We use cookies to give you the best online experience. By using our website you agree to our use of cookies in accordance with our cookie policy. Learn more here.Close Me
United States: FRB Issues Approval Of Application By Industrial And Commercial Bank Of China Limited And Two Other Chinese Banks To Become Bank Holding Companies Through Acquisition Of Up To 80% Of The Bank Of East Asia (U.S.A.) National Association
The FRB issued an approval order (the "Order") of the
application of Industrial and Commercial Bank of China Limited
("ICBC"), China Investment Corporation and Central Huijin
Investment Ltd., all of Beijing, China, to become U.S. bank holding
companies by acquiring up to 80% of the voting stock of The Bank of
East Asia (U.S.A.) National Association, of New York City, which
engages in retail and commercial banking in the U.S. through the
operation of 13 branches in New York and California. ICBC is
the largest bank in China, and the government of China owns
approximately 70% of ICBC. In the Order (and as bases for its
approval), the FRB concluded, among other things, that ICBC's
Chinese home regulatory supervisors subjected ICBC "to
comprehensive supervision on a consolidated basis..."
and that ICBC's anti-money laundering compliance
("AML") efforts and Chinese laws and regulations
addressing AML issues, as well as supervision of AML compliance by
Chinese regulatory agencies, are consistent with the FRB's
approval of the application. Prior to the FRB's issuance
of the Order, the FRB's approvals of applications by Chinese
banks had been limited to approvals of applications to establish a
branch in the U.S. where the FRB was not required to make a
determination that China subjected the applicant bank to
comprehensive supervision on a consolidated basis.
Goodwin Procter LLP is one of the nation's leading law
firms, with a team of 700 attorneys and offices in Boston, Los
Angeles, New York, San Diego, San Francisco and Washington, D.C.
The firm combines in-depth legal knowledge with practical business
experience to deliver innovative solutions to complex legal
problems. We provide litigation, corporate law and real estate
services to clients ranging from start-up companies to Fortune 500
multinationals, with a focus on matters involving private equity,
technology companies, real estate capital markets, financial
services, intellectual property and products liability.
A senior SEC lawyer has recently encouraged the private equity and hedge fund communities to consider whether certain practices of private fund managers could subject these firms to SEC registration as broker-dealers.
In November 2012, the U.S. District Court for the Eastern District of New York preliminarily approved a settlement agreement in the In re Payment Card Interchange Fee and Merchant Discount Antitrust Litigation.
Federal bank regulatory agencies have served notice that deposit advance products will soon be subject to significant new restrictions and heightened supervisory scrutiny.
