent with the requirements of the Electronic Signatures in Global and National Commerce Act (E-Sign Act). TXT; PDF  4/30/07

Owned and Managed Receivables Report Released

The February 2007 G.20 Owned and Managed Receivables Outstanding Report along with the Auto Loans: Terms of Credit Report has been released by the FRB. G. 20  4/27/07

FinCEN Delays Revised SAR Date

FinCEN announced today it is delaying the effective date of its new SAR forms for use by depository institutions, casinos and card clubs, insurance companies, and the securities and futures industries. FinCEN said it would announce a revised effective date "at a future time." SAR Notice  4/26/07

Fourteen Special Alerts Issued

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

• Mission Community Bank, San Luis Obispo, California (Counterfeit Cashier's Checks);
• United Heritage Bank, Orlando, Florida (Counterfeit Checks);
• Nature Coast Bank, Crystal River, Florida (Counterfeit Cashier's Checks);
• The Bank of Marion, Marion, Virginia (Stolen Certificate of Deposit Interest Checks);
• Union Savings Bank, Danbury, Connecticut (Counterfeit Cashier's Checks);
• First Century Bank, Tazewell, Tennessee (Counterfeit Cashier's Checks);
• CreekSide Bank, Woodstock, Georgia (Counterfeit Cashier's Checks);
• EVB, Tappahannock, Virginia (Counterfeit Cashier's Checks);
• Merchants & Planters Bank, Toone, Tennessee (Counterfeit Personal Money Orders);
• Mercantile Bank, Orlando, Florida (Counterfeit Cashier's Checks);
• Commercial Bank, Alma, Michigan (Counterfeit Cashier's Checks);
• Community Bank of Nevada, Las Vegas, Nevada (Counterfeit Cashier's Checks);
• The Bank of Brodhead, Brodhead, Wisconsin (Counterfeit Official Checks); and
• First Indiana Bank, National Association, Indianapolis, Indiana (Counterfeit Cashier's Checks).

Information regarding the stolen and counterfeit items has been posted on the BOL Alerts & Counterfeits Page.  4/26/07

314(a) Fact Sheet Updated

FinCEN has updated the 314(a) Fact Sheet and the Information Sharing Report with data current as of April 24, 2007. 314(a); Sharing Report  4/26/07

Beige Book Updated

The FRB has updated the Beige Book with information current as of April 16, 2007. Summary; Full Report  4/26/07

Use of Home Equity Working Paper Published

A working paper in the FEDS series on the topic of "Sources and Uses of Equity Extracted from Homes" has been published by the FRB. Abstract; Full Paper  4/26/07

Subprime Mortgage Foreclosures Concern Dugan

In a presentation to the National Foundation for Credit Counseling, an organization for non-profit credit counselors, Comptroller Dugan focused on the risk of widespread foreclosures among subprime borrowers and the resulting costs for homeowners, communities, and financial institutions. He noted, "Foreclosures drag down neighborhood property values and make it harder to refinance or obtain new financing. Leaving a property vacant while in foreclosure often creates a negative cycle of disinvestment and decline for entire communities." Speech  4/25/07

Quarterly Review of Interest Rate Risk Published

OTS has published the Fourth Quarter 2006 issue of the Quarterly Review of Interest Rate Risk, which features a Q & A on Enterprise Risk Management. Quarterly Review  4/25/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the addition of data current as of April 20, 2007. Reserve Report  4/25/07

Counterfeit Cashiers' Checks Alerts Issued

The OCC and the FDIC have issued Alerts regarding counterfeit cashier's checks issued in or bearing the name of the following institutions:

• The Honesdale National Bank, Honesdale, Pennsylvania
• Credit Union Central Falls, Central Falls, Rhode Island,
• The Bartlett Farmers Bank, Barlow, Ohio,
• Farmers Bank and Trust Company of Georgetown, Georgetown, Kentucky, and
• The Bank of Edwardsville, Edwardsville, Illinois.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  4/24/07

ID Theft Website Launched and Strategic Plan Released

A new Web site has been launched by the President's Task Force on Identity Theft. The intent of IDTheft.gov is to be a one-stop resource for government information about identity theft. The site contains a link to the Task Force's Strategic Plan, which was released April 23, 2007, and sets out recommendations to prevent identity theft, to assist identity theft victims in recovering from those crimes, and to prosecute and punish identity theft-related criminals. ID Theft Web Site; Strategic Plan  4/24/07

Check 21 Reports Delivered To Congress

The FRB, as directed by the Check Clearing for the 21st Century Act of 2003 (Check 21), has prepared and issued to Congress a report on the law's effects on the nation's check-collection system and to assess the need for modifications to the funds-availability requirements established in and pursuant to the Expedited Funds Availability Act (EFAA). Report  4/24/07

Nine FEDS Working Papers Published

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

• Anchoring Bias in Consensus Forecasts and its Effect on Market Prices;
• A Brief History of the 1987 Stock Market Crash with a Discussion of the Federal Reserve Response;
• Diagnosing and Treating Bifurcations in Perturbation Analysis of Dynamic Macro Models;
• Learning By Investing--Embodied Technology and Business Cycles
• Studying Consumption with the Panel Study of Income Dynamics: Comparisons with the Consumer Expenditure Survey and an Application to the Intergenerational Transmission of Well-being;
• Do Households Have Enough Wealth for Retirement?;
• Taylor Rules;
• The Value Of Medicare Managed Care Plans and Their Prescription Drug Benefits; and
• Sources and Uses of Equity Extracted from Homes.

Anchoring Abstract;
Anchoring Full paper;
Brief History Abstract; Brief History Full Paper; Diagnosing Abstract;
Diagnosing Full Paper;
Learning Abstract;
Learning Full Paper;
Studying Abstract;
Studying Full Paper;
Do Households Abstract; Do Households Full Paper; Taylor Abstract;
Taylor Full Paper;
The Value Abstract;
The Value Full Paper;
Sources Abstract;
Sources Full Paper  4/24/07

Fed Proposes Amendments to Five Regulations

The Federal Reserve Board proposed Friday to amend five consumer financial services and fair lending regulations (Regulations B, E, M, Z and DD) to revise requirements for electronically providing consumer disclosures, and to implement provisions of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005. The Board is accepting comments on the proposed changes for 60 days following their publication in the Federal Register. The proposed changes would remove unnecessary restatements of the Electronic Signatures in Global and National Commerce (E-Sign) Act, withdraw a requirement that customers be notified by email when disclosures are ready, eliminate a 90-day access requirement, and clarify which disclosures may be made without regard to the E-Sign Act. Amendments  4/23/07

ID Theft Prevention Workshop Announced

The FTC has announced that it will host a workshop to explore methods to reduce identity theft The workshop, "Proof Positive: New Directions in ID Authentication," will be Webcast and will focus on technological and policy requirements for developing better authentication processes, including the incorporation of privacy standards and consideration of consumer usability issues. Workshop  4/23/07

Dugan Discusses CRA

In a presentation at the Greenlining Coalition's Annual Economic Summit, Comptroller Dugan said that the 30-year old Community Reinvestment Act (CRA), once a source of conflict, is now characterized by a significant degree of cooperation between banks and community organizations. He noted that the revitalization projects he has seen in the last 20 months are the real world results of a kind of constructive cooperation that he did not see 15 years ago. Speech  4/23/07

OTS Announces New Central Region

OTS has announced a restructuring and the formation of a new Central Region office to assume the oversight and supervision of OTS-regulated thrifts and their holding companies in five states: Ohio, Illinois, Indiana, Wisconsin and Michigan. Central Region; New Regional Structure Map  4/23/07

NCUA Proposes Rulemaking for Disclosure Mergers Related Compensation Arrangements

NCUA is issuing a proposed rule on mergers to require all federally insured credit unions to include a
description of any arrangements providing a material increase in compensation or benefits to senior
management officials in connection with the merger in the merger plan. The proposed rule also requires federal credit unions to disclose the existence of such compensation arrangements in the materials provided to members voting on whether to approve the merger. TXT; PDF  4/23/07

NCUA Publishes Proposed Rule for Member Inspection of Credit Union Books

The National Credit Union Administration (NCUA) is issuing a proposed rule on member inspection of
federal credit union (FCU) 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 the nonconfidential portions of the credit union's books, records, and minutes. TXT; PDF  4/23/07

IFD Working Paper Published

The FRB has published a working paper in the International Finance Discussion series on the topic of "Dollarization and Financial Integration". Abstract; Full Paper  4/23/07

Reich Discusses Predatory Lending

In a presentation before the Pittsburgh Community Development Group, OTS Director John Reich discussed the agency's efforts to combat predatory lending. He outlined a series of initiatives implemented to address predatory lending and stressed the need to continue responsible lending to borrowers with varied credit histories. Speech  4/19/07

Spam Summit Announced

The FTC will host a two-day workshop to bring together experts from the business, government, and technology sectors, consumer advocates, and academics to explore consumer protection issues surrounding spam, phishing, and malware. The "Spam Summit: The Next Generation of Threats and Solutions," will be held in Washington, DC on July 11 and 12, 2007. Spam Summit  4/19/07

OCC Preemption Upheld

The Supreme Court has upheld the OCC's regulation (12 C.F.R. 7.4006) preempting the applicability of state mortgage lending law to operating subsidiaries of national banks in the case of WATTERS v. WACHOVIA BANK. Upon learning of the decision Comptroller of the Currency Dugan stated, "We are pleased that the Court's decision supports the ability of national banks to continue to conduct business activities in their operating subsidiaries as they are now doing." Read a summary of the case in BOL Court Watch. Decision; 12 C.F.R. 7.4006; Dugan Statement  4/18/07

FDIC Publishes Rule for Supplemental Standards of Ethical Conduct for FDIC Employees

The FDIC published a Final Rule in the Federal Register today is finalizing the proposed rule to amend existing FDIC ethics regulations involving extensions of credit, ownership of stock, and definitions. It implements the Preserving Independence of Financial Institution Examinations Act of 2003, which amended sections 212 and 213 of title 18 of the United States Code. TXT; PDF  4/18/07

May HOEPA Rates Posted

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in May 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, you use the yield in effect on the 15th of the month that precedes the month you received the application. Since April 15 was a Sunday, use the rate on April 13, the business day immediately preceding the 15th. Weekly H.15  4/18/07

Indiana CU Receivership Announced

NCUA has assumed control of service and operations at Obelisk Federal Credit Union located in New Albany, Indiana. Receivership  4/18/07

Agencies Urge Working With Problem Mortgagors

A statement has been issued by the federal financial institutions regulatory agencies' that encourages financial institutions to work constructively with residential borrowers who are financially unable to make their contractual payment obligations on their home loans. Statement; FRB SR; OCC Bulletin; FDIC FIL; OTS CEO Ltr; NCUA PR  4/18/07

Complex Structured Finance Activities SR Letter Issued

The FRB has issued a Supervisory Letter (SR Letter) regarding the previously announced Interagency Statement on Sound Practices Concerning Elevated Risk Complex Structured Finance Activities. Information concerning the Statement was posted on January 12, 2007, BOL Top Stories. SR Letter; Statement  4/18/07

Discount Rate Meeting Minutes Released

The FRB has released the minutes of its discount rate meetings from February 5 through March 19, 2007. Minutes  4/18/07

Industrial Production Report Released

The G.17 Industrial Production and Capacity Utilization Report for March 2007 has been released by the FRB. G.17  4/18/07

FTC Redesigns Web Site

The Federal Trade Commission (FTC) has unveiled a redesigned Web site to enhance consumers' ability to find the information they want quickly and easily. FTC Web Site  4/18/07

Enforcement Actions Announced

The OCC has released new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks. Enforcement Actions  4/17/07

OTS publishes Correction to Community Reinvestment Act Rule—Interagency Uniformity

The OTS published a correction in the Federal Register for an inadvertent omission and incorrect
word in a final rule that appeared in the Federal Register of March 22, 2007 (72 FR 13429). That final rule reestablishes uniformity between OTS's Community Reinvestment Act (CRA) regulations and
those of the other federal banking agencies. TXT; PDF  4/17/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the addition of data current as of April 13, 2007. Reserve Position Report  4/17/07

February 2007 TIC Data Released

The Treasury International Capital (TIC) Data for February 2007 has been released by Treasury. TIC Data  4/17/07

Cost of Funds Reports

OTS has issued the historical and current National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Reports. Historical; Current  4/17/07

CRA Ratings Released

The OCC has released the ratings received by thirty-three national banks that were recently examined for compliance with the provisions of the CRA. Ratings  4/16/07

FedACH Origination Power Kit

FRB Financial Services has announced a complimentary CD copy of the FedACH
Origination Power Kit can be ordered online. The Power Kit is a blueprint to optimizing your own origination services, including increasing the usage of Direct Deposit, Direct Payment and Account Receivable Conversion (ARC). Power Kit  4/16/07

April 2007 FedFlash Published

The April 15, 2007 issue of FedFlash has been published and contains articles on the following topics: FedLine Learning announces New Support Center, FedLine Web Advancements available, cross-shipping fee assessments, and the Check adjustments new webinar series. FedFlash  4/16/07

2006 HMDA Data

The federal financial institution regulators and HUD have announced the availability of the 2006 HMDA that lenders are required to make available to the public within thirty days after receiving a request in the form of a Loan Application Register (LAR). FRB PR; OCC NR; FDIC PR; OTS PR; NCUA NR.  4/13/07

Community Bank Directors Compliance Risk Workshop

A workshop for community bank directors on the topic of compliance risk will be hosted by the OCC in Tulsa, Oklahoma, on May 15, 2007. The session will provide practical information that expands bank directors' skills and understanding of issues facing their banks. Workshop  4/13/07

Spring Edition Community Development Investments Newsletter Released

The OCC has released the Spring 2007 edition of Community Developments Investments, a newsletter that focusing on community development venture capital (CDVC). Community Development Investments  4/13/07

FEDS Working Papers Published

The FRB has published two working papers in the FEDS series on the topics of "Alternative Methods of Unit Nonresponse Weighting Adjustments: An Application from the 2003 Survey of Small Business Finances" and "Expected Stock Returns and Variance Risk Premia". Alternative Abstract; Alternative Full Paper; Expected Abstract; Expected Full Paper  4/13/07

ID Theft Supervisory Policy Issued

The FDIC has issued a FIL containing the agency's "Supervisory Policy on Identity Theft." The policy describes the characteristics of identity theft and sets forth the FDIC's expectations that institutions under its supervision take steps to detect and prevent identity theft and mitigate its effects in order to protect consumers and help ensure institutions' safe and sound operations. Policy  4/12/07

314a Fact Sheet and Information Sharing 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 10, 2007. 314a Fact Sheet; Information Sharing Report  4/12/07

CU Takes Action After Potential Data Breach

New Horizons Community Credit Union of Denver, Colorado is in the process of members of a potential breach of confidential member loan information as the result of the theft of a consultant's laptop computer. Data Breach  4/12/07

Bernanke Comments On The "Invisible Hand"

In a presentation at the New York University Law School, Chairman Bernanke discussed Adam Smith's concept of the free-market system as an "invisible hand" that harnesses the pursuit of private interest to promote the public good. He noted that for market-based regulation to work, the incentives of investors and other private actors must align with the objectives of the government regulator. Speech  4/12/07

Condition of the U.S. Banking Industry Report

The April 2007 issue of the Federal Banking Bulletin, which contains the First Quarter 2006 Report of Condition of the U.S. Banking Industry, has been published by the FRB. Bulletin  4/12/07

FOMC Minutes Released

The FRB has released the minutes of the March 20-21, 2007, meeting of the Federal Open Market Committee (FOMC). Minutes  4/12/07

FEDS Working Paper Published

A working paper in the Finance and Economics Discussion Series (FEDS) has been published on the topic of "A Cohort-Based Model of Labor Force Participation". Abstract; Full Paper   4/12/07

Reich Discusses Federal Thrift Charter Advantages

In a presentation at the California Bankers Association Strategic Issues Summit, OTS Director Reich discussed the advantages of the federal thrift charter. He noted the experience of California based thrifts with the federal thrift charter highlights these strategic benefits, including a unified institution/holding company regulator, seamless interstate branching, and the ability to lend under established uniform national standards. Speech  4/12/07

Defense Issues Proposed Lending Regulation

The Department of Defense issued a notice of proposed rulemaking and request for comments relating to proposed new regulations titled "Limitations on Terms of Consumer Credit Extended to Service Members and Dependents." The proposed new 32 CFR Part 232 would implement the consumer protections in section 670 of Public Law 109-364, the John Warner National Defense Authorization Act for Fiscal Year 2007, enacted October 17, 2006. The proposal is intended to regulate the terms of consumer credit extended by creditors to active duty service members and their dependents. BankersOnline issued a Special Briefing on the proposal on Tuesday, April 10, 2007.  4/11/07

Counterfeit Cashier's Checks Special Alert

The FDIC has issued a Special Alert regarding counterfeit cashier's checks bearing the name of Corus Bank, Schuamburg, Illinois. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits Page.  4/11/07

BHC Supervision Manual Updated

The FRB has updated the Bank Holding Company Supervision Manual that provides guidance supervisory personnel in planning and conducting inspections of bank holding companies and their nonbank subsidiaries. Manual  4/11/07

FinCEN Publishes Annual Report

FinCEN has published its Annual Report for Fiscal Year 2006. Annual Report  4/11/07

Special Alerts Issued

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

• The Madison Bank and Trust Company (MainSource Bank, Greensburg, Indiana)
  (Fraudulent Cashier's Checks);
• Partners Trust Bank, Utica, New York (Counterfeit Cashier's Checks); and
• Pioneer Bank, Roswell, New Mexico (Counterfeit Cashier's Checks).

Information concerning the counterfeit and fraudulent checks has been posted on the BOL Alerts & Counterfeits page.  4/10/07

Joint Agencies Publish Rule for Expanded Examination Cycle for Certain Small Insured Depository Institutions and U.S. Branches and Agencies of Foreign Banks

The OCC, Board, FDIC, and OTS (collectively, the Agencies) are jointly issuing and requesting public
comment on interim rules to implement the Financial Services Regulatory Relief Act of 2006 (FSRRA) and related legislation (collectively the Examination Amendments). The Examination Amendments permit insured depository institutions (institutions) that have up to $500 million in total assets, and that meet certain other criteria, to qualify for an 18-month (rather than 12-month) on-site examination cycle. TXT; PDF  4/10/07

Savings and Loan Holding Company Rating System Changes Proposed

OTS has issued a Notice and Request for Comment of proposed changes to the savings and loan holding company rating system. Notice  4/10/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the addition of data current as of April 6, 2007. Reserve Report   4/10/07

Consumer Credit Report Issued

The February 2007 G.19 Consumer Credit Report has been issued by the FRB. G.19  4/10/07

Agricultural Finance Databook Released

The FRB has released the E.15 Agricultural Finance Databook for March 2007. E.15  4/10/07

MSB List Update

FinCEN has updated the MSB List with the inclusion of data current as of March 14, 2007. The list now contains information on 35,969 MSBs. MSB List  4/09/07

Treasury Economic Update Issued

Treasury has issued an economic update that indicates that job creation and low unemployment continues along with increases in capital investment and tax revenues. Economic Update  4/09/07

Counterfeit Checks Special Alerts

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

• Southern Bank & Trust, Aiken, South Carolina (Counterfeit Cashier's Checks);
• Naugatuck Valley Savings and Loan, Naugatuck, Connecticut (Counterfeit Official Checks); and
• First State Bank of Warren, Warren, Arkansas (Counterfeit Cashier's Checks).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.  4/06/07

CRA Ratings Released

The FDIC has released the list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA) and the ratings they received. Ratings  4/06/07

Workshops For Bank Directors Announced

The OCC has announced it will host the following workshops for national community bank directors: "Compliance Risk: What Directors Need to Know" at the Omni Charlottesville Hotel, Charlottesville, Virginia, May 2, 2007 and "Understanding the OCC's Risk Assessment Process" at the Francis Marion Hotel, Charleston, South Carolina, May 8, 2007. Compliance Risk; Understanding  4/06/07

FRB Publishes Final Rule in Federal Register for Reserve Requirements of Depository Institutions

The Board of Governors is revising its 1980 interpretation of Regulation D (Reserve Requirements of
Depository Institutions) setting forth criteria for the "bankers' bank" exemption from reserve requirements. The interpretation sets forth the standards that the Board uses in applying the statutory and regulatory requirements for the bankers' banks exemption to specific institutions. TXT; PDF  4/06/07

OTS Schedules Regional Financial Management Seminars

OTS has announced the schedules for its Northeast and Midwest Regional Financial Management Seminars. Northeast; Midwest  4/06/07

First Quarter ACH Newsletter Published

FRB Financial Services has published the ACH Newsletter for the First Quarter 2007. Newsletter  4/06/07

OFAC CMPs Announced

Treasury has announced the Civil Money Penalties that were recently assessed against entities for violations of various Sanctions Programs. A credit union remitted $3,102 to settle allegations of violations of the Cuban Assets Control Regulations. CMPs  4/05/07

Reg D Interpretation Revised

The FRB has announced final revisions to its 1980 interpretation of Regulation D, which sets forth criteria for the "bankers' bank" exemption from reserve requirements. The Board may now determine, on a case by case basis, whether certain entities may become customers of bankers' banks to a limited extent. Revisions  4/05/07

Joint Agencies Publish Correction to Proposed Rule

The OCC, Board, FDIC, OTS, NCUA, FTC, and SEC (the Agencies) published a correction in the Federal Register to the proposed rulemaking for Privacy Form Under the Gramm–
Leach–Bliley Act first published in BOL's Top Stories on March 29. The correction is relative to sharing personal information. TXT; PDF  4/05/07

March Statistical Supplement Published

The March 2007 Statistical Supplement to the Federal Reserve Bulletin has been published. Supplement  4/05/07

Regulators Propose Expanded Examination Cycle

The federal bank and thrift regulators are requesting public comment on proposed interim rules expanding the range of small institutions eligible for an extended 18-month on-site examination cycle. Proposal; FRB PR; OCC NR; FDIC PR; OTS PR   4/04/07

BSA C&D Order Issued

NCUA has issued a Cease and Desist (C&D) Order against Dover N. J. Spanish American Federal Credit Union to correct substantial Bank Secrecy Act (BSA) compliance problems. Order  4/04/07

Order of Prohibition Issued

The FRB has issued an Order of Prohibition against Tracy Schroeder, a former branch manager and institution-affiliated party of First Interstate Bank, Bozeman, Montana, for the alleged embezzlement of $34,632 from the Bank and falsification of the Bank's books and records. Order  4/04/07

CRA Ratings Released

OTS has released the ratings received by the savings associations recently evaluated for compliance with the CRA. Ratings   4/04/07

New FedReceipt Routing Numbers Announced

FRB Financial Services has announced new FedReceipt routing numbers. Routing Numbers  4/04/07

Reserve Assets Report Issued

The FRB has issued the Foreign Official Assets Held at Federal Reserve Banks report for March 2007. Assets Report  4/04/07

International Reserve Position Update

The U.S. International Reserve Position report has been updated by Treasury to include data as of March 30, 2007. Reserve Position  4/04/07

Four Counterfeit Cashier's Checks Special Alerts

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

• United Community Bank, Chatham, Illinois;
• Atlantic Pacific Bank, Santa Rosa, California;
• First National Bank of Gwinnett, Duluth, Georgia; and
• Frontier Bank, Everett, Washington.

Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  4/03/07

March Reporting Forms Online

The FFIEC has posted the March 2007 Form 031 and Form 041 online. Form 031; Form 041  4/03/07

FRB To Decommission Computer Interface

The Federal Reserve Banks have announced plans to decommission the Systems Network Architecture (SNA)-based Computer Interface (CI) access solution. Customer conversion of all critical payment services is scheduled to be completed by December 31, 2008. Computer Interface  4/03/07

Fourth Quarter Thrift Industry Charge-Off Rates Released

OTS has released the Thrift Industry Charge-Off Rates report for the fourth quarter 2006. Charge-Off Rates  4/03/07

2007 Filing Schedule Online

OTS has posted online the agency's 2007 filing schedule for regulatory reports. Schedule  4/03/07

Financial Management Seminars Scheduled

OTS has scheduled three financial management seminars for Northeast Region to be held in May and June 2007. The sessions are designed to benefit CEOs, CFOs, Investment Managers, Controllers, and others responsible for accounting and financial reporting, coordination of auditing services or interest rate risk analysis at OTS supervised thrifts. Seminars  4/03/07

March 2006 Foreign Exchange Rates Released

The FRB has released the G.5 Foreign Exchange Rates Report for March 2007. G. 5  4/03/07

Ten Entities Added To OFAC List

OFAC has identified seven companies and three individuals who have supplied arms or provided support to armed militias or the leaders of foreign armed groups operating in the Democratic Republic of the Congo (DRC) and added the names to the SDN List with the DRCONGO designation. Information regarding the new additions has been posted on the BOL OFAC page.  4/02/07

Counterfeit Checks Alerts Issued

The OCC has issued two Alerts regarding counterfeit cashier's checks issued in the names of the First National Community Bank, Dunmore, Pennsylvania, and the First National Bank & Trust, Beloit, Wisconsin. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.  4/02/07

Bernanke on the CRA

In a presentation at the Community Affairs Research Conference, in Washington, D.C., Chairman Bernanke noted that it is the thirtieth anniversary of the enactment of the Community Reinvestment Act (CRA) and presents an interesting case study of a regulatory regime that has evolved to adjust to changes in the economic, financial, and social environment. He remarked that in implementing the law, the banking agencies have tried to learn from market developments, research, the comments of financial institutions, consumers, and other interested parties. Speech  4/02/07

Agencies Revamp Banking Web Site

The federal banking agencies have announced that the Quarterly Reports of Condition and Income (Call Report) data is now available online faster and in multiple formats through the Central Data Repository (CDR). CDR; FRB PR; OCC NR; FDIC PR  4/02/07

Permissible Activities NPR Issued

OTS has issued a Notice of Proposed Rulemaking (NPR) regarding a proposal to expand the permissible activities of savings and loan holding companies (SLHCs) to the full extent permitted under the Home Owners' Loan Act (HOLA). NPR  4/02/07

Finance Companies Report Released

The G.20 Finance Companies Report for March 30, 2007 has been released by the FRB. G.20  4/02/07

April 1 FedFlash Published

The FRB Financial Services has published and posted online the April 1, 2007, issue of FedFlash that features articles on the restructuring the check transportation network; Savings Bond seminars; Back Office Conversion (BOC) online resource center; and the new FedReceipt RTN's. FedFlash  4/02/07

Fourth Quarter 2006 FDIC State Profiles Released

The FDIC has released the State Profiles for the Fourth Quarter 2006. Profiles  4/02/07

2006 Record Bank Trading Revenues Break Record

The OCC has released the Fourth Quarter 2006 Report on Bank Derivatives Activities, which indicates that the insured U.S. commercial banks posted a record $18.8 billion in trading revenues in 2006, up 31 percent from the previous annual record of $14.4 billion, set in 2005. Report  4/02/07

Final Interest Rate Measure Report Issued

OTS has issued the Final Interest Rate Measures Report of the Fourth Quarter 2006. Final Report  4/02/07

Working Papers Published

The OCC has published two working papers on the topics of "The Probability Approach to Default Probabilities" and "Bank failure: Evidence from the Colombian financial crisis". Probability; Bank Failure  4/02/07

Counterfeit Special Alerts Issued

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

• KleinBank, Big Lake, Minnesota (Counterfeit Personal Money Orders),
• Central Bank, Lebanon, Missouri (Counterfeit Cashier's Checks),
• Merchants and Farmers Bank, Kosciusko, Mississippi (Counterfeit Cashier's Checks),
• Peoples National Bank, Hallstead, Pennsylvania (Counterfeit Money Orders), and
• United Community Bank, Lawrenceburg, Indiana (Counterfeit Official Checks).

In addition, the OCC has issued an Alert regarding counterfeit official checks issued in the name of Harleysville National Bank, Harleysville, Pennsylvania. Information regarding the counterfeit items has been posted on the BOL Alerts & Counterfeits Page.   2/28/07

Six Individuals added To OFAC List

Treasury has added to the OFAC SDN List the names of six Belarusian Government officials who played important roles in the oppressive regime of Alexander Lukashenka and were active in the crackdown on civil society and democratic opposition during the March 2006 Presidential elections in Belarus. Information regarding the additions has been posted on the BOL OFAC Page.   2/28/07

Missing Cashier's Checks Special Alert

A Special Alert has been issued by the FDIC regarding eighty-four (84) cashier's checks bearing the name of Pacific Western Bank, San Diego, California, that are missing, lost or stolen. Special Alert   2/28/07

Comments Sought on Insurance Assessments Proposal

The FDIC has issued a FIL announcing that comments are sought on proposed guidelines for determining how adjustments of up to 0.50 basis points would be made to the quarterly assessment rates of insured institutions defined as large Risk Category I institutions. FIL; Proposal   2/28/07

Late HMDA Reporting Results in CMPs

The NCUA has announced that during the fourth quarter of 2006 twenty-two federally insured credit unions were assessed civil money penalties (CMPs)t for being late in submitting 2005 HMDA data. CMP   2/28/07

314(a) Fact Sheet and Sharing Report Update

FinCEN has updated the 314(a) Fact Sheet and the Law Enforcement Information Sharing with Financial Institutions Report with data current as of February 27, 2007. 314(a); Sharing Report    2/28/07

Winter 2006 Issue FDIC Outlook Published

The FDIC has published the Winter 2006 issue of the FDIC Outlook provides a quarterly analysis of current national and regional trends that may affect the risk exposure of insured depository institutions. Outlook   2/28/07

Cayman Islands Updates Unauthorized Banking List

The FDIC has issued a Special Alert regarding the publication by the Cayman Islands Monetary Authority (CIMA) of a list of financial entities whose Web sites note a Cayman Island address, but the entities are neither registered nor licensed to undertake activities regulated by the CIMA, as of January 31, 2007. Special Alert; List   2/28/07

FRB Releases Discount Rate Meeting Minutes

The minutes of the January 29, 2007, meeting of the FRB regarding discount rates ahs been released. Minutes   2/28/07

Charge-Off and Loan Delinquency Report Issued

The FRB has issued the Charge-Off and Delinquency Rates on Loans and Leases at Commercial Banks Report for the 4th Quarter 2006. Report   2/28/07

Dugan Discusses Risk Mamagement

In a presentation before a meeting of the Global Association of Risk Professionals, the Comptroller Dugan noted that because the goals of bank risk managers are so closely aligned to those of the regulators, the regulations and guidance issued by regulatory agencies can support the managers in meeting their firms' objectives. Speech   2/28/07

New Markets Tax Credit Program Featured By OCC

The OCC has published the February 2007 issue of Community Development Insights that features report entitled, "New Markets Tax Credits: Unlocking Investment Potential. The report highlights the key features of the New Markets Tax Credit (NMTC) program and major considerations facing bank investors who use the credits to develop and support community and economic development activities. Insights    2/28/07

Banking Accounting Advisory Series January 2007 Edition Published

The OCC has published the January 2007 edition of the Banking Accounting Advisory Series that contains the OCC's current views on accounting topics of interest to national banks. One new topic, Financial Statement Presentation, has been added and questions have been added or revised to other topics previously discussed. Accounting Advisory Series   2/27/07

IFDP Working Papers Published

The FRB has published two working papers in the International Finance Discussion Papers (IFDP) series on the topics of "Flying Geese or Sitting Ducks: China's Impact on the Trading Fortunes of other Asian Economies" and "Are Antidumping Duties for Sale? Case-Level Evidence on the Grossman-Helpman Protection for Sale Model". Flying Geese Abstract; Flying Geese Full Paper; Antidumping Abstract; Antidumping Full Paper   2/27/07

$197,000 Embezzlements Results in Prohibition Order

The FRB has announced the issuance of a consent Order of Prohibition against a former employee of Civitas BankGroup, Inc., Franklin, Tennessee, for violations of law, unsafe and unsound banking practices, and breaches of fiduciary duty related to the embezzlement of over $197,000. Order   2/26/07

Fraudulent FDIC Emails Sent To Financial Institutions

The FDIC has issued a Special Alert regarding emails that are being sent to financial institutions and appear to be from the FDIC or VeriSign, Inc. The emails ask the institutions run a security guard script to secure Web sites. Special Alert    2/23/07

23A Exemption Granted

A letter granting an exemption from section 23A of the Federal Reserve Act for certain covered transactions between a national bank and an affiliate of the bank in connection with the bank's securities lending program has been issued by the FRB. The bank proposed a securities lending program in which the bank would lend to the affiliate securities that have been pledged to bank as collateral by unaffiliated customers. Letter   2/23/07

Regulators Agree On Hedge Funds Issues Approach

The President's Working Group on Financial Markets (PWG) has released a set of principles and guidelines to guide U.S. financial regulators as they address public policy issues associated with the rapid growth of private pools of capital, including hedge funds. The PWG is chaired by the Treasury Secretary and composed of the chairmen of the FRB, the SEC, and the Commodity Futures Trading Commission. Guidelines    2/23/07

FEDS Working Paper Published

The FRB has published a working paper in the FEDS series on the topic of "Rounding and the Impact of News: A Simple Test of Market Rationality". Abstract; Full Paper   2/23/07

Fourth Quarter 2006 TRF Data Released

OTS has released the Aggregated Thrift Financial Report (TFR) Data for the fourth quarter 2006. TRF Data   2/23/07

FDIC Insured Institutions Report Record Earnings

The FDIC has issued the Quarterly Banking Profile that indicates commercial banks and savings institutions insured by the agency reported net income of $145.7 billion in 2006, eclipsing the previous record of $133.9 billion set in 2005. Earnings; Quarterly Banking Profile   2/23/07

2007 TFR Instruction Manual Published

OTS has published the 2007 Thrift Financial Report Instruction Manual. Manual   2/22/07

NCUA Publishes Final Rule in Federal Register for General Lending Maturity Limit and
Other Financial Services

NCUA is amending its rules to implement amendments to the Federal Credit Union Act (FCU Act)
made by the Financial Services Regulatory Relief Act of 2006 (Reg Relief Act). The final rule revises the maturity limit in the general lending rule and permits federal credit unions to provide certain, limited financial services to nonmembers within their fields of membership.TXT, PDF .   2/22/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position report with the addition of data as of February 16, 2007. Reserve Position   2/22/07

FOMC Minutes Released

The Federal Open Market Committee of the FRB has released the minutes of its January 30-31, 2007 meeting. Minutes   2/22/07

Thrift Industry Posts Strong 2006 Earnings

OTS has reported that OTS-regulated thrifts posted historically strong earnings and profitability in 2006 despite weakening in the fourth quarter from the slowdown in the housing markets. Earnings    2/22/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of The Bank of Napa, N.A., Napa, California. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   2/21/07

SDGT Added To OFAC List

Treasury has been designated a construction company formed and operated by Hizballah, a Lebanon-based terrorist group, as a SDGT and added it to the SDN List. Information regarding the company has been posted on the BOL OFAC Page.   2/21/07

Insurance Funds 2006 Financials Released

The FDIC has released the year-end 2006 financial results for the Deposit Insurance Fund (DIF) and the FSLIC Resolution Fund (FRF). Financials Summary; Annual Report   2/21/07

CU Conservatorship Announced

NCUA has announced that the Huron River Area Credit Union, a state-chartered, federally insured credit union serving individuals working primarily in the Ann Arbor, Michigan, area has been placed into conservatorship and is being operated by the agency. Conservatorship   2/21/07

Seven Working Papers Published

The FRB has published one working paper in the FEDS series on the topic of Rational Seasonality and six in the IFD series on the following topics:

• Predicting Sharp Depreciations in Industrial Country Exchange Rates,
• Changes in Job Quality and Trends in Labor Hours,
• Measurement Matters for Modeling U.S. Import Prices,
• International Asset Markets And Real Exchange Rate Volatility,
• Of Nutters and Doves, and
• Global Asset Prices and FOMC Announcements.

Rational Abstract; Rational Full Paper; Predicting Abstract; Predicting Full Paper; Changes Abstract; Changes Full Paper; Measurement Abstract; Measurement Full Paper; International Abstract; International Full Paper; Of Nutters Abstract; OF Nutters Full Paper; Global Abstract; Global Full Paper   2/21/07

March HOEPA Rates Established

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in March 2007 will be subject to HOEPA under the APR trigger test. Use the FRB H.15 to find applicable release that lists the Treasury Security with the same maturity term as your loan. To make the calculation, you 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.   2/20/07

Iranian Companies Designated By OFAC

Three Iranian companies owned or controlled by the Atomic Energy Organization of Iran have been designated as proliferators of weapons of mass destruction by Treasury and added to the OFAC SDN List. Information concerning the companies has been posted on the BOL OFAC page.   2/20/07

CRA Evaluations Released

The OCC has released the ratings received by twenty-one national banks that were recently evaluated for compliance with the CRA. Ratings   2/20/07

DST Change Bulletin Issued

A Bulletin has been issued by the OCC regarding the risks posed to servers, mainframes, other important systems, and essential computer clock-dependent processes due to the change in the effective dates of daylight savings time (DST). Bulletin   2/20/07

FR Corrects Article Error Regarding Check Processing

FRB Financial Services has issued a statement concerning an article that stated that the FR intended to exit the paper check processing business by 2010. The reference to service withdrawal in 2010 regarded the Reserve Banks' plans to transition electronic check payor bank services to Check 21 presentment services by that date. Check Processing   2/20/07

CRA Direct Mail Program Alert

The FRB has issued an alert to the public concerning direct mail solicitations directed at homeowners that may be read to indicate that the Federal Reserve endorses or supports the offers contain in the solicitations. The offers that suggest there is a "Community Reinvestment Act (CRA) program" that entitles certain homeowners to cash grants or equity disbursements. Solicitations   2/20/07

FDIC 2006 Annual Report Online

The FDIC has posted the agency's 2006 Annual Report on its Web page. Index.   2/20/07

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   2/16/07

Comments Sought on Basel II Proposed Guidance

The federal bank and thrift regulatory agencies are seeking public comment on three proposed supervisory guidance documents related a previously issued notice of proposed rulemaking on new risk-based capital requirements (known as Basel II) for large, internationally active banking organizations. Comment Request; Proposed Guidance; FRB PR; OCC NR; FDIC PR; OTS PR   2/16/07

FedFlash February 2007 Issue Published

FRB Financial Services has announced the publication of the February 15, 2007 issue of FedFlash that contains articles on the new CheckImage Central Web site, improvements to FedACH derived returns functionality, the FedCash cross-shipping reports and custodial inventory program, and new NACHA network administration fees. FedFlash   2/16/07

December 2007 TIC Data Released

Treasury has released the Treasury International Capital (TIC) data for December 2006. TIC   2/16/07

Cost of Funds Reports Published

OTS has published the historical National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Report. Report   2/16/07

Industrial Production and Capacity Utilization Report Issued

The January 2007 G.15 Industrial Production and Capacity Utilization report has been issued by the FRB. G.15    2/16/07

Finance Companies Report Released

The FRB has released the G.20 finance companies on owned and managed receivables outstanding and auto loans: terms of credit report. G.20   2/16/07

Interest Rates Working Paper Published

A working paper in the FEDS series has been published by the FRB on the topic of Linear Cointegration of Nonlinear Time Series with an Application to Interest Rate Dynamics. Abstract; Full Paper   2/16/07

FRB Monetary Report Presented to Congress

FRB Chairman Bernanke has presented the regulator's semiannual Monetary Policy Report to Congress. In testimony before the Senate Committee on Banking, Housing, and Urban Affairs, he noted that the U.S. economy seems likely to expand at a moderate pace this year and next, with growth strengthening somewhat as the drag from housing diminishes. Testimony; Report   2/15/07

February 2007 OFAC Enforcement Actions Released

OFAC has released the February 2007 list of enforcement actions taken and civil money penalties (CMP) issued for violations of various Sanctions Programs. No financial institutions were listed. OFAC CMP   2/14/07

Prohibition Orders Issued

NCUA has issued orders prohibiting four individuals from participating in the affairs of any federally insured financial institution. Orders   2/14/07

Missing, Lost, or Stolen Checks Special Alert

The FDIC has issued a Special Alert regarding 259 CD interest checks that are missing, lost or stolen and bear the name of Independent Bank of Austin, SSB, Austin, Texas. Special Alert   2/14/07

314(a) Fact Sheet Update

FinCEN has updated the 314(a) Fact Sheet with information current as of February 13, 2007 and released new data regarding law enforcement information sharing with financial institutions. Fact Sheet; Information Sharing   2/14/07

FRB CAC Meeting Scheduled

The next meeting of the FRB Consumer Advisory Council (CAC) is scheduled for March 8, 2007, in Washington D.C. The meeting is open to the public and registration is required. The Council will discuss the following topics: home mortgage foreclosures, model financial privacy notices, amendments to the Electronic Fund Transfers Act/Regulation E, and check holding practices. Meeting; Registration   2/14/07

International Reserve Position Update

Treasury has updated the U. S. International Reserve Position report with the addition of data as of February 9, 2007. Reserve Position   2/14/07

CIP and Banks Serving as Insurance Agents Guidance Issued

FinCEN has issued Guidance in the FAQ format regarding Customer Information Programs (CIP) and banks serving as insurance agents. The following question is answered. Is an account established with the bank, for purposes of the bank's Customer Identification Program, when a person purchases insurance through the bank under this arrangement? Guidance   2/13/07

Counterfeit Cashier's Checks Special Alerts Issued

The FDIC has issued two Special Alerts regarding counterfeit cashier's checks bearing the names of The Cape Cod Five Cents Savings Bank, Harwich Port, Massachusetts, and Trust One Bank, Memphis, Tennessee. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.    2/12/07

Revised SAR and SAR-MSB Electronic Filing Instructions Issued

FinCEN has issued new general specifications for electronic filing of BSA reports to be followed for electronic filing of all revised SARs and new record specifications for magnetic, electronic media filing and e-filing of SAR-MSBs. BSA Reports; SAR-MSBs    2/12/07

Blair Discusses AML Issues and Challenges

In a presentation before the Fourth Puerto Rican Symposium of Anti-Money Laundering, FDIC Chairman Blair reviewed the efforts the FDIC is engaged in to ensure a strong anti-money laundering program across the banking industry without needlessly increasing regulatory burden. She noted banks and financial services providers find themselves on the front lines of the efforts to combat terrorist activities and the difference they can all make in preventing terrorist activity and financial crimes cannot be overstated. Speech   2/12/07

FDIC Announces Enforcement Decisions

The list of Enforcement Decisions and Orders for December 2006 announced by the FDIC includes a Civil Money Penalty (CMP) of $800,000.
Decisions   2/09/07

Fake E-Mail Special Alert

The FDIC has issued a Special Alert regarding fraudulent e-mails appearing to be sent from ViewPoint Bank Financial Solutions and the FDIC. The e-mail requests the recipient to register for a code to protect against credit card fraud and describe fictitious relationships between the FDIC and VISA, MasterCard, Yahoo, eBay, Amazon.com, and Half.com. Special Alert   2/09/07

Counterfeit Check Scams Brochure Published

The FTC has published a new brochure, Giving the Bounce to Counterfeit Check Scams, which explains common angles used in these scams, the responsibilities of banks and consumers when it comes to counterfeit checks, and advice on how to avoid these increasingly common traps. Brochure   2/09/07

Consumer Complaint Brochure Available

OTS has announced the availability of a consumer information brochure on how they can resolve complaints with financial institutions. Consumers are encouraged to try to resolve a problem directly with an institution by contacting senior management or the institution's consumer affairs department. Brochure   2/09/07

Counterfeit Cashier's Checks and Money Orders Alert Issued

The OCC has issued an Alert regarding counterfeit cashier's checks and money orders
issued in the name of Peoples National Bank, Hallstead, Pennsylvania. Information regarding the counterfeit cashier's checks and money orders has been posted on the BOL Alerts & Counterfeits page.   2/08/07

Early Savings Bond Redemptions Authorized

Treasury has authorized the early redemption of certain EE and I series savings bonds by savings bond agents serving one or more of the Florida Counties of Lake, Seminole, Sumter, and Volusia recently affected by severe weather. Early Redemptions   2/08/07

HMDA and CRA Data Collection Reminders Issued

The FFIEC has issued a reminder of previously announced information that relates to HMDA and CRA data collection for calendar year 2007 that will be reported in 2008. HMDA Reminder; CRA Reminder   2/08/07

FTC Top Complaints List Published

The FTC issued its annual report, "Consumer Fraud and Identity Theft Complaint Data" on complaints consumers have filed with the agency. List   2/08/07

Consumer Credit Report Issued

The FRB has issued the G.19 Credit Report for December 2006. G.19   2/08/07

Counterfeit Cashier's Checks Alerts Issued

The OCC has issued two Alerts regarding counterfeit cashier's checks issued in the name of Stillwater National Bank & Trust Company, Stillwater, Oklahoma, and First National Bank of Gillette, Gillette, Wyoming. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   2/07/07

Names Removed From OFAC List

Treasury has announced that the names of six individuals with the Columbia anti-narcotics designation have been deleted from the SDN List. Information concerning the deletions has been posted on the BOL OFAC Page.    2/07/07

Soft Dollar Guidance Bulletin Issued

The OCC has issued a Bulletin regarding the previously released SEC Guidance concerning the use of commission payments by fiduciaries. Bulletin; Guidance   2/07/07

Gift Card Consumer Brochure Published

OTS has published brochure for consumers on the purchase and use of gift cards. Brochure   2/07/07

Bernanke Discusses Economic Opportunities

In a presentation before the Greater Omaha Chamber of Commerce, Chairman Bernanke discussed the American idea that all individuals should have the opportunity to succeed on the basis of their own effort, skill, and ingenuity. He noted that three principles seem to be broadly accepted in our society: that economic opportunity should be as widely distributed and as equal as possible; that economic outcomes need not be equal but should be linked to the contributions each person makes to the economy; and that people should receive some insurance against the most adverse economic outcomes, especially those arising from events largely outside the person's control. Speech    2/07/07

FHC List Updated

The FRB has updated the list of bank holding companies that have elected as of February 3, 2007, to be treated as a financial holding company (FHC). FHC List   2/07/07

Katrina Guidance Still In Effect

The FRB and the FFIEC have issued reminders to financial institutions that the previously issued interagency Hurricane Katrina guidance remains in effect and there are borrowers who may need additional time to resolve financial uncertainties related to the effects of the hurricane. FRB SR; FFIEC PR; Katrina Guidance   2/06/07

OCC Licensing Manual Updated

The OCC has announced that its Licensing Manual has been updated with a revision to the Change in Bank Control booklet that discusses rebuttals of control and acting in concert filings. The revised booklet is available online. Booklet   2/06/07

January 2007 Senior Loan Officer Opinion Survey Results

The results of the January 2007 Senior Loan Officer Opinion Survey on Bank Lending Practices has been published by the FRB. The survey contained special questions about changes in terms on commercial real estate loans during 2006, the effects of the 2005 bankruptcy reforms, and expected changes in asset quality over 2007. Summary; Full Report   2/06/07

Winter Issue FDIC Consumer News Published

The FDIC has published and posted online the Winter 2006/2007 issue of the Consumer News. The issue focuses on ways consumers can be prepared, be informed, and be in charge. Summary; Winter Consumer News   2/06/07

Directo a Mexico Seminars Announced

The Federal Reserve Banks, Banco de México and Bansefi are hosting two teleseminars on March 13 and 19, 2007, to provide information to credit unions about the Directo a México service and the new Beneficiary Account Registration (BAR) Web site. Seminar Information; Registration   2/06/07

2008 Blue Book Released

The General Explanations of the Administration's Fiscal Year 2008 Revenue Proposals, also known as the Blue Book, has been released by Treasury. Blue Book   2/06/07

Reserve Position Updated

Treasury has updated the U.S. International Reserve Position report with the addition of data current as February 2, 2007. Reserve Position    2/06/07

Daylight-Savings Time Changes Impact FR Banks

New starting and ending dates for daylight-saving time will go into effect this year. The FRB recommends that all computers used to connect to the Federal Reserve Banks be upgraded with operating system patches provided by vendors. Daylight-Savings   2/05/07

Spanish Online EDIE Available

The FDIC has issued a FIL announcing that a Spanish language version of its Electronic Deposit Insurance Estimator for consumers, also known as Online EDIE, is available. FIL; Spanish EDIE   2/05/07

Savings Bank Deposits Assumed

The FDIC has announced that Metropolitan Savings Bank, Pittsburgh, Pennsylvania, has been closed and its insured deposits have been assumed by Allegheny Valley Bank of Pittsburgh, Pittsburgh, Pennsylvania. Information for depositors has been posted online. Assumption; Closing Information   2/05/07

FDIC publishes notice of proposed rulemaking for Industrial Bank Subsidiaries of Financial Companies

The FDIC is proposed rules that would impose certain conditions and requirements on each deposit insurance application approval and non-objection to a change in control notice that would
result in an insured industrial loan company or industrial bank becoming a subsidiary of a company that is engaged solely in financial activities and that is not subject to consolidated bank supervision by the Federal Reserve Board or the Office of Thrift Supervision.TXT, PDF    2/05/07

Treasury Releases Quarterly Economic Update

The quarterly economic update has been released by Treasury. The report indicates that GDP growth in the fourth quarter was 3.5 percent and inflation was moderate at 1.5 percent. Update   2/05/07

FR Bulletin Statistical Supplement Published

The January 2007 statistical supplement to the Federal Reserve Bulletin has been published. SupplementTXT, PDF    2/05/07

Fourth Quarter Price Tables Released

OTS has released the asset and liability price table for the fourth quarter 2006. Price Tables   2/05/07

Seven Counterfeit Checks Special Alerts Issued

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

• Pinnacle Bank - Wyoming, Torrington, Wyoming (Counterfeit Cashier's Checks),
• Bank of Clarkson, Clarkson, Kentucky (Counterfeit Cashier's Checks),
• Ridgewood Savings Bank, New York, New York (Counterfeit Cashier's Checks),
• Indiana First Savings Bank, doing business as Indiana First Bank, Indiana, Pennsylvania (Counterfeit Checks),
• State Bank of Alcester, Alcester, South Dakota (Counterfeit Cashier's Checks),
• Liberty Bank of Arkansas, Jonesboro, Arkansas (Counterfeit Cashier's Checks), and
• River Valley Financial Bank, Madison, Indiana (Counterfeit Cashier's Checks).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   2/02/07

Prohibition Order Issued

The FRB has announced the issuance of an Order of Prohibition against Perry D. Lane, former president, chief executive officer and director of Exchange Bank of Missouri, Fayette, Missouri. The Order was based on Mr. Lane's alleged participation in violations of law, unsafe and unsound banking practices, and breaches of fiduciary duty in connection with reports to the bank's management and board of directors of the delinquency status and other information concerning borrower's loans, and other actions related to loan documentation, property appraisals, and loan purpose statements. Order   2/02/07

CRA Ratings Announced

OTS has announced the ratings received by savings associations that were recently evaluated for compliance with the CRA. Ratings    2/02/07

Amendment To Operating Circular Clarifies New Coin Public Release Dates

The FRB has announced a revision to OC-2 to address the pre-release of new and special coin. A new section 5.8 states that depository institutions are prohibited from releasing such coin to customers or the public prior to the official release date, but may distribute the coin within their institution, to their cash vaults and to their respondent banks. OC-2   2/02/07

New Routing Numbers Announced

FRB Financial Services has announced new routing numbers that have been added to the Reserve Banks' FedReceipt forward collection product. Routing Numbers   2/02/07

Foreign Exchange Rates Report Released

The G.5 Foreign Exchange Rates Report for January 2007 has been released by the FRB. G.5   2/02/07

Monetary Aggregates Working Paper Published

The FRB has published a working paper in the Finance and Economics Discussion Series (FEDS) on the topic of "Measurement of Monetary Aggregates across Countries". Abstract; Full Paper    2/02/07

January FedFocus Online

The January 2007 issue of FedFocus has been posted online. The issue features the outlook or 2007 and building customer-focused solutions. FedFocus   2/02/07

February FedFlash Published

The February 1, 2007 issue of FedFlash features articles on: ordering savings bond forms online, the ordering process for the new $1 Washington coin, the update of the Check Adjustment CIPS requirements, and the amendment of Operating Circular 2. FedFlash   2/02/07

ILC Moratorium Extended

The FDIC Board of Directors have voted to continue for one year a moratorium on applications for deposit insurance and change in control notices for industrial loan companies (ILCs) that will be owned by commercial companies. The Board also issued for public comment a proposed rule to strengthen the framework for consideration of applications or notices for industrial banks owned by financial companies not subject to federal consolidated bank supervision.
Extension; Moratorium; Proposed Rule   2/01/07

Fed Funds Rate Unchanged

The Federal Open Market Committee (FOMC) has decided to keep its target for the federal funds rate at 5-1/4 percent. FOMC   2/01/07

New Electronic Interpretations and Actions Announced

The OCC has announced the new electronic interpretations and actions report for January 2007. Report   2/01/07

Access Across America Summit Registration Information

NCUA has announced that registrations are now being accepted for its Access America. Summit Information; Registration   2/01/07

Counterfeit Cashier's checks Alerts Issued

The OCC has issued three Alerts regarding counterfeit cashier's checks issued in the names of the following banks:

• Bank of Cumberland (A Division of First National Bank Columbia) Burkesville, Kentucky,
• The Summit National Bank, Atlanta, Georgia, and
• Fairfield National Bank, Lancaster, Ohio.

Information regarding the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   1/31/07

FDIC Revises Compliance Examination Handbook

The FDIC has issued a FIL announcing the revision of the Compliance Examination Handbook and its availability online. FIL; Handbook   1/31/07

314a Fact Sheet Update

FinCEN has updated the 31a Fact Sheet with information current as of January 30, 2007. 314a   1/31/07

Global Terrorism Sanctions Regulations Amended

OFAC has published an amendment to the Global Terrorism Sanctions Regulations to better define the term "otherwise associated with" and to clarify the procedures for seeking reconsideration of a designation as a SDGT. No changes were made at this time to the SDN List as a result of the amendment. Amendment   1/31/07

Reich Praises Work of Financial Literacy and Education Commission

In a presentation at the 10th meeting of the Financial Literacy and Education Commission, OTS Director Reich applauded the efforts of the Commission in promoting awareness of the importance of financial education and specifically its work in assisting Americans in understanding the complexities of everyday financial products, such as credit cards, checking accounts and mortgages. Speech   1/31/07

Reserve Assets Report Issued

The FRB has issued the 3.12 U.S. Reserve Assets and 3.13 Foreign Official Assets held at FR Banks reports for January 2007. Reports   1/31/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the addition of data current as of January 26, 2007. Reserve Position   1/30/07

Market Financing Estimates Announced

The market financing estimates for first and second quarters of 2007 have been announced by Treasury. Estimates   1/30/07

Al Qaida Facilitators Added To OFAC List

Treasury has designated and added to the SDN List as SDGTs two South African individuals and a related entity for financing and facilitating al Qaida. Any assets the designees have under U.S. jurisdiction are frozen and transactions are prohibited between U.S. persons and the designees. Information regarding the additions has been posted on the BOL OFAC page.   1/29/07

Washington $1 Coin and Montana Quarter Distribution Schedules Announced

The U.S. Mint distribution schedule for the George Washington Presidential $1 coin and the Montana state quarter has been posted on the FR Financial Services Web site. Schedules   1/29/07

OCC and State Banking Department To Share Information

The OCC and the Mississippi Department of Banking and Consumer Finance have announced the signing of a Memorandum of Understanding that provides a mechanism for sharing consumer complaint information between the two regulatory agencies. Sharing   1/29/07

Guidance Issued on Using Automated Valuation Methods to Evaluate Collateral

NCUA has issued a guidance that authorizes credit unions to use an automated valuation method (AVM) in the lending process provided each market valuation calculated by the AVM is reviewed by an individual with knowledge, training, and experience in the local real estate market. Guidance   1/29/07

FIL Regarding Elimination of Executive Indebtedness Report Form

The FDIC has issued a FIL regarding the previously announced elimination of the statutory provisions that required reporting indebtedness of executive officers and principal shareholders to a financial institution and its correspondent bank. Information concerning the demise of the FFIEC 004 was posted in the December 29, 2006 BOL Top Stories. FIL   1/29/07

FTC Issues Annual Financial Acts Enforcement Report

The FTC has issued its annual report to the FRB on enforcement activities in 2006 related to the Truth in Lending Act (TILA), Consumer Leasing Act (CLA), Equal Credit Opportunity Act (ECOA), and Electronic Fund Transfer Act (EFTA). Report   1/29/07

HUD Publishes SCRA Disclosure Form

A Servicemembers Civil Relief Act (SCRA) notice disclosure form has been published by HUD. Form   1/26/07

FRB Launches Career Web Site

The FRB has announced the launch of a new Web site, Career Opportunities, which features positions available with the agency. Career Opportunities   1/26/07

Bank Registered Transfer Agents Must File SEC Form Electronically

The OCC has issued a Bulletin regarding the recent rule change by the SEC that requires national bank registered transfer agents, to file Form TA-2, "Form for Reporting Activities of Transfer Agents," electronically through the SEC's Electronic Data Gathering, Analysis, and Retrieval (EDGAR) system. Bulletin; Rule   1/26/07

MSB List Updated

FinCEN has updated the MSB Registration List. The new January 2007 List, which is current as of January 3, 2007, contains data on 34,214 registered MSBs. List   1/26/07

Federal Reserve Publishes CFR Correction

The FRB has published a date correction to its rule for Availability of Funds and Collection of Checks, which was revised as of 1/01/06.TXT, PDF    1/26/07

Five Special Alerts Issued

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

• Central Bank, Springville, Utah (Counterfeit Cashier's Checks),
• Union Trust Company, Ellsworth, Maine (Counterfeit Cashier's Checks),
• Guaranty Bank and Trust Company, Denver, Colorado (Counterfeit Cashier's Checks),
• PathFinder Bank, Oswega, New York (Counterfeit Money Orders), and
• First United Security Bank, Thomasville, Alabama (Counterfeit Cashier's Checks).

Information regarding the counterfeit cashier's checks and money orders has been posted on the BOL Alerts & Counterfeits page.   1/25/07

Flood and BSA Enforcement Actions Announced

The FRB has announced that a $6,850 civil money penalty (CMP) has been assessed against Pacific Mercantile Bank for violations of the provisions of the National Flood Insurance Act. In addition, a written agreement has been entered into with Sumitomo Mitsui Banking Corporation regarding the Bank Secrecy Act (BSA) and anti-money laundering compliance policies and practices at its New York branch. Flood CMP;
BSA Written Agreement    1/25/07

Prohibition Orders Issued

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

• Betty Jean Barachie,
• Catherine Lee Couch,
• Twyla M. Davis,
• Latifa Joseph, and
• James R. Straley.

Orders; Barachie; Couch; Davis; Joseph; Straley   1/25/07

Reg C Asset Size Exemption Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced final rule amending the staff commentary that interprets the requirements of Regulation C. The amendment raises the asset size exemption threshold to $36 million for depository institutions that are required to report data under HMDA. Information concerning the raising of the threshold was posted in the December 26, 2006 BOL Top Stories. Bulletin   1/25/07

Reg R Proposed

The OCC has issued a Bulletin notifying all national banks and national bank examiners that recently the SEC and the Federal Reserve Board jointly issued proposed rules that define the extent to which securities brokerage activities of banks are subject to SEC regulation. The proposed rules, known as "Regulation R," would implement provisions of the Gramm–Leach–Bliley Act of 1999 (GLBA) regarding certain exemptions for banks from the broker-dealer registration requirements of the Securities Exchange Act of 1934. Information concerning Reg R was posted in the December 26, 2006 BOL Top Stories. Bulletin   1/25/07

Third Quarter Charge-Off Rates Released

OTS has released the thrift industry charge-off rates for the third quarter 2006. Rates   1/24/07

Supervisory Policy On Predatory Lending Released

The FDIC has issued a FIL that announces the release of the regulator's Supervisory Policy on predatory lending. The policy describes certain characteristics of predatory lending and reaffirms that such activities are inconsistent with safe and sound lending and undermine individual, family and community economic well-being. FIL; Policy   1/23/07

Bulletin Issued Regarding CRA Changes

The OCC has issued a Bulletin regarding the previously announced changes to the CRA concerning the adjustment of the asset-size threshold to be used to define "small bank" and "intermediate small bank" based on the annual percentage change in the Consumer Price Index. Information concerning the adjustments was posted in the December 29, 2006 BOL Top Stories. Bulletin   1/23/07

Reserve Position Update

Treasury has updated the U.S. International Reserve Position report with the addition of current data as of January 19. 2006. Reserve Position   1/23/07

CRA Evaluations Released

The OCC has released a list of CRA performance evaluations that became public during the period of December 15, 2006 through January 14, 2007. CRA    1/22/07

New Routing Numbers Announced

FRB Financial Service has announced new FedReceipt routing numbers that will be effective the business day of January 22, 2007. New Routing Numbers   1/19/07

314a Fact Sheet Update

FinCEN has updated the 314a Fact Sheet with the addition of data current as of January 16, 2007. 314a   1/19/07

NCUA Announces BSA Compliance Webinar

NCUA has announced that the agency will host with FinCEN a BSA Compliance Webinar on February 6, 2007. Registration is available online. Information; Registration   1/19/07

Bernanke Issues Entitlements Warning

In a presentation before the Senate Budget Committee, Chairman Bernanke expresses his view on the federal budget and related issues. He noted that spending on entitlement programs currently at 8-1/2 percent of the gross domestic product (GDP) are expected to reach about 15 percent by 2030. The increases are due in part to the oldest baby boomers being eligible for Social Security benefits starting in 2008 and the expected continued increase in medical costs per beneficiary. He concluded that dealing with the resulting fiscal strains will pose difficult choices, but if early and meaningful action is not taken, the U.S. economy could be seriously weakened. Speech   1/19/07

Quarterly Journal Online

The OCC has posted the September issue of the Quarterly Journal online. The issue contains articles on special supervision and enforcement activities, corporate structure tables, second quarter 2006 condition and performance of banks; links to speeches and interpretive letters, and other policy and data. Index; Full Journal   1/19/07

Community Affairs Conference Agenda Announced

The FRB has announced the agenda for its Fifth Annual Community Affairs Conference to be held in Washington D.C. on March 29-30, 2007. The conference features discussion of research papers on trends and innovations in products serving low- and moderate-income communities and people. Agenda; Papers; Registration   1/19/07

Dugan Says Financial Literacy Programs Important

In remarks to the participants of a telephone conference sponsored by the American Bankers Association, Comptroller Dugan highlighted the importance of financial literacy programs. He stated that financial literacy really is a win for everyone involved. Remarks   1/19/07

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   1/18/07

OFAC CPs Announced

Treasury has announced the civil penalties (CPs) recently imposed for violations of various OFAC Sanctions Programs. No financial institutions were listed for January 2007. CPs   1/18/07

Comptroller Discusses Customer Complaints

In a speech before the Exchequer Club and Women in Housing and Finance, Comptroller Dugan highlighted the OCC's efforts to assist national bank customers with questions and complaints and said the information gathered from that process has a direct impact upon bank supervision and bank retail practices generally. Speech   1/18/07

Beige Book Update

The FRB has issued an update to the Beige Book that contains data on the current economic conditions in the various Federal Reserve Districts based on information collected before January 8, 2007. Beige Book Summary; Beige Book Full Report   1/18/07

Third Quarter Issue Quarterly Review of Interest Rate Risk Published

OTS has published the Third Quarter 2006 issue of the Quarterly Review of Interest Rate Risk which contains a Q & A on core deposit valuations. Quarterly Review    1/18/07

Subordinated Debt Final Rule

The OTS has issued a Final Rule regarding Subordinated Debt Securities and Mandatorily Redeemable Preferred Stock. Final Rule   1/18/07

Cross-Border Wire Transfer Report Delivered To Congress

FinCEN has announced that Treasury has delivered a mandated report to Congress that states the reporting of cross-border wire transfer data by financial institutions is technically feasible for the government and may be valuable to the government's efforts to combat money laundering and terrorist financing. Report   1/18/07

Regulatory Review List Issued By NCUA

NCUA has issued posted its 2007 Regulatory Review List, which includes the regulations the Board has scheduled to review this year. List    1/18/07

November 2007 TIC Released

Treasury has released the Treasury International Capital data for November 2007. TIC   1/18/07

Industrial Production and Capacity Utilization Report Issued

The December 2006 G.17 Industrial Production and Capacity Utilization Report has been issued by the FRB. G17   1/18/07

OTS Publishes Final Rule in FR for Subordinated Debt Securities and Mandatorily Redeemable Preferred Stock

This final rule updates OTS regulations that require a savings association to obtain approval (or nonobjection) before it may include subordinated debt securities or mandatorily redeemable preferred stock in supplementary (tier 2) capital. It removes several unnecessary or outdated requirements and conforms certain provisions, such as maturity period requirements and purchaser
restrictions, to the rules issued by the other federal banking agencies.TXT, PDF .   1/17/07

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks issued in the name of The First National Bank, Vandalia, Illinois. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits Page.   1/17/07

February HOEPA Rates Set

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in February 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, you use the yield in effect on the 15th of the month that precedes the month you received the application. Since January 15 was a federal legal holiday, use the rate on January 12, the business day immediately preceding the 15th. Daily H.15; Weekly H.15   1/17/07

Consumer Tips For Avoiding Cashier's Check Fraud

The OCC has issued an advisory for consumers that contains tips for avoiding becoming a victim of a cashier's check fraud scheme. Advisory   1/17/07

Mortgage Loan Fraud Financial Industry Analysis Available Online

The FDIC has issued a FIL regarding an assessment of mortgage loan fraud based on an analysis by FinCEN of information contained in SARs. The assessment, entitled "Mortgage Loan Fraud," is available on FinCEN's Web site. FIL; Summary; Assessment   1/17/07

VITA Provides CRA Credit Opportunities

A FIL has been issued by the FDIC that highlights the opportunities for financial institutions to partner with the IRS Volunteer Income Tax Assistance (VITA) program to increase opportunities to develop new business by promoting financial education, banking products and other financial services to underserved and low- and moderate-income taxpayers. In a separate Press Release, the FDIC reminded banks that their participation can result in favorable consideration under Community Reinvestment Act (CRA) rules. FIL; Press Release   1/17/07

FRB To Re-Study Retail Payments

The FRB has announced that additional studies are planned to determine the composition of the nation's retail payments market, including checks, credit and debit cards, and ACH transactions. Similar studies were conducted in 2001 and 2004. Studies   1/17/07

NCUA Announced Outreach Task Force

The members of an Outreach Task Force have been announced by NCUA. The Task Force was created to provide a better understanding of and evaluation of NCUA's outreach efforts and in further response to the findings in the agency's Member Service Assessment Pilot Program. Task Force   1/17/07

Cost of Funds Reports Released

OTS has released the historical and current National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions Reports. Historical; Current    1/17/07

Implications of Population Aging Working Paper Published

The FRB has published a working paper in the Finance and Economic Discussion Series (FEDS) on the topic of "A Primer on the Macroeconomic Implications of Population Aging". Abstract; Full Paper   1/17/07

Banks Selected For Community Support Review Announced

The Federal Housing Finance Board has announced the Federal Home Loan Bank members selected for the 2006-07 fourth quarter community support requirements review. Review   1/16/07

FDIC Year In Review

In a presentation at the California Bank Presidents Seminar, Chairman Bair reviewed the issues addressed by the FDIC in 2006 and what is anticipated in 2007. Speech   1/16/07

FRB Policy on Payments System Risks Revised

The FRB has approved changes to its Policy on Payments System Risk that revise the Board's expectations for systemically important payments and settlement systems subject to its authority and update and clarify the policy with regard to central counterparties. The revisions also incorporate the Recommendations for Central Counterparties developed by the Committee on Payment and Settlement Systems of the central banks of the Group of Ten countries and the Technical Committee of the International Organization of Securities Commissions. FRB Statement; Policy; Recommendations   1/16/07

Finance Companies Report Released

The G.20 Finance Companies report for November 2006 regarding owned and managed receivables outstanding and auto loans: terms of credit has been released by the FRB. G20   1/16/07

FedFlash January 2007 Issue Online

Federal Reserve Financial Services has posted the January 15, 2007 issue of FedFlash on its Web page. The issue contains articles on new FedReceipt routing numbers, Canadian item processing; changes to the ACH Reclamation process; and District news. FedFlash   1/16/07

IFDP Working Papers Published

Four working papers in the International Finance Discussion Papers (IFDP) series have been published by the FRB on the following topics: International Cross-listing, Firm Performance and Top Management Turnover: A Test of the Bonding Hypothesis; Sovereign Debt Crises and Credit to the Private Sector; Efficiency in Housing Markets: Do Home Buyers Know how to Discount?; and Optimal Fiscal and Monetary Policy When Money is Essential. International Abstract; International Full Paper; Sovereign Abstract; Sovereign Full Paper; Efficiency Abstract; Efficiency Full Paper; Optimal Abstract; Optimal Full Paper   1/16/07

Counterfeit Cashier's Checks Special Alerts Issued

The FDIC has issued two Special Alerts regarding counterfeit cashier's checks bearing the names of Hillcrest Bank Florida, Naples, Florida, and Lake Area Bank, Lindstrom, Minnesota. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   1/12/07

MSA Definition Changes Impact Banks

The FFIEC has announced that approximately 510 banks have been reassigned to different peer groups after changes to MSA code definitions were incorporated in the December 31, 2006 Uniform Bank Performance Report (UBPR). Reassigned Banks   1/12/07

Agencies Announce BSA Compliance Webinar

The NCUA and the FinCEN have announced that an online seminar, "BSA: A Year in Review and Setting the Table for 2007," will be held on Tuesday, February 6, 2007. The webinar will be co-hosted by the NCUA Chairman Johnson, and FinCEN Associate Director El-Hindi. FinCEN; NCUA   1/12/07

2007 FHA Maximum Mortgage Limits Announced

HUD has announced the FHA Maximum Mortgage Limits for 2007. FHA Limits   1/12/07

Web Page For Directors Launched

The FRB has announced the launch of a new web site, Resources for Bank Directors, that offers numerous resources designed to assist bank directors with their management oversight responsibilities. The existing online director training course, Insights, which introduces bank directors to corporate governance and director duties and responsibilities; covers basic bank financial analysis; and discusses the sources, control, and monitoring of portfolio risks, including credit, liquidity, and market risks has been updated. Resources; Insights   1/12/07

Google Added To OCC Web Site

The OCC has announced that the search capability of its Web site has been enhanced with the addition of Google Search Appliance. Search   1/12/07

Complex Transactions FIL issued

The FDIC has issued an FIL regarding the previously announced final Interagency Statement on Sound Practices Concerning Elevated Risk Complex Structured Finance Activities. Information concerning the statement was posted in the January 8, 2007, BOL Top Stories. FIL; Statement   1/12/07

State Profiles Has New Format

The FDIC has announced that effective January 2007, FDIC State Profiles have been reformatted as a quarterly data sheet summation of banking and economic conditions in each state and the Third Quarter 2006 Profiles are available online. Third Quarter Profiles   1/12/07

Joint Agencies publish Interim Rule in FR for Depository Institution Management Interlocks Act

The OTC, FRB, FDIC and OCC are amending their rules regarding management interlocks to implement section 610 of the Financial Services Regulatory Relief Act of 2006 (FSRRA) and to correct
inaccurate cross-references.TXT; PDF   1/11/07

New Electronic Interpretations and Actions Announced

The OCC has announced the December 2006 New Electronic Interpretations and Actions. New Electronic   1/11/07

Iranian Bank Added to OFAC List

Treasury has designated Bank Sepah, a state-owned Iranian financial institution, as a NPWMD for providing support and services Iran's missile procurement network and actively assisting Iran's pursuit of missiles capable of carrying weapons of mass destruction,. The bank Chairman and a wholly owned bank subsidiary were also designated and all were added to the SDN List. Information regarding the additions has been posted on the BOL OFAC page.   1/10/07

CRA Ratings Released

The FDIC has released the ratings received by state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). Ratings   1/10/07

December Call Report Filing Information Available

The FDIC has posted online the filing information and forms for the December 2006 Call Report. Call Report   1/10/07

Joint Agencies Publish Correction to Proposed Rule of 12/26/06

FRB, FDIC, OCC and OCC publish proposed rule in FR to correct proposed rule published 12/26/06 for Risk-Based Capital Guidelines; Capital Adequacy Guidelines; Capital Maintenance: Domestic Capital
Modifications. TXT; PDF   1/10/07

Consumer Advisory Council Appointments Announced

The FRB has announced the appointment of ten new members to its Consumer Advisory Council for three-year terms and the designation of a new Chair and Vice Chair of the Council for 2007. Council   1/10/07

Discount Rate Meetings Minutes Released

The FRB has released the minutes of its discount rate meetings from November 6 through December 11, 2006. Minutes   1/10/07

Transcript of OTS National Housing Forum Available

OTS has posted online the transcript of the proceedings of the National Housing Forum held on December 11, 2006. Transcript   1/10/07

Reserve Banks Income and Expense Data Released

The FRB has released the Reserve Bank income and expense data and transfers to the Treasury for 2006. Data   1/10/07

Counterfeits Special Alerts

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

• BPD Bank, New York, New York (Counterfeit Treasurer Checks)
• Peoples State Bank, Lake City, Florida (Counterfeit Personal Money Orders)
• The Adirondack Trust Company, Saratoga Springs, New York (Counterfeit Treasurer's Checks)
• First State Bank (also known as 1st State Bank), Saginaw, Michigan (Counterfeit Official Checks)
• State Bank & Trust, Fargo. North Dakota (Counterfeit Cashier's Checks)
• Alliant Bank, Madison, Missouri (Counterfeit Cashier's Checks)
• Gardiner Savings Institution, FSB, Gardiner, Maine (Counterfeit Treasurer Checks)
• First Heritage Bank, Snohomish, Washington (Counterfeit Official Checks)

Information concerning the counterfeit items has been posted on the BOL Alerts & Counterfeits page.    1/09/07

Fraudulent Cashier's Checks Bulletin Issued

The OCC has issued a Bulletin regarding the risks posed by scams involving fraudulent bank cashier's checks and recommended actions that can taken to protect the bank and its customers. Bulletin   1/09/07

Concentrations in Commercial Real Estate Subject of SR Letter

The FRB has issued a Supervisory Letter regarding the previously announced Interagency Guidance on concentrations in commercial real estate. Information concerning the Guidance was posted in the December 7, 2006, BOL Top Stories. SR Letter; Guidance    1/09/07

Payment Processor Sued By FTC

InterBill Ltd., a payment processor, has been sued by the FTC for allegedly violating federal law when it debited, or tried to debit, more than $9.9 million from consumers' bank accounts without their approval. Summary; Lawsuit   1/09/07

Agricultural Finance Databook Update

The FRB has issued the December 2006 update of the E.15 Agricultural Finance Databook. E.15   1/09/07

November 2006 Consumer Credit Report Released

The G.19 Consumer Credit Report for November 2006 has been released by the FRB. G19   1/09/07

International Reserve Position Reports Released

Treasury has released the U.S. International Reserve Position Reports for the periods ending December 22, 2006; December 29, 2006; and January 5, 2007. December 22; December 29; January 5    1/09/07

2006 Financial Report Issued

OTS has issued the agency's 2006 Financial Report. Report   1/09/07

Fifteen Counterfeit Checks Special Alerts Issued

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

• Palmyra State Bank, Palmyra, Missouri (Counterfeit Cashier's Checks)
• United Community Bank, Gonzales, Louisiana (Counterfeit Official Checks)
• Clay County Bank, Inc., Clay, West Virginia (Counterfeit Cashier's Checks)
• Peoples Bank of Louisiana, Amite, Louisiana (Counterfeit Cashier's Checks)
• Lamar National Bank, Paris, Texas (Counterfeit Cashier's Checks)
• Bremer Bank, National Association, South St. Paul, Minnesota (Bremer Bank, National Association, Menomonie, Wisconsin) (Counterfeit Official Checks)
• Watertown Savings Bank, Watertown, Massachusetts (Counterfeit Cashier's Checks)
• Covenant Bank, Tunica, Mississippi (Covenant Bank, Clarksdale, Mississippi) (Counterfeit Cashier's Checks)
• Pacific Trust Bank, FSB, Chula Vista, California (Counterfeit Checks)
• Sterling National Bank, New York, New York (Counterfeit Checks)
• Alliance Bank & Trust, Gastonia, North Carolina (Counterfeit Checks)
• Webster Bank, National Association, Waterbury, Connecticut (Counterfeit Official Checks)
• Sky Bank, Findlay, Ohio (Counterfeit Checks)
• First Premier Bank, Sioux Falls, South Dakota (Counterfeit Checks)
• Bank of Wedowee, Wedowee, Alabama (Counterfeit Cashier's Checks)

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

Agencies Issue CFT Final Statement

Federal financial institution regulators and the SEC have issued a final statement on the complex structured finance activities of financial institutions (CSFTs) that describes the types of internal controls and risk management procedures that should help financial institutions identify, manage, and address the heightened legal and reputational risks that may arise from certain complex structured finance transactions. Statement; FRB PR; OCC Bulletin; FDIC PR; OTS PR; SEC NR   1/08/07

Minority-Owned Banks Report UpdateM

The FRB has updated the Minority-Owned Banks Report with data current as of September 30, 2006. Report    1/08/07

FR Bulletin Supplement Published

The December 2006 Statistical Supplement to the Federal Reserve Bulletin has been published. December Supplement   1/08/07

Bernanke Discusses Bank Supervision

In a presentation at the annual meeting of the Allied Social Science Association, Chairman Bernanke discussed the supervision of the U.S. banking system and whether the central bank should act as a supervisor of the system. Speech    1/08/07

Counterfeit Cashier's Checks Special Alerts Issued

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

• Community Bank, Staunton, Virginia;
• First Republic Bank, Las Vegas, Nevada;
• Texas State Bank, McAllen, Texas; and
• American Banking Company, Moultrie, Georgia (also known as Ameris Bank)

Information regarding the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   1/05/07

New SDN List Designations Announced

OFAC has announced that three Syrian entities identified as proliferators of weapons of mass destruction have been added to the SDN List with the NPWMD designation. Information concerning the additions has been posted on the BOL OFAC page.    1/04/07

MSB Registration List Update

FinCEN has updated the MSB Registration List to include data current as of December 31, 3006. List   1/05/07

CRA Ratings Published

OTS has published the CRA performance evaluations received by savings associations that became publicly available during December 2006. CRA    1/04/07

Handling Security Breaches

The Winter 2006 edition of Supervisory Insights has been issued by the FDIC and features an article regarding how a financial institution can create an effective incident response program to mitigate a data security breach. Other articles concern an update on CRE lending nationwide; the increasing number of unfair or deceptive acts or practices and how examiners identify and address those violations; and highlights of recent USA PATRIOT Act changes and the types of BSA related violations that examiners are citing. Supervisory Insights   1/04/07

314a Fact Sheet Update

FinCEN has updated the 314a Fact Sheet with data current as of January 2, 2007. 314a   1/04/07

Foreign Exchange Rates Reports Issued

The FRB has issued the 2006 G.5A and December 2006 G. 5 Foreign Exchange Rates reports. G5A; G.5   1/04/07

FOMC Minutes Released

The minutes of the December 12, 2006, meeting of the Federal Open Market Committee (FOMC) have been released by the FRB. Minutes
   1/04/07

National Day of Mourning

The OCC has issued a proclamation that national banks may close their offices Tuesday, January 2, 2007, at their discretion, in any state in which the governor or other authorized official has declared a legal holiday in recognition of the National Day of Mourning for President Gerald Ford. Proclamation    1/02/07

2007 HMDA Asset-Size Exemption Announced

The FRB has announced the annual notice of the asset-size exemption threshold for depository institutions under Reg C, which implements HMDA. Depository institutions with assets of $36 million or less as of December 31, 2006, are exempt from collecting data in 2007. NOTE: An institution's exemption from collecting data in 2007 does not affect its responsibility to report the data it was required to collect in 2006. Exemption   1/02/07

Bank Manuals Updated

The FRB has released the semiannual update of the Commercial Bank Examination Manual that provides examination objectives and procedures that Federal Reserve System examiners follow in evaluating the safety and soundness of state member banks. An update to the Trading and Capital-Markets Activities Manual has also been released. Examination Manual Index; Full Examination Manual; Trading Full Manual    1/02/07

FHC Elections Announced

The FRB has announced the list of bank holding companies that have elected to be treated as a financial holding company (FHC) as of December 29, 2006. List    1/02/07

U.S. Holdings of Foreign Securities Survey

The annual survey of U.S. portfolio holdings of foreign securities at year-end has been released by Treasury and posted on the agency's web site. Summary; Full Report   1/02/07

Annual CRA Asset-Size Threshold Adjustments Published in FR

As required by the 2005 CRA regulatory amendments, the federal bank regulatory agencies have announced the annual adjustment to the asset-size thresholds used to define "small bank" and "intermediate small bank". 71FR78335 txt 71FR78335 pdf    12/29/06

Fraudulent and Counterfeit Checks Special Alerts Issued

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

• The New Washington State Bank, New Washington, Indiana (Counterfeit Cashier's Checks);
• First Star Bank, Arlington, Texas (Fraudulent Checks);
• South Georgia Bank, Glennville, Georgia (Counterfeit Checks);
• HFS Federal Credit Union, Hilo, Hawaii (Counterfeit Cashier's Checks);
• Security State Bank, Odessa, Texas (Counterfeit Cashier's Checks);
• The Cape Cod Five Cents Savings Bank, Harwich Port, Massachusetts (Counterfeit Cashier's Checks); and
• Heritage Federal Credit Union, Newburgh, Indiana (Counterfeit Cashier's Checks).

Information concerning the fraudulent and counterfeit checks has been posted on the BOL Alerts & Counterfeits page.    12/29/06

FRB Board of Governors To Close On National Day Of Mourning

The Board of Governors of the Federal Reserve System in Washington, D.C. have announced that their office will be closed on Tuesday, January 2, 2007, in observance of the national day of mourning for former President Ford. The twelve regional Reserve Banks will be open and operating during normal business hours and will provide all financial services as usual.
Day of Mourning    12/29/06

Prohibition Order Issued

NCUA has issued an order prohibiting Christopher T. Renzo from participating in the affairs of any federally insured financial institution. The former teller of Hudson Valley Federal Credit Union was convicted of 2nd degree grand larceny, sentenced to five years of supervised probation, and ordered to pay $105,886 in restitution.
Order    12/29/06

Revocation of Banking License Special Alert

The FDIC has announced that the Financial Institutions Commission, Republic of Palau, has revoked the banking license of Pacific Savings Bank, Ltd., and placed the bank into receivership.
Special Alert    12/29/06

FDIC Publishes in FR a rule to Repeal Reports and Public Disclosure of Indebtedness of
Executive Officers and Principal Shareholders to a State Nonmember Bank and Its Correspondent Banks

The FDIC is repealing its regulations governing reporting on lending by a State nonmember bank and its correspondent banks to executive officers and principal shareholders. 71FR78337 txt 71FR78337 pdf    12/29/06

Fraudulent Checks and Counterfeit Money Orders Special Alerts

The FDIC has issued two Special Alerts regarding fraudulent official checks bearing the name of Harrison Bank, Arlington, Texas, and counterfeit money orders bearing the name of Basin State Bank, Stanford, Montana. Information concerning the fraudulent and counterfeit items has been posted on the BOL Alerts & Counterfeits page.    12/28/06

$800,000 CMPs Announced

FinCEN, the FDIC, and the Florida Office of Financial Regulation have announced the assessment of civil money penalties totaling $800,000 against Beach Bank, Miami Beach, Florida, for failing to implement an adequate anti-money laundering program and monitor the bank's high-risk accounts, which resulted in the failure to timely report suspicious activity.
FinCEN;
FDIC;
Florida    12/28/06

Annual CRA Asset-Size Threshold Adjustments Announced

As required by the 2005 CRA regulatory amendments, the federal bank regulatory agencies have announced the annual adjustment to the asset-size thresholds used to define "small bank" and "intermediate small bank".
Adjustments;
FRB PR;
FDIC PR;
OCC NR    12/28/06

FDIC Signage Final Rule

The FDIC has issued a FIL announcing the approval of the final rule amending FDIC Part 328, regarding the Advertisement of Membership. Recent amendments to the FDIC Act required the agency to prescribe an official sign that all FDIC-insured depository institutions would be required to display. New signs are available from the FDIC and must be displayed on or before November 13, 2007.
Final Rule;
FIL;
New Signs    12/28/06

Federal ID Theft Task Force Seeks Comments

Comments are being sought by the Federal Identity Theft Task Force on ways to improve the effectiveness and efficiency of federal government efforts to reduce identity theft. Additional information is available on the task force Web site.
Comments;
Web site    12/28/06

Loan Fraud and ML Reports Released

OTS has released two reports regarding assessments based upon suspicious activity report analysis of mortgage fraud and money laundering in the commercial real estate industry.
Mortgage Fraud Report;
ML Report    12/28/06

Operating Circular 4 Amended

The FRB Financial Services has announced that a technical amendment has been made to Operating Circular 4. The amendment, which is effective January 30, 2007, concerns the "Fedline Command Security and Implementation Guide" as part of the security procedures for sending banks.
Amendment

Five Names Removed From OFAC List

OFAC has removed from the SDN List the names of five individuals who had been previously designated as SDNTs. Information regarding the deleted names has been posted on the BOL OFAC page.

December Call Report FIL Issued

A FIL has been issued by the FDIC regarding the December 31, 2006 Call Report deadlines, current filing information, and elimination of certain previously required report information.
FIL

ARM Consumer Handbook Revised

The Consumer Handbook on Adjustable-Rate Mortgages (ARM) has been revised.
ARM Handbook

Third Quarter DSR and FOR Data Released

The FRB has released the household debt service (DSR) and financial obligations (FOR) ratios for the third quarter 2006.
Ratios

Interagency Capital Notice Published

The bank regulators have published proposed revisions to the existing risk-based capital framework that would apply to banks that don't use the BASEL II NPR and are extending the comment period. TXT, PDF .

Agencies Publish Proposed Capital Revisions

Proposed revisions to the existing risk-based capital framework have been published. They are intended to enhance the capital framework's risk sensitivity without unduly increasing regulatory burden. The changes would apply to banks, bank holding companies, and savings associations. TXT, PDF .

HMDA Asset Size Exemption Published

The Federal Reserve Board has published in the Federal Register the 2007 asset-size exemption threshold increase for 2007. This action amends the staff commentary for Regulation C to adjust to $36 million the asset-size exemption threshold for coverage under HMDA. TXT, PDF .

SEC and FRB Publish Bank-Related Proposals in FR

The Securities and Exchange Commission and the Federal Reserve Board have jointly published two sets of proposed rules in the Federal Register. The first would implement certain of the exceptions for banks from the definition of "broker" and would define terms used in the statutory exceptions and certain related exemptions. The second requests comment on proposed rules to implement the broker exceptions for banks relating to third-party networking arrangements, trust and fiduciary activities, sweep activities, and safekeeping activities. In addition, the SEC published an order extending the temporary exemption of banks from the definition of broker. Definitional changes: TXT, PDF ; Implementation of broker exceptions:
TXT, PDF ; Temporary Exemption Extension: TXT, PDF .

NCUA Publishes Final Rule in FR for Conversion of Insured Credit Unions to
Mutual Savings Banks

NCUA is issuing final revisions to its rules regarding the conversion of insured credit unions to mutual savings banks or mutual savings associations. The final rule
includes revised disclosures, revised voting procedures, procedures to facilitate communications among
members, and procedures for members to provide their comments to directors before the credit union board votes on a conversion plan. TXT, PDF .   12/22/06

Counterfeit Cashier's checks Special alert

A Special Alert has been issued by the FDIC regarding counterfeit cashier's checks bearing the name of The Grundy National Bank of Grundy Center (d/b/a Grundy National Bank), Grundy Center, Iowa. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   12/22/06

SAR Filing Form Revised

FinCEN and the federal banking agencies have announced that the format for the Suspicious Activity Report by Depository Institutions (SAR-DI) has been revised to support a new joint filing initiative, which will reduce the number of duplicate SARs filed for a single suspicious transaction. The approved final form should not be filed until the actual effective implementation date of June 30, 2007. Form; FinCEN PR; FRB PR; OCC NR; FDIC PR; OTS PR; NCUA PR    12/22/06

Weather Closes Denver FRB Branch

The Denver Branch of the Federal Reserve Bank of Kansas City was closed due to weather conditions on Thursday, December 21, 2006. The Federal Reserve will grant credit availability for check deposits received by the deposit deadline. Branch Closed   12/22/06

Flood and BSA Enforcement Actions Announced

The FRB has announced CMPs in the amounts of $ 6,750 have been assessed against Planters Bank and Trust Company, Staunton, Virginia, and $4,950 have been assessed against Oregon Pacific Bank, Florence, Oregon, regarding alleged violations of the Board's Regulations implementing the National Flood Insurance Act. A written agreement was also entered into with Habib Bank Limited, Karachi, Pakistan, and the bank's branch in New York, New York, concerning BSA and anti-money laundering compliance. CMP Planters Bank; CMP Oregon Pacific Bank; Written Agreement Habib Bank   12/22/06

FDIC Enforcement Actions Announced

The FDIC has announced the list of Enforcement Decisions and Orders taken in November 2006. Enforcement Actions   12/22/06

Large-bank Deposit Insurance Proposal Comments Sought

The FDIC has issued a FIL regarding comments on whether and how the largest insured depository institutions should be required to modify their deposit systems so that the FDIC may calculate deposit insurance coverage quickly in the event of an institution's failure. FIL; Proposal   12/22/06

TIL Booklet Revised

The OCC has revised the TIL Booklet in the Comptroller's Handbook. TIL Booklet   12/22/06

OCC Announces Amendments to FCRA Examination Procedures

The OCC has issued a Bulletin that announces amendments to FCRA examination procedures which update section 604(g) of Module 2 of the interagency examination procedures and address provisions in the medical information rule. Bulletin; Amendments   12/22/06

FinCEN and SEC Sign BSA Information Sharing Agreement

FinCEN and the SEC have announced that the agencies have reached an agreement for the routine exchange of examination and enforcement information relating to SEC-regulated firms' compliance with the BSA. Agreement   12/22/06

Fall 2006 Issue of FDIC Outlook Published

The FIDC has published the Fall 2006 issue of the FDIC Outlook which contains articles on how financial innovation and information technology have widened institutions' options for funding their activities through off-balance sheet securitization structures, explore the relevance of traditional balance sheet measures of liquidity, and describe strategies banks have used to manage their net interest margins under the various yield curve environments. FDIC Outlook   12/22/06

FED Working Paper Published

A working paper in the FEDS series has been published by the FRB on the topic of "The Competitive Effects of Risk-Based Bank Capital Regulation: An Example from U.S. Mortgage Markets." Summary; Full Paper   12/22/06

Community Development Newsletter Features Minority-Owned Institutions

The OCC has published the Winter 2006/2007 edition of its Community Developments newsletter which focuses on minority-owned financial institutions and the strategies many employ to serve their niche markets. Newsletter   12/22/06

HSA Options Increased

President Bush has signed the Health Opportunity Patient Empowerment Act of 2006. New opportunities for health savings account (HSA) participants to build their funds, include: rollovers from health FSAs and HRAs into HSAs through 2011, an increase in the annual HSA contribution, full HSA contribution regardless of month individual becomes eligible, a one-time transfer from IRAs to HSAs, certain FSA coverage treated as disregarded coverage, earlier indexing of cost of living adjustments, and allowing greater employer contributions for lower-paid employees. HSA   12/21/06

Reg O Revisions Bulletin Issued

The OCC has issued a Bulletin regarding the previously announced amendments to 12 CFR 215 (Regulation O) made by the FRB which removing certain reporting requirements regarding extensions of credit to bank insiders. Information concerning the amendments was posted in the December 11, 2006, BOL Top Stories. Bulletin   12/21/06

FTC Stops Credit Card Fraud

A federal court order requested by the FTC has halted a payment processing operation that allegedly helped fraudulent telemarketers take millions of dollars from consumers' bank accounts. The operation aided at least nine Canada-based, advance-fee credit card schemes that induce consumers to allow an electronic debit of several hundred dollars from their bank account in exchange for an unsecured credit card that they never received. Summary; Order    12/21/06

IFDP Working Papers Published

The FRB has published five working papers in the International Finance Discussion Paper (IFDP) series on the following topics: The Monetary Origins of Asymmetric Information in International Equity Markets; Monetary Policy, Oil Shocks, and TFP: Accounting for the Decline in U.S. Volatility; Informed and Strategic Order Flow in the Bond Markets; A Bivariate Model of Fed and ECB Main Policy Rates; and An Empirical Analysis of Specialist Trading Behavior at the New York Stock Exchange. Monetary Origins Abstract; Monetary Origins Full Paper; Monetary Policy Abstract; Monetary Policy Full Paper; Informed Abstract; Informed Full Paper; Bivariate Abstract; Bivariate Full Paper; Empirical Abstract; Empirical Full Paper    12/21/06

IRS Reminder of Tax Law Change for IRA Participants

The IRS issued a reminder of tax law changes included in the 2006 Pension Protection Act that provide incentives for charitable donations by IRA owners who have reached the age of 70 1/2. The option is available only for tax years 2006 and 2007, and does not apply to employer-sponsored plans such as SIMPLE IRAs and SEP plans. Transferred amounts are counted in determining whether the owner has met the IRA's required minimum distribution rules. Where individuals have made nondeductible contributions to their traditional
IRAs, a special rule treats transferred amounts as coming first from taxable funds, instead of proportionately from taxable and nontaxable funds, as would be the case with regular distributions.
IR-2006-192    12/20/06

NCUA Investment Rule Published in FR

NCUA is amending its investments rule to allow federal credit unions to enter into investment repurchase transactions in which
the instrument consists of first-lien mortgage notes subject to certain limitations. The final rule expands FCU authority to invest in
mortgage-related securities while addressing safety and soundness concerns associated with this new investment activity. 71fr76122 txt 71fr76122 pdf    12/20/06

SDGT Added To OFAC List

A naturalized British citizen who provides material and logistical support to al Qaida and other terrorist organizations has been designated a SDGT and added to the SDN List. Information regarding the individual has been posted on the BOL OFAC Page.    12/20/06

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the inclusion of data as of December 15, 2006.
Reserve Position    12/20/06

Exchange Rate Report Issued

Treasury has released its Semiannual Report on International and Economic and Exchange Rate Policies.
Report    12/20/06

New Reg R Proposed

The FRB and the SEC have announced the release of joint proposed rules to implement the "broker" exceptions for banks under Section 3(a)(4) of the Securities Exchange Act of 1934 which were adopted as part of the Gramm-Leach-Bliley Act of 1999 (GLB Act). The proposed rules, to be known as Regulation R, would implement the statutory exceptions that allow a bank, subject to certain conditions, to continue to conduct securities transactions for its customers as part of the bank's trust and fiduciary, custodial and deposit "sweep" functions, and to refer customers to a securities broker-dealer pursuant to a networking arrangement with the broker-dealer. Reg R; FRB PR; SEC NR   12/19/06

FFIEC Form 004 Eliminated

The FDIC has issued a FIL regarding the elimination of the FFIEC 004 report by executive officers and principal shareholders in complying with the annual reporting requirements pertaining to extensions of credit from correspondent banks. The statutory reporting requirements relating to insider lending by insured banks and savings associations were removed effective October 13, 2006, by provisions of the Financial Services Regulatory Relief Act of 2006. FIL   12/19/06

Enforcement Actions Announced Against Japanese Bank

The FDIC, the FRB, and the New York State Banking Department have announced the issuance of separate but coordinated enforcement actions regarding The Bank of Tokyo-Mitsubishi UFJ, Ltd., Tokyo, Japan, and some of its U.S. operations. The actions include an Order to Cease and Desist and a Written Agreement regarding the failure to implement adequate Bank Secrecy Act and anti-money laundering compliance programs. Order; Written Agreement; FRB PR; FDIC PR   12/19/06

January 2007 HOEPA Rates Established

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in January 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, you 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   12/19/06

CRA Ratings Released

The OCC has released the ratings received by twenty-five national banks that were recently examined for compliance with CRA. Ratings   12/19/06

Third Quarter Interest Rate Risk Report Issued

The OTS has issued the Aggregate Exposure and CMR Report for the Third Quarter 2006. Report   12/19/06

First Quarter CRA Exam Schedule Released

The OTS released a list of 64 savings associations that are scheduled for Community Reinvestment Act (CRA) examinations during the first quarter of 2007. CRA Examinations   12/18/06

FDIC Publishes Final Rule for Procedures for Corporate Debt Collection

The FDIC published a final fule in the Federal Register today to amending 12 CFR part 313, Procedures
for Corporate Debt Collection, to include delinquent criminal restitution debt within the debt covered by part 313.TXT, PDF .   12/18/06

TIC Data Report

Treasury has published the Treasury International Capital (TIC) data report for October 2006. TIC   12/18/06

U.S. Government Financial Report Released

Treasury and the Office of Management and Budget (OMB) have released the fiscal year 2006 Financial Report which details the financial position and condition of the United States Government. The report also provides information about significant future obligations by looking at prospective Social Security and Medicare costs. Summary; Index; Full Report   12/18/06

Bernanke Discusses Chinese Economy

In a presentation at the Chinese Academy of Social Sciences in Beijing, China, FRB Chairman Bernanke discussed the progress made by and the challenges facing the Chinese economy. He noted that for the past twenty years, the Chinese economy has achieved a growth rate averaging nearly 10 percent per year, resulting in a quintupling of output per person. He observed that the continued growth and modernization of the Chinese economy will require a substantial loosening of current restrictions on the flow of financial capital into and out of the country. He also stated, the economic relationship between China and the United States is of extraordinary importance, and both countries have much to gain from interactions with each other. Speech   12/18/06

Cost of Funds Reports Released

OTS has released the historical and current National Average Cost of Funds Ratio to OTS Regulated, SAIF - Insured Institutions reports. Historical; Current   12/18/06

November Industrial Production Report Issued

The FRB has issued the November 2006 G.17 Industrial Production and Capacity Utilization report. G.17   12/18/06

Fedwire Funds Transfer System Assessment Published

The FRB has published the results of an assessment of the Fedwire Funds Transfer System for compliance with the Core Principles for Systemically Important Payment Systems. Assessment   12/18/06

Business Lending Survey Results Released

The FRB has released the results of the most recent E.2 Survey of Terms of business Lending. The data is collected during the middle month of each quarter and is released in the middle of the succeeding month. E.2   12/18/06

FRB Data Download Available

The FEB has posted on its Web site links to download data related to selected Federal Reserve Board statistical releases. Downloads   12/18/06

Third Quarter Bank Trading Revenues Announced

The OCC issued the Quarterly Report on Bank Derivatives Activities that indicates that insured U.S. commercial banks generated revenues of $4.5 billion from trading cash instruments and derivative products in the third quarter of 2006. Summary; Full Report   12/18/06

Failure to Implement BSA Plan Results In $2 Million CMP

FinCEN has imposed a $2 Million CMP against The Foster Bank, Chicago, Illinois, for failure to implement an adequate BSA compliance program including an AML program with adequate controls and failure to file SARs and CTRs. CMP  12/15/06

Impact of FAS 158 on Regulatory Capital Decision Announced

The federal financial institution regulatory agencies have announced an interim decision that the Statement of Financial Accounting Standards No. 158, Employers' Accounting for Defined Benefit Pension and Other Postretirement Plans (FAS 158), will not affect banking organizations' regulatory capital. FAS 158; FRB PR; OCC NR; OTS NR; FDIC PR  12/15/06

New FedReceipt Routing Numbers Announced

FRB Financial Services has announced new FedReceipt routing numbers. Routing Numbers  12/15/06

New HUD Settlement Statements Available Online

HUD has posted new HUD-1 and HUD 1-A settlement statements on its Web site. The new statements reflect the new OMB expiration date of November 30, 2009. HUD-1; HUD 1-A  12/15/06

Structure and Share Data Report Released

The FRB has released the September 2006 Structure and Share Data Report for U.S. Offices of foreign banks. Report  12/15/06

OCC Annual Report Released

The OCC has released the agency's Fiscal Year 2006 Annual Report. Annual Report  12/15/06

Counterfeit Cashier's Checks Alerts Issued

The OCC has issued two Alerts regarding counterfeit cashier's checks issued in the name of City National Bank of New Jersey, Newark, New Jersey, and First National Bank of Shelby, Shelby, North Carolina. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   12/14/06

New HUD Requirement Imposes SCRA Default Notification

HUD has issued a Mortgage Letter regarding obligations under the provisions of the Servicemembers Civil Relief Act (SCRA) and a new legal requirement to notify homeowners in default of the mortgage and foreclosure rights of servicemembers and their dependents. All homeowners who are in default on a residential mortgage must be sent within 45 days from the date a missed payment was due, a notice that includes the toll-free military one-source number to call for assistance.
HUD Letter   12/14/06

Agencies Issue ALLL Guidance

A new interagency policy statement on the Allowance for Loan and Lease Losses (ALLL) and supplemental Frequently Asked Questions (FAQs) has been announced by the federal financial regulatory agencies. The new statement updates the 1993 policy statement to ensure consistency with GAAP and more recent guidance.
Statement;    
FAQs;    
FRB SR Letter;    
OCC Bulletin;    
FDIC FIL;    
OTS CEO Letter;    
NCUA PR   12/14/06

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   12/14/06

Legal Opinion Issued Regarding Securities Clearing Activities and Paying Interest on Free Credit Balances

The OTS has issued a legal opinion regarding the permissibility of certain securities clearing activities and the payment by an operating subsidiary of interest on customers' free credit balances.
Legal Opinion   12/14/06

Prohibition Order Issued

NCUA has issued an order prohibiting Crystal Bottomley, a former employee of NATCO Credit Union, Richmond, Indiana, from participating in the affairs of any federally insured financial institution.
Order   12/14/06

Names Removed From OFAC List

Three names with the WMD designation have been removed from the SDN list by OFAC. Information regarding the entities removed has been posted on the BOL OFAC page.  12/13/06

CIP Programs and Banks As Insurance Agents Guidance Published

FinCEN has published a Guidance in the frequently asked question (FAQ) format concerning CIP programs and banks serving as insurance agents. Guidance  12/13/06

Lending Concentration Guidance FIL Issued

The FDIC has issued a FIL regarding the previously announced interagency Guidance concerning concentrations in commercial real estate lending. Information regarding the Guidance was posted in the December 7, 2006, BOL Top Stories. FIL  12/13/06

FDIC proposes rulemaking for Large Bank Deposit Insurance Determination Modernization

The FDIC is seeking comment on whether and how the largest insured depository institutions should be
required to modify their deposit account systems to speed depositor access to funds in the event of a failure. In December 2005 the FDIC issued a prior advance notice of proposed rulemaking on this subject (2005 ANPR).1 This ANPR is a follow-up to that issuance. TXT, PDF .  12/13/06

Fed Funds Rate Unchanged

The Federal Open Market Committee (FOMC) has decided to keep its target for the federal funds rate at 5-1/4 percent. FOMC  12/13/06

Preliminary Third Quarter Interest Rate Measures Published

OTS has published the preliminary Interest Rate Measures for the Third Quarter 2006. Preliminary   12/13/06

FEDS Working Papers Published

Two working papers in the FEDS series have been published by the FRB on the following topics: Shifting Trends in Semiconductor Prices and the Pace of Technological Progress and A Quantitative Comparison of Sticky-Price and Sticky-Information Models of Price Setting. Shifting Abstract; Shifting Full Paper; Quantitative Abstract; Quantitative Full Paper   12/12/06

Annual Revision Of Industrial Production Report Issued

The FRB has issued the Annual 2006 historical and annual revision of the G.17 Industrial Production and Capacity Utilization report. G.17   12/12/06

October Finance Companies Reports Released

The October 2006 G.20 Owned and Managed Receivables Outstanding and Auto Loans: Terms of Credit report has been released by the FRB. G.20   12/12/06

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position report with the addition data current as of November 8, 2006. Reserve Position   12/12/06

Defense Secretary Asks for Comments on Lending Regulations

The Department of Defense has published a notice in the Federal Register asking for public comment in advance of issuing proposed regulations implementing § 670 of Public Law 109-364, the John Warner National Defense Authorization Act for Fiscal Year 2007. That section of the law creates new limits on the terms of consumer credit extended to members of the armed forces and their dependents. The Secretary of Defense is charged with issuing regulations to be effective by October 1, 2007. The Department "views this requirement as an opportunity to ensure the protections included in the statute do not create unintended limitations on Service members and their families obtaining favorable credit products." TXT, PDF. BankersOnline featured Andy Zavoina's analysis of the new law in its January 7, 2007, Executive Briefing.   12/11/06

2007 CRA/HMDA Entry Data Available

The free FFIEC CRA and HMDA Data Entry Software, version 3.30 for CY 2007 data due March 1, 2008, is only available by download from the FFIEC web site. Download   12/11/06

CMP Issued Against Grant Thornton

A $300,000 civil money penalty and a cease and desist order has been issued by the OCC against Grant Thornton LLP for reckless conduct in performing an audit of First National Bank of Keystone. In a written decision, Comptroller Dugan noted that Grant Thornton ignored "unequivocal, written evidence" that nearly 25 percent of the bank's assets could not be accounted for. Decision; Appendix to Decision; Order    12/11/06

Supplement To FRB Bulletin Issued

The FRB has issued a statistical supplement to the Federal Reserve Bulletin. Index Full Supplement   12/11/06

OTS Adjusts Fees

The Thrift Bulletin announcing the semi-annual adjustment of fees for inflation and loans serviced for others has been issued by OTS. Bulletin  12/11/06

FRB publishes Interim Rule for Loans to Executive Officers, Directors, and Principal Shareholders of Member Banks

The FRB published an interim rule in the Federal Register for Reg O, adopting, on an interim basis, and soliciting comment on amendments to the Board's Regulation O to eliminate certain
reporting requirements. TXT, PDF .  12/11/06

Terrorist Facilitators Added To OFAC List

Treasury has designated five individuals as SDGTs and added their names to the SDN List for providing financial support to al Qaida and other terrorist organizations, as well as facilitating terrorist activity. Information regarding the new entries has been posted on the BOL OFAC page.    12/08/06

BSA Advisory Group Application

The FFIEC is soliciting applicants for membership in its Bank Secrecy Act Advisory Group.
Application Information    12/08/06

314a Fact Sheet Update

FinCEN has updated the 314a Fact Sheet with the addition of data current as of December 5, 2006.
Fact Sheet    12/08/06

Consumer Credit Report Issued

The FRB has issued the October 2006 G.19 Consumer Credit Report which indicates that consumer credit decreased at an annual rate of 1/2 percent in October, following an upward-revised increase of 5-3/4 percent in the third quarter.
G.19    12/08/06

Fictitious Email Warning

The OCC has issued a warning regarding fictitious emails that are circulating worldwide claiming to be authored by the agency and fraudulently encouraging recipients to reply to receive funds owed by the OCC and other agencies.
Warning    12/08/06

Flow Of Funds Report Released

The Z.1 Flow of Funds Accounts of the United States Report for December 7, 2006 has been released by the FRB.
Z.1    12/08/06

Counterfeit Checks Special Alerts Issued

The FDIC has issued four Special Alerts regarding counterfeit official, cashier's and treasurer's account checks bearing the name of the following institutions:

• Astoria Federal Savings, Lake Success, New York
• Beneficial Mutual Savings Bank (also known as Beneficial Savings Bank), Philadelphia, Pennsylvania
• Bay State Savings Bank, Worcester, Massachusetts
• Bank of Ripley, Ripley, Tennessee

Information regarding the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   12/07/06

Comment Sought On Elimination Of Certain Reg O Reporting Requirements

The FRB is seeking comments on a proposed interim rule that would eliminate several Reg O reporting and disclosure requirements relating to insider lending by insured depository institutions. The interim rule does not alter the substantive restrictions on loans by insured depository institutions to their insiders or to insiders of their correspondent banks. Interim Rule   12/07/06

Hizballah Fundraisers Added To OFAC List

Treasury has designated as SDGTs and added to the SDN List the names of nine individuals and two entities located in the Tri-Border Area (TBA) of Argentina, Brazil, and Paraguay that have provided financial and logistical support to the Hizballah terrorist organization. Information regarding the additions has been posted on the BOL OFAC page.   12/07/06

Commercial Real Estate Lending Concentration Guidance Issued

A Guidance has been issued by the federal banking agencies regarding sound risk management practices for concentrations in commercial real estate lending. The guidance is intended to help ensure that institutions pursuing a significant commercial real estate lending strategy remain healthy and profitable while continuing to serve the credit needs of their communities. Guidance; FRB PR; OCC Bulletin; FDIC PR   12/07/06

CRA Ratings Released

The FDIC has released the list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). CRA   12/07/06

Unauthorized Banking Special Alert

The FDIC has issued a Special Alert regarding CanadaBank, a Canadian entity, that may be conducting unauthorized banking activities in the U.S. and Canada. Special Alert   12/07/06

Counterfeit Checks Special Alerts Issued

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

• North Valley Bank, Thornton, Colorado
• First Bank of Northern Kentucky, Inc., Fort Mitchell, Kentucky
• Jefferson Bank and Trust, Eureka, Missouri

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   12/06/06

$1 Million Settlement For Deceptive Debt Collection Practices

The FTC has announced that Capital Acquisitions and Management Corp. and affiliated companies will pay $1 million to settle charges that their debt collection practices violated federal law. Settlement   12/06/06

FTC Issues FACT Act Report

The FTC has issued a report to Congress as required by the FACT Act regarding the accuracy and completeness of information in consumers' credit reports and to consider methods for improving the accuracy and completeness of such information. Report    12/06/06

MSB Renewal Registration Notice

The FinCEN has issued a guidance to certain MSBs that the registration renewal deadline in December 31, 2006. Guidance   12/06/06

Commercial RE ML Grows

FinCEN has released an assessment showing considerable growth in money laundering-related suspicious activity reporting associated with the commercial real estate industry. Assessment   12/06/06

Enforcement Decisions Released

The FDIC has released the October 2006 report of recent enforcement decisions. Enforcement    12/06/06

Basel IA Rule Proposed

The FRB has released a draft interagency notice of proposed rulemaking that would revise the existing risk-based capital framework by giving many financial institutions the option of either continuing to use the existing Basel I-based capital rule or adopting a more risk sensitive rule, known as Basel IA. Summary; Preamble; Draft Notice    12/06/06

Insurance Fund Third Quarter Financials Released

The FDIC has released the Third Quarter 2006 financial report for the deposit insurance fund. Third Quarter   12/06/06

Insured Deposits Additional Comments Sought

The FDIC is soliciting additional comments on proposed improvements to the process of determining the insurance status of depositors of larger institutions in the event of a failure. Comments were initially sought in December 2005 and the agency has decided that more input is desired. Comments   12/06/06

Assets Reports Released

The 3.12 U.S. Reserve Assets and 3.13 Foreign Official Assets Held at Federal Reserve Banks reports fro October 2006 have been released by the FRB. Reports   12/06/06

FFIEC Reporting Forms Online

The FFIEC has posted the December 2006 031 and 041 reporting forms on the agency's Web page. 031; 041   12/05/06

504 CDC Teleseminar Scheduled

The OCC will host a teleseminar from 2:00 to 3:30 p.m. (EST) on January 31, 2007 for those interested in taking advantage of the Small Business Administration 504 Certified Development Company (CDC) Loan Program. Brochure; Registration    12/05/06

International Reserve Position Update

Treasury has updated the U.S. International Reserve Position report with the addition of data as of December 1, 2006. Reserve Position   12/05/06

Counterfeit Official Checks Special Alert Issued

The FDIC has issued a Special Alert regarding counterfeit official checks bearing the name of The Huntington National Bank, Columbus, Ohio, and the routing number assigned to Central Bank, Lebanon, Missouri. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.   12/04/06

Proposed Rulemaking for Supplemental Standards of Ethical
Conduct for FDIC Employees

FCID publishes notice of of proposed rulemaking in FR that would amend existing FDIC ethics regulations
involving extensions of credit, ownership of stock, and definitions. This proposal would implement the
Preserving Independence of Financial Institution Examinations Act of 2003. TXT, PDF .   12/04/06

CRA Ratings Announced

OTS has announced the ratings received by savings associations recently evaluated for compliance with the CRA. Ratings   12/04/06

CRA Exam Schedule Released

The OCC has released the list of national banks scheduled for a CRA examination during the first quarter 2007. Schedule   12/04/06

CRA/HMDA Reporter Published

The 2006 issue of the CRA/HMDA Reporter, a yearly newsletter that provides information on various topics to assist in the collection and reporting of CRA and HMDA data, has been published by the FFIEC. Reporter   12/04/06

OFAC CMP Announced

OFAC has announced the issuance of new civil money penalties (CMP) for violations of various sanctions programs as of December 1, 2006. No financial institutions were listed. OFAC CMP   12/04/06

2007 OCC Fees

The OCC has issued a Bulletin regarding the agency's 2007 fee structure. Bulletin   12/04/06

Money Laundering Report Published

The FATF has issued a report that examines the ways in which money can be laundered through the exploitation of new payment technologies such as: prepaid cards, Internet payment systems, mobile payments, and digital precious metals. ML Report   12/04/06

NCUA and NASCUS to Hold Joint Meeting

The NCUA and the National Association of State Credit Union Supervisors (NASCUS) have announced that the agencies will hold a joint meeting March 25-27, 2007, in Salt Lake City. Joint Meeting   12/04/06

Foreign Exchange Rates Report Released

The FRB has released the G.5 Foreign Exchange Rates report for November 2006. G.5   12/04/06

Charge-Off Report Issued

The December 1, 2006 Charge-Off and Delinquency Rates on Loans and Leases at Commercial Banks report has been issued by the FRB. Charge-Off   12/04/06

FedFlash Published

The December 1, 2006 issue of FedFlash has been published and features articles on new FedLine Customer Access Services, new FedReceipt routing numbers, special ordering procedures for the $1 Presidential coins, date for non-acceptance of contaminated coin, and changes in procedures for access solutions and FedCash Services requests. FedFlash   12/04/06

CRA Exam Schedule Announced

The FDIC has announced the CRA examination schedule for the first quarter of 2007. Schedule   12/01/06

Deposit Insurance Assessment Final Rules Announced

The FDIC has issued two FILs that announce Final Rules regarding amendments to Part 327 of the FDIC Rules and Regulations. The first FIL concerns assessments and the designated reserve ratio and the second FIL regards the operational processes intended to make the deposit insurance assessment system react more quickly and more accurately. Assessments and Reserve Ratio FIL; Operational Processes FIL   12/01/06

OCC and State Banking Department to Share Complaint Information

The OCC and the New York State Banking Department have announced the signing of a Memorandum of Understanding (MOU) that provides a mechanism for sharing consumer complaint information between their two agencies. The agreement is patterned on a template created by the OCC and the Conference of State Bank Supervisors. Agreement    12/01/06

FRB Seeks Comment for proposed Rulemaking for Electronic fund transfers (Regulation E):

The Board is proposing to amend Regulation E, which implements the Electronic Fund Transfer Act, and
the official staff commentary to the regulation, which interprets the requirements of Regulation E. The
proposed amendments would create an exception for certain small-dollar transactions from the requirement that terminal receipts be made available to consumers at the time of the transaction. TXT, PDF .   12/01/06

FRB publishes Final Rule in FR for Electronic Fund Transfers

The Board is amending Regulation E, which implements the Electronic Fund Transfer Act, and the
official staff commentary to the regulation. The final rule clarifies the requirement to obtain a consumer's authorization to initiate an electronic fund transfer to the consumer's account. TXT, PDF .   12/01/06

FDIC Publishes Designated Reserve Ratio in FR

The FDIC must by regulation set the Designated Reserve Ratio (DRR) for the Deposit Insurance Fund (DIF) within a range of 1.15 percent to 1.50 percent. In this rulemaking, the FDIC establishes the DRR for the DIF at 1.25 percent. 71FR69323 txt 71FR69323 pdf 11/30/06

Changes to FDIC Assessments Published in FR

Under the amendments set out in this final rule, deposit insurance assessments will be collected after each quarter ends--which will allow for consideration of more current information than under the prior rule. Ratings changes will become effective when the rating change is transmitted to the institution. 71FR69270 txt 71FR69270 pdf 71FR69282 txt 71FR69282 pdf 11/30/06

TIAC Executives and New Members Announced

The FRB has announced the names of five new members of its Thrift Institutions Advisory Council (TIAC) and designated a new President and Vice President of the council for 2007.
TIAC 11/30/06

Large Commercial Bank Assets Report Released

The FRB has released the ranking by commercial assets of insured U.S. chartered commercial banks that have consolidated assets of $300 million or more as of September 30, 2006. Ranking 11/30/06

Beige Book Published

The FRB has published a new issue of the Beige Book that contains data current as of November 20, 2006.
Beige Book Summary;
Beige Book Full Report 11/30/06

Operational Risk Working Paper Released

The OCC has released a working paper on the topic of “Multivariate Estimation for Operational Risk with Judicious Use of Extreme Value Theory.”Working Paper 11/30/06

Counterfeit Cashier's Checks Special Alert

The FDIC has issued a Special Alert regarding counterfeit cashier's checks bearing the name of Union State Bank, Nanuet, New York. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   11/29/06

Twenty-Seven Entities Added To OFAC List

OFAC has added five Colombian individuals and twenty-two entities to the SDN list with the Specially Designated Narcotics Traffickers (SDNTs) designation for their ties to the North Valle drug cartel. Information regarding the additions has been posted on the BOL OFAC page.   11/29/06

Comptroller's Licensing Manual Revised

The OCC has revised its "Branches and Relocations" booklet and placed it on the agency's Web site for immediate use. The booklet discusses what is not considered a branch office and other changes. Booklet   11/29/06

New FedReceipt Routing Numbers Announced

FRB Financial Services has announced new FedReceipt routing numbers that will be effective December 4, 2006. Routing Numbers   11/29/06

Currency Must Be Redesigned

The Treasury Department's failure to design, produce and issue paper currency that is readily distinguishable to blind and visually impaired individuals violates Section 504 of the federal Rehabilitation Act according to a ruling by the U.S. District Court for the District of Columbia issued on November 28, 2006 in the case of American Council for the Blind v. Secretary of the Treasury. The Treasury is directed to come up with feasible alternatives and present them at a status conference within 30 days. Treasury may, instead, file an interlocutory appeal. Memorandum Order   11/29/06

Consumer Tips For Gift Card Gifts

The OCC has issued a warning for consumers who are considering giving gift cards as holiday gifts. Consumers are urged to consult a previously issued Consumer Advisory that provides important information about such issues as fees and expiration dates, and explains how to handle complaints and lost or stolen cards. Advisory   11/29/06

Paulson Discusses International Economics

In a presentation before the Confederation of British Industry Annual Conference, Treasury Secretary Paulson comments on issues which are vital to the international economy. He noted, "Stable, non-inflationary, broad-based growth is the best way to improve living standards around the world." Speech   11/29/06

Bernanke Comments On The U.S. Economy

In a presentation to the National Italian American Foundation, FRB Chairman Bernanke discussed the economic outlook for the United States. He observed the reasonable projection is that economic growth will be modestly below trend in the near term but that, over the course of the coming year, it will return to a rate that is roughly in line with the growth rate of the economy's underlying productive capacity. Speech   11/29/06

Electronic Collection Of Return Item Fees Final Rule Issued

The FRB has announced approval of a final rule that amends Reg E regarding consumer authorization requirements when a person, such as a merchant, seeks to electronically collect a fee for checks or other items that are returned unpaid. Public comment was also requested on a proposed rule to except transactions of $15 or less from Reg E's requirement that receipts be made available to consumers for transactions initiated at an electronic terminal. Final Rule; Proposed Rule   11/28/06

Certification Authority Certification Practice Statement Revised

The FRB Certification Authority (FR-CA) Certification Practice Statement (CPS) has been revised to incorporate a number of changes related to FedLine CommandSM and a new EUAC self-service role. Revisions; Practice Statement   11/28/06

Finance Companies Reports Issued

The G.20 Finance Companies Owned And Managed Receivables Outstanding and Auto Loans: Terms of Credit reports for September 2006 have been issued by the FRB. G.20   11/28/06

IFDP Working Papers Released

The FRB has released three working papers in the International Finance Discussion Papers series on the topics of Predictive Regressions with Panel Data; Ramsey Meets Hosios: The Optimal Capital Tax and Labor Market Efficiency; and Real-Time Price Discovery in Global Stock, Bond and Foreign Exchange Markets. Predictive Abstract; Predictive Full Paper; Ramsey Abstract; Ramsey Full Paper; Real-Time Abstract; Real-Time Full Paper   11/28/06

Reserve Position Update

Treasury has updated the U.S. International Reserve Position Report with the addition of data as of November 24, 2006. Reserve Position   11/28/06

OTS Publishes Proposed Rulemaking in FR to revise its rule implementing the CRA

In this notice, the OTS is proposing changes to its Community Reinvestment Act (CRA) regulations in four areas to reestablish uniformity between its regulations and those of the other Federal banking agencies. TXT, PDF .   11/27/06

Comment Period Extended

The FRB has extended for ninety days to March 15, 2007 the comment period on a consultation paper on intraday liquidity management issues and the long-term evolution of its Payment System Risk (PSR) Policy.
Extension   11/27/06

New Electronic Interpretations and Actions Announced

The OCC has announced the November 2006 New Electronic Interpretations and Actions. New Electronic   11/27/06

Credit Unions Report Growth

According to Call Report data submitted by the nation's 8,462 federally insured credit unions, lending and net worth increased and the number of members continued to grow through the third quarter of 2006. Growth   11/27/06

EDS Working Papers Published

Five working papers in the FEDS series have been published by the FRB on the following topics: Incorporating Judgement in Fan Charts; Acquisition Targets and Motives in the Banking Industry; The Profitability of Small, Single-Market Banks In an Era of Multimarket Banking; An Estimate of the Inflation Risk Premium Using a Three-Factor Affine Term Structure Model; and Inflation Measurement. Incorporating Abstract; Incorporating Full Paper; Acquisition Abstract; Acquisition Full Paper; Profitability Abstract; Profitability Full Paper; Estimate Abstract; Estimate Full Paper; Inflation Abstract; Inflation Full Paper   11/27/06

Names Removed From OFAC List

OFAC has removed three names designated as SDNTs from the SDN list. Information regarding the removals has been posted on the BOL OFAC page.   11/22/06

314a Fact Sheet Updated

FinCEN has updated the 314a Fact Sheet with the addition of data as of November 21. 2006. 314a   11/22/06

Werner Leaving FinCEN

Robert W. Werner, Director of FinCEN, has announced that he will be leaving his position at the end of the year and will be joining Merrill Lynch & Co., Inc. Werner   11/22/06

Discount Rate Meetings Minutes Released

The FRB has released the minutes of its discount rate meetings from October 10 through October 23, 2006. Minutes   11/22/06

Third Quarter Earnings Strong

The FDIC has announced that commercial banks and savings institutions insured by the agency reported net income of $37.6 billion for the third quarter of 2006, the second-highest total ever. A comprehensive summary of financial results for all FDIC-insured institutions can be found in the Quarterly Banking Profile (QBP). QBP   11/22/06

NCUA publishes Revisions to the Official Sign Indicating Insured Status

NCUA publishes Final Rule in Federal Register to revise the official sign indicating a credit union's share
accounts are insured by the NCUA to reflect recent share insurance increases and by including a statement that NCUA-insured share accounts are backed by the full faith and credit of the
United States Government. TXT, PDF .   11/22/06

NCUA publishes Rule for Share Insurance Appeals; Clarification
of Enforcement Authority of the NCUA Board

NCUA publishes Interim Final Rule in FR to amend its rules to implement amendments to the
Federal Credit Union Act (FCU Act) made by the Financial Services Regulatory Relief Act of 2006 (Reg Relief
Act). TXT, PDF .   11/22/06

Counterfeit Checks Alerts

The OCC has issued an Alert regarding counterfeit official checks issued in the name of Simmons First National Bank, Pine Bluff, Arkansas. The FDIC has issued three Special Alerts regarding counterfeit cashier's checks bearing the name of First American Bank and Trust, Vacherie, Louisiana; Bank 2, Oklahoma City, Oklahoma; and Bank Reale, Pasco, Washington. Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.   11/21/06

Unauthorized Banking Alert

The Financial Institutions Commission of the Republic of Palau has revoked the banking license of Pacific Savings Bank, Ltd., and placed the bank into receivership. Unauthorized Banking   11/21/06

SAR Activity Review Published

FinCEN has published the seventh issue of the SAR Activity Review - By the Numbers that contains information regarding the SARs filed by depository institutions from April 1, 1996 to June 30, 2006. SAR   11/21/06

FedCash Cross-shipping Reports Available Online

FRB Financial Services has announced that the FedCash cross-shipping reports are now available online via the FedLine Web. Reports; FedLine Web   11/21/06

Consumer Complaint Information-Sharing Plan Announced

An Agreement has been announced by the OCC and the Conference of State Bank Supervisors (CSBS) to share consumer complaint information between state banking departments and the OCC. Information-Sharing   11/21/06

MSB Registration List Updated

FinCEN has updated the MSB Registration List to include 32,081 entries as of November 1, 2006. MSB List; MSA State Selector   11/21/06

OTS to Host National Housing Forum

OTS has announced that the agency will sponsor a National Housing Forum on December 11, 2006, at the National Press Club in Washington, DC. Leading experts are scheduled to discuss critical housing finance issues affecting financial institutions, housing market participants, consumers and regulators. Forum   11/21/06

International Reserve Position Update

Treasury has updated the U.S. International reserve Position Report with the addition of data current as of November 10, 2006. Reserve Position   11/21/06

Counterfeit Checks and Money Orders Special Alerts

The FDIC has issued seven Special Alerts regarding the counterfeit checks and money orders drawn on or issued by the following institutions or agencies:

• Winona National Bank, Winona, Minnesota (Counterfeit Cashier's Checks)
  
• The Bank of Romney, Romney, West Virginia (Counterfeit Official Checks)
  
• North Easton Savings Bank, North Easton, Massachusetts (Counterfeit Checks)
  
• State of Florida (Counterfeit Checks)
  
• Bank of Prairie du Sac, Prairie du Sac, Wisconsin (Counterfeit Official Checks)
  
• Columbia State Bank (doing business as Columbia Bank), Tacoma, Washington (Counterfeit Money Orders)
  
• Country Bank for Savings, Ware, Massachusetts (Counterfeit Cashier's Checks)

Information regarding the counterfeits checks and money orders has been posted on the BOL Alerts & Counterfeits page.    11/20/06

OFAC Issues Sudanese Guidance

An interpretive guidance has been issued by OFAC to assist in compliance with the provisions of a recently issued Executive Order regarding financial transactions in Sudan. Information regarding the guidance has been posted on the BOL OFAC page.    11/20/06

CRA Ratings Released

The OCC has released the ratings received for nineteen national banks that were recently evaluated for compliance with the CRA.
CRA Ratings    11/20/06

FDIC One-Time Assessment Credit Reminder

The FDIC has issued a FIL reminder that Preliminary Statements of One-Time Assessment Credit are available for viewing through FDICconnect. Insured depository institutions have only until December 18, 2006, to submit a Request for Review to correct any errors in their Statements.
FIL;
FDICconnect    11/20/06

Federal Reserve Bank Chairmen Announced

The appointment of chairmen and deputy chairmen of the twelve Federal Reserve Banks for 2007 has been announced by the FRB.
Chairmen    11/20/06

FHC List Updated

The list of bank holding companies that have elected as of November 10, 2006, to be treated as financial holding companies (FHC) has been released by the FRB.
FHC List    11/20/06

Third Quarter TRF Data Released

OTS has released the Aggregated Thrift Financial Report (TFR) Data for the Third Quarter 2006.
TRF Data    11/20/06

Counterfeit Cashier's Checks Special Alert

The FDIC has issued a Special Alert regarding counterfeit cashier's checks drawn on Home Federal Savings Bank, Detroit, Michigan. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   11/17/06

December 2006 HOEPA Rates Established

The Federal Reserve has posted the new reference rates that lenders must use to determine if loans for which applications are received in December 2006 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, you 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   11/17/06

September TIC Data Released

Treasury has released the Treasury International Capital (TIC) Data for September 2006 and posted it online. TIC Data   11/17/06

Industrial Production and Capacity Utilization Report Issued

The FRB has issued the G.17 Industrial Production and Capacity Utilization report for
October 2006. G.17   11/17/06

Dugan Discusses Nontraditional Mortgage Risks

In a presentation to the Pittsburgh Community Reinvestment Group and bankers who toured area reinvestment projects, Comptroller of the Currency Dugan highlighted the federal regulators' guidance to address risks associated with nontraditional mortgages and the increasing trend of marketing these products to subprime borrowers who are least able to handle payment shock that occurs with these loans. Speech   11/17/06

Global Retail Opportunities and Challenges Outlined By Reich

OTS Director Reich reviewed the opportunities and challenges related to global retail finance in a presentation at a Special Seminar on International Banking and Finance in Tokyo, Japan. He stressed that growth in retail and consumer lending is rapidly expanding beyond developed countries to emerging markets all over the world. Speech   11/17/06

Fall 2006 Issue of FDIC Consumer News Published

The FDIC has published the Fall 2006 issue of Consumer News. Common Mistakes that Cost Bank Customers Money is the featured article and other topics articles: Avoiding Costly Banking Mistakes: No Trivial Pursuit, Fraudulent E-Mails Claim to Be From the FDIC, Beware of Phone-Based "Vishing" Scams, and New Safety Procedures for Internet Banking. Consumer News   11/17/06

Counterfeit Cashier's Checks Alerts Issued

The OCC has issued three Alerts regarding counterfeit cashier's checks issued in the name of:

• Progressive Bank, N.A., Wheeling, West Virginia; and
• American Bank of Texas, N.A., Marble Falls, Texas.

The FDIC has issued five Special Alerts regarding counterfeit cashier's checks bearing the name of;

• Alamerica Bank, Birmingham, Alabama;
• Pelham Banking Company, Pelham, Georgia;
• Citizens Guaranty Bank, Richmond, Kentucky;
• Greater Buffalo Savings Bank, Buffalo, New York; and
• Fifth Third Bank, Lexington, Kentucky, (Fifth Third Bank, Cincinnati, Ohio).

Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.    11/16/06

FOMC Minutes Released

The FRB and the Federal Open Market Committee (FOMC) have released the minutes of the Committee meeting held on October 24-25, 2006. Minutes   11/16/06

Strategies For Reaching Minority Markets Report Published

The OCC has published a new Community Developments Insights report, "Reaching Minority Markets: Community Bank Strategies," which examines a variety of methods that banks are using to target specific minority markets in the United States. Report   11/16/06

Third Quarter Strong For Thrift Industry

OTS has announced that the thrift industry posted strong numbers for earnings and solid profitability in the third quarter of 2006.Third Quarter Earnings; Highlights; Selected Indicators; Charts; Asset/Liability Price Tables; Cost of Funds Historical; Cost of Funds Current   11/16/06

Member Service Assessment Results Released

NCUA has released the results of the Member Service Assessment Pilot Program (MSAP). The MSAP collected data on the membership profile of FCUs, the types of services provided to their memberships, and the total compensation of FCU executives. Results    11/16/06

37 Years of FTC Decisions Available Online

The FTC has announced that actions from the past 37 years, including documents previously available to the general public only in book form, are now available on the agency's Web site. Virtually all administrative documents issued by the Commission since 1969 are viewable, including Opinions, Final Orders, Complaints, and Consent Orders that result from negotiated consent agreements, as well as all Initial Decisions issued by Administrative Law Judges in administrative trial proceedings. FTC    11/16/06

FRB Approves 2007 Fee Schedules

The 2007 fee schedules for Federal Reserve Bank payment services for depository institutions have been approved by the FRB. Fee Schedules   11/15/06

Enforcement Actions Released

The OCC has released a list of the new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks. The actions included three CMP assessed for flood violations. For information regarding these violations check out the BOL Flood Penalties Watch page. Enforcement Actions   11/15/06

Micro Data Reference Manual Online

The FRB has posted online the Micro Data Reference (MDRM) which contains a catalog of data series included in the Board's micro data (Financial and Structure) files. MDRM   11/15/06

Updated Environmental Risk Program Guidelines Issued

The FDIC has issued a FIL announcing the issuance of updated Guidelines for an Environmental Risk Program to reflect changes to the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) regarding the EPA All Appropriate Inquiry Rule. FIL; Guidelines; EPA Rule   11/14/06

Bernanke Discusses FRB History

In a presentation at the Fourth ECB Central Banking Conference in Frankfurt, Germany, FRB Chairman Bernanke examined the historical role of monetary aggregates in economic analysis and monetary policymaking at the Federal Reserve. He noted that while a heavy reliance on monetary aggregates as a guide to policy would seem to be unwise in the U.S. context, money growth may still contain important information about future economic developments. Speech   11/13/06

Dugan Says Management Of Derivatives Risk Is Essential

Comptroller Dugan told the participants at the New York Bankers Association annual convention that ensuring effective management of the large credit risks that have accumulated in the derivatives portfolios of the major trading banks is a matter of concern for all banks. He stated, "significant mismanagement of these risks could precipitate market disruptions that affect public confidence in financial institutions generally." Speech    11/13/06

OTS Challenges Outlined By Reich

In a presentation at the annual meeting of the New York Bankers Association, OTS Director Reich discussed the long term challenges facing the agency and an update on the ongoing interagency activity regarding Basel II. He indicated that he is deeply concerned about the continued reduction in the number of community banks and current direction of the housing market. Speech    11/13/06

New Logo for FDIC

The FDIC published a final rule in the FR today revising its regulation governing official FDIC signs and advertising of FDIC membership. The final rule replaces the separate signs used by Bank Insurance Fund
(BIF) and Savings Association Insurance Fund (SAIF) members with a new sign, or insurance logo, to be used by all insured depository institutions. TXT, PDF .   11/13/06

Shell Companies Risks Advisory Issued

FinCEN has issued an advisory to U.S. financial institutions on identifying, assessing and managing the potential risks associated with accounts maintained for shell companies. An assessment that shows how shell companies can be exploited by money launderers and other perpetrators of financial crime was also released. Advisory; Assessment   11/10/06

New Jersey Credit Union Closed

NCUA has announced that the La Casa Federal Credit Union in Newark, New Jersey, has been liquidated. La Casa   11/10/06

November 2006 FedFlash Issue Posted

Federal Reserve Financial Services has posed the November 2006 issue of FedFlash online. Featured articles include information regarding: FedCash cross-shipping reports; a new name for FRB Cash Services; the 2007 pricing schedule; FedACH International Canada Service; a change in fees for Treasury check reclamations; and changing the paper stock for substitute checks. FedFlash   11/10/06

CEO Letter Issued

OTS has issued a CEO Letter regarding the securities activities of savings associations and the impact of the Financial Services Regulatory Relief Act of 2006. CEO Letter   11/10/06

FIL Regarding FDIC Late Assessments Penalties

The FDIC has issued a FIL regarding the previously announced final rule imposing penalties for the late payment of FDIC insurance assessments. Information regarding the penalties was posted in the BOL November 3, 2006 Top Stories. FIL   11/10/06

Social Security Issues Email Scam Alert

Social Security has issued a warning about a phishing email scam with the subject “Cost-of-Living for 2007 update” that purports to be from the agency. The recipients are directed to a fake SSA web site and instructed to enter personal information, including financial data, or their SS benefits will be terminated. Scam   11/10/06

314a Fact Sheet Update

An update of the 314a Fact Sheet, which includes data current as of November 7, 2006, has been published by FinCEN. Update   11/10/06

Working Papers Published

The FRB has published six working papers in the FEDS and IFDP series on the following topics:

• Closing Open Economy Models,
• How Do FOMC Actions and U.S. Macroeconomic Data Announcements, Move Brazilian Sovereign Yield Spreads and Stock Prices?,
• Realized Jumps on Financial Markets and Predicting Credit Spreads,
• Incompatibility and Investment in ATM Networks,
• Social Security's Delayed Retirement Credit and the Labor Supply of Older Men, and
• A Model in Which Outside and Inside Money are Essential.

Closing Abstract; Closing Full Paper; How Do Abstract; How Do Full Paper; Realized Abstract; Realized Full Paper; Incompatibility Abstract; Incompatibility Full Paper; Social Security Abstract; Social Security Full Paper; A Model Abstract; A Model Full Paper   11/10/06

Reserve Position Update

Treasury has updated the U.S. International Reserve Report with the addition of November 3, 2006 data. Reserve Position   11/10/06

Counterfeit Cashier's Checks Alert

The OCC has issued an Alert regarding counterfeit cashier's checks bearing the name of Winona National Bank, Winona, Minnesota. Information concerning the counterfeit cashier's checks has been posted on the BOL Alerts & Counterfeits page.   11/09/06

FDIC Publishes Final Rule in FR for Penalty for Failure to Timely Pay Assessments

The FDIC is adopting its final rule amending its regulations concerning penalties for failure to timely pay assessments. The statute generally provides that an insured depository institution which fails or
refuses to pay any assessment shall be subject to a penalty of not more than 1 percent of the assessment due for each day the violation continues. TXT, PDF .   11/09/06

Fraudulent Checks Special Alert Issued

The FDIC has issued a Special Alert regarding fraudulent checks bearing the name Horizon Bank, Arlington, Texas, and routing numbers assigned to various other financial institutions. Information concerning the fraudulent checks has been posted on the BOL Alerts & Counterfeits page.   11/8/06

FIL Issued Regarding Proposed Call Report Revisions

A FIL has been issued by the FDIC regarding requests by federal financial regulatory agencies for comments on the proposed revisions to the Consolidated Reports of Condition and Income (Call Report) and the Thrift Financial Report (TFR). FDIC FIL   11/8/06

October Statistical Supplement To FR Bulletin Issued

The FRB has issued the October 2006 Statistical Supplement to the Federal Reserve Bulletin. Supplement   11/8/06

Consumer Credit Report Released

The September 2006 G.19 Consumer Credit Report has been released by the FRB. G.19   11/8/06

Counterfeit Checks Alert

The OCC has issued an Alert regarding counterfeit official checks bearing the name of Webster Bank, N.A., Waterbury, Connecticut. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits pag.   11/7/06

CRA Ratings Released

The FDIC has released a list of state nonmember banks recently evaluated for compliance with the CRA and the ratings they received. Ratings   11/7/06

OFAC Announces Enforcement Actions

Civil money penalties (CMPs) have been announced by OFAC for entities and individuals that have been cited for violations of the various OFAC sanctions programs. The November 2006 list does not include any financial institutions. CMPs   11/7/06

Enhanced NPV Model Announced

OTS has announced the implementation of an Enhanced NPV Model that will expand the regulator's off-site monitoring capability of the interest rate risk exposure of individual thrift institutions and improve the efficiency and effectiveness of on-site examinations. NPV   11/7/06

Assets Reports Released

The FRB has released the October 2006 3.12 U.S. Reserve Assets Report and the 3.13 Foreign Official Assets Held at Federal Reserve Banks Report. Reports   11/7/06

Counterfeit Official Checks Alert

The OCC has issued an Alert regarding counterfeit official checks bearing the name of Sterling National Bank, New York, New York. Information concerning the counterfeit official checks has been posted on the BOL Alerts & Counterfeits page.   11/6/06

Mortgage Loan Fraud Increases

FinCEN has released an assessment which indicates that suspected mortgage loan fraud in the U. S. has risen 35 percent in the past year. Assessment   11/6/06

Special Alerts Issued

The FDIC has issued two Special Alerts regarding counterfeit official checks bearing the name of American State Bank, Lubbock, Texas, and stolen money orders stolen drawn on North Fork Bank, Mattituck, New York. Information concerning the counterfeits official checks and the stolen money orders has been posted on the BOL Alerts & Counterfeits page.   11/3/06

Unauthorized Banking Alert

A Special Alert has been issued by the FDIC regarding five entities that may be conducting banking operations without authorization in the U.S. and Canada. Special Alert   11/3/06

Risk-Based FDIC Insurance Premiums Approved

The FDIC has approved a new rule on the risk-based assessment system that will more closely tie each bank's premiums to the risk it poses to the deposit insurance fund. The rule is among the final regulations that were adopted to implement the Federal Deposit Insurance Reform Act of 2005. Other actions included the setting of the designated reserve ratio, uniform signage requirements, and the establishment of penalties for failing to pay premiums timely. Premiums   11/3/06

Money Laundering And Terrorist Financing Report Issued

The Financial Action Task Force (FATF) has issued two reports regarding the ways in which new payment technologies utilizing prepaid cards, Internet payment systems, mobile payments, and digital precious metals along with corporations, trusts, foundations and partnerships with limited liability can be exploited for money laundering or terrorist financing purposes. New Payment; Corporations   11/3/06

FDIC Forms Economic Exclusion Advisory Committee

The FDIC has announced the establishment of an Advisory Committee on Economic Inclusion to provide advice and recommendations on important initiatives focused on expanding access to banking services by underserved populations. Committee   11/3/06

CRA Ratings Released

The ratings received by savings associations that were recently evaluated for compliance with the CRA have been released by OTS. Ratings    11/2/06

Enforcement Actions Announced

The FDIC has announced the issuance of seventeen orders of administrative enforcement actions taken against banks and individuals in September 2006 including seven removal and prohibition orders, seven civil money penalty orders, one cease and desist order, one written agreement, and one termination of insurance order. Enforcement Actions
   11/2/06

March 2007 Reporting Forms Drafts Available

The FFIEC has posted the drafts of the March 2007 Reporting Forms 031 and 041. Form 031; Form 041   11/2/06

Bernanke Discusses the Impact of CDFIs

In a presentation before at the Opportunity Finance Network's Annual Conference in Washington, D.C., FRB Chairman Bernanke noted the ways that community development financial institutions (CDFIs) work to strengthen communities and improve the lives of lower-income people. Speech   11/2/06

Third Quarter Asset & Liability Price Tables Released

OTS has released the Asset & Liability Price Tables for the Third Quarter 2006. Tables   11/2/06

Small Businesses Survey Result Released

The FRB has released the results of the 2003 Survey of Small Business Finances (SSBF) which collects information on small businesses with fewer than 500 employees in the United States. Owner characteristics, firm size, use of financial services, and the income and balance sheets of the firm are some of the types of information collected. Survey Results   11/2/06

South Dakota Quarter Distribution Schedule Announced

FRB FedCash Services has announced the distribution schedule for the new South Dakota commemorative quarter. Schedule   11/2/06

Foreign Exchange Rates Report Released

The G.5 Foreign Exchange Rates report for November 1, 2006 has been released by the FRB. G.5   11/2/06

Counterfeit Checks Alerts Issued

The OCC has issued two Alerts regarding counterfeit official checks issued in the name of Park National Bank of Newark, Ohio, and counterfeit cashier's checks issued in the name of Century Bank, N.A., of Texarkana, Texas. Information concerning the counterfeit checks has been posted on the BOL Alerts & Counterfeits page.    11/1/06

Drug Leader's Associates Added To OFAC List

OFAC has designated seven individuals and ten entities associated with North Valle drug cartel leader Carlos Alberto Renteria Mantilla aka Beto Renteria as SDNTs and added their names to the SDN list. Information regarding the additions has been posted on the BOL OFAC page.    11/1/06

$12 Million CMP Assessed For BSA/AML Violations

FinCEN, the FDIC, and the New York State Banking Department have announced the assessment of civil money penalties of $12 million against Israel Discount Bank of New York for violations of federal and state anti-money laundering laws and regulations including the failure to establish due diligence policies, procedures and controls reasonably designed to detect and report instances of money laundering through its correspondent accounts for non-U.S. persons.
FinCEN Penalty;
FDIC Penalty;
New York Penalty    11/1/06

FRB Legal Interpretations Released

The FRB has released letters containing legal interpretations issued by the agency's legal staff during 2006 regarding Section 23A and Reg W, Reg O, and NOW accounts.
Interpretations    11/1/06

Thrift Industry Charge-Off Rates Announced

OTS has announced the Thrift Industry Charge-Off Rates for the Second Quarter 2006.
Charge-Off Rates    11/1/06

Reserve Position Update

Treasury has updated the U.S. International Reserve Position report with the addition of data current as of October 27, 2006.
Reserve Position    11/1/06