Office address J. F. Kennedy, Federal Building, Room 1600, Boston, Mass. 02203. 33 Liberty St., Room 1455 East Sixth St., Blvd., Room 715, Chicago, Ill. 60604. 167 North Main St., Memphis, Tenn. 38103. 20 South Washington Ave., Room 525, Minneapolis, Minn. 55401. 911 Main St., Suite 2616, Kansas City, Mo. 64105. 400 South Akard St., Room 646, Station K, Dallas, Tex. 75222. 1575 Sherman St., Room 524, Denver, Colo. 80203. 813 Southwest Alder St., Room 601, Portland, Oreg. 97205. 256 Montgomery St., Room 401, San Francisco, Calif. 94104. (2) A Regional Administrator of National Banks is in charge of each National Bank Region. He has general supervision over all matters pertaining to his region. He is assisted by one or more Deputy Regional Administrators, a Regional Economist, and, in some cases, a Regional Counsel. (c) Delegations. The Comptroller of the Currency has delegated to each Regional Administrator final authority to approve (but not to disapprove) (1) Capital increases through stock dividends or sales of additional common stock, (2) Cash dividends, and (3) Increases in investments in bank buildings and other fixed assets. [32 F.R. 9513, July 1, 1967] § 4.1b Regulations. (a) Public notice. The Comptroller of the Currency publishes in the FEDERAL REGISTER, except as provided in paragraph (f) of this section, notices of proposed regulations. A notice states the terms or substance of a proposed regulation or a description of the subject or issue involved. It also refers to the authority under which the regulation is proposed and states the time, place, and nature of the public proceeding applicable thereto. (b) Public participation. Interested persons are afforded an opportunity to participate in the making of a proposed regulation, except as provided in paragraph (f) of this section or otherwise excepted by law. Such participation consists of submission of written data, views, or arguments and, if the Comptroller specifically provides, an opportunity for oral presentation. (c) Petition. An interested person may seek issuance, amendment, or repeal of a regulation of the Comptroller. He should submit a written request which sets forth a complete and concise statement of his interest in the subject matter and the reason his request should be granted. (d) Formulation. After consideration of all relevant matters, the Comptroller takes such action with respect to the proposed regulation as he deems appropriate. If a regulation is adopted, a concise general statement of its basis and purpose is set forth. (e) Effective date. A regulation issued by the Comptroller is published not less than 30 days prior to the effective date thereof. (f) Exceptions. If the Comptroller finds that notice of and public participation in a proposed regulation is impractical, unnecessary, or contrary to the public interest, or there is good cause why the effective date thereof should not be deferred for 30 days or any shorter period, the provisions of this section shall be inapplicable and any such regulation, when adopted, will incorporate such findings therein. [32 F.R. 9514, July 1, 1967] § 4.2 Organization of national bank. (a) Application. Persons desiring to organize a national bank should submit to the Regional Comptroller of the Currency for the region in which the proposed bank is to be located, an "Application to Organize a National Bank." This application, supplementary forms, and instructions for their preparation and filing are furnished upon request submitted to the Comptroller of the Currency or to the Regional Comptroller. (b) Investigation. The Comptroller of the Currency may conduct such investigation as he deems necessary or proper. Matters investigated include: (1) The adequacy of the proposed banks capital structure. (2) The earning prospects of the proposed bank. (3) The convenience and needs of the community to be served by the proposed bank. (4) The character and general standing in the community or the applicants, prospective directors, proposed officers, and other employees, and other persons connected with the application or to be connected with the proposed bank. (5) The banking ability and experience of proposed officers and other employees. If the persons referred to in subparagraph (4) of this paragraph are not ready, within 30 days after filing of the application, to submit to and cooperate in the investigation, the Comptroller may treat the application as abandoned. If (c) Preliminary approval. The Comptroller of the Currency determines whether or not preliminary approval of the application should be granted. preliminary approval is granted, the Comptroller may, if he determines that such action is necessary or desirable for the protection of the public interest, at any time withdraw such approval or provide that final approval shall be subject to the fulfillment of conditions specified by him. (d) Corporate organization. If preliminary approval is granted, the applicants are furnished with suggested forms of documents necessary for the corporate organization of a national banking association and instructions for their preparation and filing. The proposed bank does not become a body corporate until certain of these documents have been accepted for filing by the Comptroller of the Currency. (e) Commencement of business. The Comptroller of the Currency determines whether or not the national banking association is entitled to commence the business of banking. If the Comptroller's determination is favorable, he issues a certificate, known as a charter, which provides that the national banking association is authorized to commence the business of banking. (f) Fiduciary powers. Additional procedural steps are necessary if the new bank desires to exercise fiduciary powers. See Part 9 of this chapter. (12 U.S.C. 21, 22, 23, 24, 26, 27, 28) § 4.3 Conversion of State bank into national bank. (a) Application. A State bank desiring to become a national bank should submit to the Comptroller of the Currency, an "Application to Convert a State Bank into a National Bank." This application, supplementary forms, and instructions for their preparation and filing are furnished upon request submitted to the Comptroller or to the Regional Comptroller of the Currency for the region in which the bank is located. (b) Examination and investigation. The Comptroller of the Currency may conduct such examination or investigation as he deems necessary or proper. (c). Approval. The Comptroller of the Currency determines whether or not approval of the application should be granted. (d) Corporate proval is granted, the bank is furnished with suggested forms of documents necessary to complete its conversion into a national banking association and instructions for their preparation and filing. documents. If ap (e) Commencement of business as national bank. When the Comptroller of the Currency determines that all statutory requirements have been complied with, he issues a certificate, known as a charter, which provides that the bank is authorized to commence the business of banking as a national bank as of a specified date. (f) Fiduciary powers. Additional procedural steps are necessary if the bank desires to exercise fiduciary powers as a national bank. See Part 9 of this chapter. (g) Additional procedural steps in certain cases. In certain cases of con versions, additional procedural steps may be necessary. For example, if the bank has branches, approval of their continued operation must be obtained from the Comptroller of the Currency. (12 U.S.C. 35) § 4.4 Merger, consolidation, purchase, and assumption. (a) Definition. For purposes of this section, the term merger means a merger or consolidation in which the resulting bank is a national bank. (b) Application. National banks or State and national banks desiring to merge or a national bank desiring to purchase the assets and assume the liabilities of another bank or financial institution should submit to the Comptroller of the Currency, an "Application to Merge, Consolidate, or Purchase". This application, supplementary forms, and instructions for their preparation and filing are furnished upon request submitted to the Comptroller or to the Regional Comptroller for the region in which the banks are located. In the (c) National bank as seller. case of a purchase and assumption, if the selling bank is a national bank, it is furnished with suggested forms of documents and instructions for the voluntary liquidation of the bank. See § 4.10. (d) Examination and investigation. The Comptroller of the Currency may conduct such examination or investigation as he deems necessary or proper. (e) Approval. The Comptroller of the Currency determines whether or not approval of the application should be granted. (f) Certification. If the determination of the Comptroller of the Currency is favorable, he issues— (1) Merger. Certificates to the resulting bank to evidence approval of the merger and to authorize operation of permitted branches incident thereto, or (2) Purchases and assumption. A certificate to the purchasing and assuming bank to authorize operation of permitted branches incident to the purchase and assumption. (12 U.S.C. 214, 214a, 214c, 215, 215a, 215b, 1828) § 4.5 Establishment of branch banks and seasonal agencies. (a) Application. A national bank desiring to establish and operate a branch or seasonal agency should submit to the Regional Comptroller of the Currency for the region in which the bank is located, and "Application for Permission to Establish a Branch". This application and instructions for preparing and filing it and supporting documents are furnished upon request submitted to the Comptroller of the Currency or to the Regional Comptroller. (b) Investigation. The Comptroller of the Currency may conduct such investigation as he deems necessary or proper. (c) Approval. The Comptroller of the Currency determines whether or not approval of the application should be granted. (d) Certification. If the determination of the Comptroller of the Currency is favorable, he issues a certificate to evidence his apporval for the establishment and operation of the branch or seasonal agency at the designated location. (12 U.S.C. 36) § 4.6 Change of location of main or branch office. (a) Application. A national bank desiring to relocate its main office or a branch office should submit to the Regional Comptroller of the Currency for the region in which the bank is located, an "Application for a Change in Location of Head Office or Branch". This application and instructions for preparing and filing it and supporting documents are furnished upon request submitted to the Comptroller of the Currency or to the Regional Comptroller. (b) Investigation. The Comptroller of the Currency may conduct such investigation as he deems necessary or proper. (c) Approval. The Comptroller of the Currency determines whether or not approval of the application should be granted. (d) Certification. If the determination of the Comptroller of the Currency is favorable, he isssues a certificate evidenc ing his approval for the relocation of the main or branch office. (12 U.S.C. 30, 36) § 4.7 Change of bank name. (a) Application. A national bank desiring to change its name should submit to the Regional Comptroller of the Currency for the region in which the bank is located, an "Application for a Change in Title." This application and instructions for preparing and filing it and supporting documents are furnished upon request submitted to the Comptroller of the Currency or to the Regional Comptroller. (b) Investigation. The Comptroller of the Currency may conduct such investigation as he deems necessary or proper. (c) Approval. The Comptroller of the Currency determines whether or not approval of the application should be granted. (d) Certification. If the determination of the Comptroller of the Currency is favorable, he issues a certificate evidencing his approval for the change of name. [12 U.S.C. 36) § 4.8 Conversion of national bank into State bank. A national bank desiring to become a State bank should submit to the Comptroller of the Currency notification of its intent to convert. The bank will be furnished with instructions regarding steps to be followed to terminate its status as a national bank. (12 U.S.C. 214, 214a, 214b, 214c) § 4.9 Voluntary liquidation. (a) Liquidation documents. A solvent national bank desiring to liquidate voluntarily should submit to the Comptroller of the Currency notification of its intent to do so. The bank will be furnished with suggested forms of documents necessary to place it in voluntary liquidation and instructions for their preparation and filing. (b) National bank as buyer. If the bank's assets are to be purchased and its liabilities assumed by a national bank, see § 4.4. (c) Report of condition. The liquidating bank must submit to the Comptroller of the Currency reports of the condition of its commercial, trust, and other departments as of the date it discontinues the business of banking. (d) Report of progress. The liquidating agent or committee must submit annually to the Comptroller of the Currency, until liquidation is complete, a "Report of Progress of Liquidation". This form and instructions for its preparation and filing are furnished to such agent or committee. (12 U.S.C. 181, 182) § 4.10 Receivership and conservatorship. (a) Receivership. If the Comptroller of the Currency determines that a national bank is insolvent, he may appoint a receiver for such bank. (1) Federal Deposit Insurance Corporation as received. In cases in which the Comptroller of the Currency appoints the Federal Deposit Insurance Corporation as receiver, that corporation prescribes the procedures it follows in liquidation of the insolvent bank. (2) Other receivers. In those cases in which the Comptroller of the Currency does not appoint the Federal Deposit Insurance Corporation as receiver, he appoints a receiver of his own choice. The Comptroller prescribes a form of proof of claim. The receiver appointed by the Comptroller issues a certificate of proof of claim to claimants who prove their claims to the satisfaction of the Comptroller or establish their claims by litigation. (b) Conservatorship. The Comptroller of the Currency may appoint a conservator of his own choice for any national bank when he determines that such action is necessary to conserve the assets of the bank for the benefit of its depositors and other creditors. The conservator acts under the direction of the Comptroller and has the powers and duties of a receiver. Since the Comptroller's conservatorship authority is exercised in emergency situations, the procedures followed depend upon the circumstances of each case which dictate the action necessary to conserve the assets of the bank. (12 U.S.C. 191, 192, 193, 194, 195, 196, 197, 198, 199, 200, 201, 202, 203, 204, 205, 206, 207, 208, 209, 210, 211, 1821) § 4.11 Supervision of bank operations. (a) Examination of banks. All national banks must be examined twice in each calendar year except that the Comptroller of the Currency may (1) waive one such examination of any bank not more frequently than once during any 2-year period or (2) cause such examinations to be made more frequently as he determines to be necessary. An affiliate of a national bank may also be examined. (b) Reports of banks-(1) Commercial department reports. Each national bank must submit to the Comptroller of the Currency four times each year a report of the condition of its commercial department. The Comptroller may also call for additional reports of condition from all national banks and special reports of condition from any national bank whenever he determines that such reports are necessary for the peformance of his supervisory duties. Reports of condition shall be submitted to the Comptroller on such dates and in such form and shall contain such information as may be determined by the Comptroller. National banks are furnished with "Report of Condition" forms and instructions for their preparation, filing and publication to the extent required by law. (2) Affiliate reports. When required by the Comptroller of the Currency, each national bank which has one or more affiliates, including holding company affiliates, must submit with its report of condition, a report of condition of each such affiliate. The Comptroller furnishes "Affiliate Report" forms and instructions for their preparation, filing, and publication to the extent required by law. (3) Reports of income and dividends. Each national bank must submit annually to the Comptroller of the Currency, a report of its income and dividends for the 12-month period ending December 31st. The Comptroller furnishes "Report of Income and Dividends" forms and instructions for their preparation and filing. (4) Trust department reports. Each national bank which exercises fiduciary powers must submit annually to the Comptroller of the Currency, on the date specified by him, a report of the condition of its trust department. The Comptroller furnishes "Trust Department Annual Report" forms and instructions for their preparation and filing. If a national bank administers collective investment funds, see Part 9 of this chapter. (5) Reports of international operations. The International Operations Regulation (Part 20 of this chapter) requires that a national bank notify the Comptroller before (i) the establishment of a foreign branch or other controlled international banking office and before (ii) the acquisition of a direct or indirect controlling interest in a foreign bank or in certain other corporations. The regulation requires that a national bank report to the Comptroller within 30 days after (iii) the relocation of such branch or office and after (iv) the acquisition of an interest in a foreign bank or other corporation which does not result in control. For purposes of this subparagraph, a foreign banking corporation is any bank or corporation chartered or incorporated under the laws of the United States or any State thereof (including any corporation organized under 12 U.S.C. 611 to 532) which is principally engaged in international or foreign banking or financing or banking in a dependency or insular possession of the United States, directly or through the agency, ownership, or control of local institutions in foreign countries or in such dependencies or insular possessions; or any corporation or other association, organized under the laws of a foreign country or a dependency or insular possession of the United States, which is principally engaged in commercial banking business. (6) Reserve reports of District of Columbia banks. Each bank or trust company located and doing business in the District of Columbia which is not a national bank and which is not a member of the Federal Reserve System, must maintain a reserve on the same basis and subject to the same conditions as prescribed for national banks located in the District of Columbia. Such reserve must be established and maintained with a national bank or a State member bank which is approved for such purpose by the Comptroller of the Currency. Each such District of Columbia bank or trust company must submit to the Comptroller each week a "Report of Net Deposits and Reserves Required". The depository national bank or State member bank must submit to the Comptroller each week a "Report of Reserve Held". (12 U.S.C. 161, 481, 1817; 26 D.C. Code (1961 Ed.) 102, 336) [29 F.R. 7413, June 9, 1964, as amended at 32 F.R. 9514, July 1, 1967] |