CONTROL OF U.S. BANKS HEARING BEFORE A SUBCOMMITTEE OF THE COMMITTEE ON GOVERNMENT OPERATIONS HOUSE OF REPRESENTATIVES NINETY-SEVENTH CONGRESS SECOND SESSION SEPTEMBER 30, 1982 Printed for the use of the Committee on Government Operations COMMITTEE ON GOVERNMENT OPERATIONS JACK BROOKS, Texas, Chairman L. H. FOUNTAIN, North Carolina JOHN CONYERS, JR., Michigan EUGENE V. ATKINSON, Pennsylvania BARNEY FRANK, Massachusetts TOM LANTOS, California FRANK HORTON, New York JOEL DECKARD, Indiana WILLIAM F. CLINGER, JR., Pennsylvania JOHN HILER, Indiana WENDELL BAILEY, Missouri LAWRENCE J. DENARDIS, Connecticut JUDD GREGG, New Hampshire MICHAEL G. OXLEY, Ohio HAROLD WASHINGTON, Illinois CONTENTS Gough, Robert P., Associate Director, Division of Bank Supervision, Fed- Kohn, Ernest, acting first deputy superintendent of banks, State of New York, on behalf of acting superintendent of banks, State of New York: News release, Mr. Cohen's prepared statement, and resolution. New York State Banking Department concerning the investigation of the investors who applied for permission to acquire control of First Hearing held on September 30, 1982.. Statement of— Arnold, Doyle L., Senior Deputy Comptroller, Office of the Comptroller of Berman, Carol, senator, New York State Senate........ Gough, Robert P., Associate Director, Division of Bank Supervision, Fed- eral Deposit Insurance Corporation.... Kohn, Ernest, acting first deputy superintendent of banks, State of New York, on behalf of Alan R. Cohen, acting superintendent of banks, Rosenthal, Hon. Benjamin S., a Representative in Congress from the State of New York, and chairman, Commerce, Consumer, and Mone- tary Affairs Subcommittee: Opening statement... Wallich, Henry C., member, Federal Reserve Board Letters, statements, etc., submitted for the record by- Arnold, Doyle L., Senior Deputy Comptroller, Office of the Comptroller of .172-204 .147-169 13-29 33-45 Wallich, Henry C., member, Federal Reserve Board: Prepared statement.. 61-144 Appendix 1.-Materials relating to Financial General Bankshares, Inc. Transcript of informal closed meeting at Federal Reserve Board, April 23, Page Appendix 1.-Materials relating to Financial General Bankshares, Inc-Continued Federal Reserve Board order dismissing first holding company application, February 16, 1979... 393 Federal Reserve Board order approving second holding company application, August 25, 1981...... 395 Federal Reserve Board letter to subcommittee concerning identity and Applicants' responses to Commissioner Bailey's questions, May 1, 1981 Press materials. "Lance: The Plot Sickens," by Steven Brill, Esquire, April 25, 1978.... 404 440 443 449 452 456 470 474 474 477 "Bank of Credit and Commerce International: The Mysteries Behind 478 484 "Lance Sued on Filings at S.E.C," by Nicholas M. Horrock, New York 485 "FG Asks Hearings on Lance," by Jerry Knight, Washington Post, 486 "Arab Bank Takeover Opposed," by E. J. Dionne, Jr., New York 487 "Arab's Bank Bid Thwarted," by Robert A. Bennett, New York 488 "NYS Reversal Allows Arab Acquisition," by Gordon Matthews, 489 "Copper Squeeze, Scandal Tied," by Tony DeStefano and Mark Ho- 490 491 492 492 502 "Arab Investor in 1st American Banks Arrested," by Jerry Knight, Appendix 2.-Materials relating to LITCO Bancorporation of New York, Inc Comptroller of the Currency letter to Federal Reserve Board Chairman Subcommittee letter to the Comptroller of the Currency concerning the Holding company application by Banca Commerciale Italiana to acquire Introduction. Description of applicant and proposed transaction (exhibit B). Convenience and needs (exhibit E).. Foreign organizations (supplement No. 1).. |