Bank Regulatory News
September 2000

September 29, 2000 - The Federal Deposit Insurance Corporation (FDIC) has approved the purchase and assumption of the insured deposits of The Bank of Falkner, Falkner, Mississippi, by Citizens Bank & Savings Company, Russellville, Alabama.

September 28, 2000 - The Federal Reserve Board today published a final rule amending Regulation Z, which implements the Truth in Lending Act, to revise the disclosure requirements for credit and charge card solicitations and applications.

September 28, 2000 - Comptroller Promotes Leadership Role for National Banks In Areas Lacking Adequate Access to Financial Services
WASHINGTON--The Comptroller of the Currency John D. Hawke, Jr. today encouraged national banks to take a leadership role in bringing retail financial services to underserved areas.

September 28, 2000 - This bulletin highlights the critical need for national trust banks (NTBs) to maintain adequate liquidity and capital and for examiners to assess these matters through the supervisory process.

September 28, 2000 - Community banks and thrifts would be eligible for simpler, less burdensome capital rules under an
interagency proposal to be released for comment next month, Federal Deposit Insurance Corporation
Chairman Donna Tanoue announced today.

September 27, 2000 - The Federal Reserve Board today announced the execution of a Written Agreement by and among Olathe Bancorporation, Inc., Olathe Colorado; the Olathe State Bank, Olathe, Colorado; the Federal Reserve Bank of Kansas City; and the Colorado Division of Banking.

September 27, 2000 - AGENCIES PROPOSE REVISION OF CAPITAL RULES FOR THE TREATMENT OF RESIDUAL INTERESTS  FDIC OCC OTS
The Office of the Comptroller of the Currency, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the Office of Thrift Supervision today requested public comment on proposed revisions to their capital rules for residual interests in asset securitizations or other transfers of financial assets. The proposed rule was published in today’s Federal Register.  Comments are due December 26, 2000.

September 27, 2000 - The Federal Reserve Board today announced its approval of the application of FleetBoston Financial Corporation, Boston, Massachusetts ("Fleet"), to acquire up to 9 percent of the voting shares of North Fork Bancorporation, Inc., Melville ("North Fork"), and its subsidiaries North Fork Bank, Mattituck, both in New York, and Superior Savings of New England, N.A., Branford, Connecticut.

September 27, 2000 - The Federal Reserve Board today announced its approval of the notice by North Fork Bancorporation, Inc., Melville, New York, to acquire at least 50.1 percent of the voting shares of Dime Bancorp, Inc., New York, New York.

September 26, 2000 - Analysts at the Federal Deposit Insurance Corporation today added Denver, Fort Worth, Jacksonville, Sacramento, and Seattle to a list of metropolitan areas at risk of overbuilding, expanding their list of cities at risk to 13.

September 25, 2000 - OTS Approves Thrift's Plan To Offer Banking Services In 25 Safeway Stores
WASHINGTON, D.C., Sept. 25, 2000 – Amicus, a federal savings bank in Cicero, Ill., has received approval from the Office of Thrift Supervision (OTS) to establish 25 agency offices in Safeway supermarkets in California and Colorado that will offer a variety of retail banking services and products. The offices will operate under the name Safeway Select Bank.

September 25, 2000 - The Federal Deposit Insurance Corporation today announced the publication of "Tips for Safe Banking Over the Internet," a new brochure intended to help consumers better understand their rights and responsibilities when banking over the Internet. The brochure was produced in collaboration with the Federal Reserve Bank of New York, the Office of the Comptroller of the Currency, and the Office of Thrift Supervision.

September 22, 2000 - OCC Proposes Pilot Program Adjusting Certain Lending Limits For Many Community National Banks
WASHINGTON -- The Office of the Comptroller of the Currency announced today a proposal to implement a pilot program that would provide well-capitalized and well-managed national banks additional flexibility to make residential and small business loans.

September 22, 2000 - The Federal Reserve Board today announced the execution of a Written Agreement by and among the Consolidated Bank and Trust Company, Richmond, Virginia; the Federal Reserve Bank of Richmond; and the Bureau of Financial Institutions of the Commonwealth of Virginia.

September 22, 2000 - The Federal Deposit Insurance Corporation (FDIC) today released a list of orders of administrative enforcement actions taken against banks and individuals in August. No administrative hearings are scheduled for October.

September 21, 2000 - OCC ANNOUNCES 4 NEW ENFORCEMENT ACTIONS
WASHINGTON, DC --The Office of the Comptroller of the Currency (OCC) today announced 4 new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks.

September 21, 2000 - Commercial bank earnings during the second quarter dropped 13.2 percent from the year before, falling to the lowest quarterly total since the second quarter of 1997, according to preliminary data from the FDIC.

September 20, 2000 - The Level of Risk in Bank Portfolios Continues to Rise, OCC Reports in Annual Underwriting Survey
WASHINGTON -- The OCC's sixth annual Survey of Credit Underwriting Practices found that the level of credit risk embedded in bank portfolios continues to rise and that loan standards for very large syndicated loans have eased. The survey also found that standards for home equity lending have eased for the sixth consecutive year.

September 19, 2000 - The Federal Reserve Board today announced the appointment of Chairmen and Deputy Chairmen of the 12 Federal Reserve Banks for 2001.

September 19, 2000 - The National Credit Union Administration announced that it has issued an Order of Prohibition against a former credit union operations manager. Susan E. Hall, former operations manager of the Campbell Soup Federal Credit Union, located in Sacramento, CA., signed the order prohibiting her from any further participation in the operation of any federal financial institution without admitting fault to avoid the time and expense of litigation.

September 19, 2000 - Nigerian Advance Fee Schemes
Nigerian Advance Fee Schemes have been around for a number of years and continue to proliferate. The Central Bank of Nigeria has issued a number of press releases warning the public against involvement in the schemes (sometimes also known as "4-1-9" fraud after the Nigerian penal code section that addresses fraud schemes). 

September 18, 2000 - OTS to Employ 'Check-Up' to Help Boost Thrifts' Privacy Compliance
Although financial institutions don’t have to be in full compliance with the privacy provisions of the Gramm-Leach-Bliley Act until July 1, 2001, the Office of Thrift Supervision (OTS) is wasting no time in its efforts to make certain the thrift industry implements and tests its systems and procedures in the interim so it can be fully compliant by that date.

September 18, 2000 - Regional Broker DADCO Receives Thrift Charter for Trust Activities
DADCO, a regional financial services organization based in Great Falls, Mont., has been granted a federal thrift charter by the Office of Thrift Supervision (OTS), and will consolidate two state-chartered trust companies into the new thrift named Davidson Trust Company.

September 17, 2000 - Comptroller Hawke Tells Bankers OCC is Using Technology To Improve Bank Supervision and Reduce Regulatory Burden
WASHINGTON -- Comptroller of the Currency John D. Hawke, Jr. told bankers today that the OCC is using technology in innovative ways to reduce the burdens and maximize the benefits of supervision.  Attachment 

September 17, 2000 - OCC Gives Bank Directors Guidance To Maintain Safe and Sound Conditions
The Office of the Comptroller of the Currency announced today the availability of a toolkit to help bank directors perform their oversight responsibilities.

September 17, 2000 - National Banknet An Exclusive Web Service for National Banks
National Banknet is an exclusive Web service for national banks operated by the Office of the Comptroller of the Currency. It goes beyond standard Internet services. The OCC site enhances the private exchange of information between the agency and the banks it charters and provides products to assist these banks.

September 15, 2000 - The latest results from the FDIC's Survey of Real Estate Trends showed continuing favorable views of local residential and commercial real estate markets. The nationwide poll, which was conducted in July, asked about developments in real estate markets during the first six months of 2000. For the most part, respondents characterized supply and demand in markets as in balance. But, where market imbalances were observed, reports of tight supply generally outnumbered those of excess supply.

September 15, 2000 - The enclosed materials pertain to the Reports of Condition and Income (Call Report) for the September 30, 2000, report date. Please complete your third quarter Call Report, review it for accuracy, and submit the report electronically as soon as possible. Your completed report must be received by October 30, 2000, in accordance with the filing requirements discussed below. No extensions of time for submitting reports are granted.

September 14, 2000 - The Basel Committee on Banking Supervision has issued two papers providing guidance on credit risk in banking. The papers are part of the committee's ongoing effort to strengthen procedures for risk management in banks.

September 13, 2000 - The NCUA Board has selected Special Actions Director Michael J. Villemure as associate regional director of Operations in Region II and Supervisory Examiner Elizabeth A. Whitehead as associate regional director of Programs in Region I.

September 12, 2000 - U.S. Thrift Industry Earns $2 Billion in Second Quarter
WASHINGTON, D.C., Sept. 12, 2000 – The nation’s thrift industry earned $2.0 billion in the second quarter of 2000, compared with the previous quarter’s $2.2 billion and $2.1 billion a year ago, Director Ellen Seidman of the Office of Thrift Supervision (OTS) reported today.

September 11, 2000 - The federal deposit insurance system turned 67 years old in June, and it has served our country well. As the banking business changes, however, we want to ensure that our system remains the world's best. The FDIC is reviewing ways to improve the deposit insurance program and we would like your comments. As part of our review, we have prepared the enclosed options paper.

September 11, 2000 - OCC Responds to Chairman Leach's Questions About Bank Holdings of Securities for Hedge Purposes

September 8, 2000 - The OCC issues Privacy Laws and Regulations handbook 

September 8, 2000 - OTS Approves Multi-Step Application, Including Unique Stock Acquisition
WASHINGTON, D.C., Sept. 8, 2000 – The Office of Thrift Supervision (OTS) has approved a multiple-step charter transaction that includes a precedent-setting feature in which a newly created Wisconsin-based mutual holding company will set up a subsidiary stock holding company that will issue stock to acquire another Wisconsin thrift.

September 7, 2000 - Proposed Policy Statement on Allowance for Loan and Lease Losses (ALLL) Methodologies and Documentation for Banks and Savings Institutions  FFIEC
The four federal banking agencies, under the auspices of the Federal Financial Institutions Examination Council (FFIEC), have proposed the attached "Policy Statement on Allowance for Loan and Lease Losses (ALLL) Methodologies and Documentation for Banks and Savings Institutions." The four banking agencies -- the Federal Deposit Insurance Corporation (FDIC), the Federal Reserve Board, the Office of the Comptroller of the Currency (OCC), and the Office of Thrift Supervision (OTS) -- are seeking comment on this FFIEC proposal.

September 7, 2000 - The Basel Committee on Banking Supervision has issued a paper providing guidance on managing the settlement risk arising from foreign exchange transactions. The paper is part of the committee's ongoing effort to strengthen procedures for risk management in banks.  

September 7, 2000 - A Federal Reserve System committee today outlined a series of cooperative steps the Federal Reserve and the private sector can take to remove barriers to the development of electronic check presentment in the United States.

September 5, 2000- Trading Revenue Remains Above $3 Billion, OCC Reports; Quarterly Derivatives Volume at Record Level - U.S. commercial banks earned $3.03 billion from trading activities in the three months ending June 30.  Attachment

September 5, 2000 - The FDIC today issued its monthly list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). The list covers evaluation ratings that the FDIC assigned to institutions in June 2000.

September 1, 2000 - The Federal Deposit Insurance Corporation (FDIC) has issued the public list of institutions that it has scheduled for a Community Reinvestment Act (CRA) examination during the fourth quarter of 2000. This list is published pursuant to revised CRA regulations published in May 1995 that require each Federal bank and thrift regulator to publish a quarterly CRA examination schedule at least 30 days before the beginning of each quarter.

September 1, 2000 - OCC Issues Fourth Quarter 2000 CRA Examination Schedule Attachment
WASHINGTON, D.C. -- The Office of the Comptroller of the Currency today released its projected schedule of Community Reinvestment Act (CRA) examinations to be conducted in the fourth quarter of 2000.