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FDIC Enforcement Decisions and Orders

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{{9-30-99 p.C-4254}}
   [11,336A] In the Matter of National Bank of Greece S.A., Athens, Greece, National Bank of Greece S.A. Boston Branch, Boston, Massachusetts, Docket Nos. 96-007-CMP-FB, 96-007-CMP-FBR, and FDIC-96-119k (9-12-96)

   Bank agrees to pay civil money penalty assessed by Board of Governors of the Federal Reserve System and FDIC.
In the Matter of

NATIONAL BANK OF GREECE S.A.,
ATHENS, GREECE
NATIONAL BANK OF GREECE S.A.
BOSTON BRANCH

BOSTON, MASSACHUSETTS
DOCKET NO. 96-007-CMP-FB
96-007-CMP-FBR
and
FDIC-96-119k
ORDER OF ASSESSMENT OF A
CIVIL MONEY PENALTY ISSUED
UPON CONSENT PURSUANT TO
THE FEDERAL DEPOSIT
INSURANCE ACT, AS AMENDED

   WHEREAS, pursuant to Section 8(i) of the Federal Deposit Insurance Act, as amended (the "FDI Act'') (12 U.S.C. §1818(i)), the Board of Governors of the Federal Reserve System (the "Board of Governors'') and the Federal Deposit Insurance Corporation (the "FDIC'') jointly issue this Order of Assessment of a Civil Money Penalty (the "Order'') against the National Bank of Greece S.A., Athens, Greece ("NBG''), a foreign bank, and NBG's insured branch in Boston, Massachusetts (the "Boston Branch'') for alleged unsafe and unsound practices and violations of the Written Agreement, dated August 18, 1994, among NBG, the Boston Branch, the Federal Reserve Banks of Boston, New York and Chicago, the FDIC, and the Commissioner of Banks for the Commonwealth of Massachusetts, in connection with deficient compliance at the Boston Branch with the Currency and Foreign Transactions Reporting Act and the accompanying regulations issued by the U.S. Department of the Treasury; and
   WHEREAS, on July 31st, 1996, the board of directors of NBG adopted a resolution: (1) authorizing and directing Theodoros B. Karatzas, the Governor, to enter into this Order on behalf of NBG and the Boston Branch, and consenting to compliance with each and every provision of this Order by NBG and the Boston Branch; and (2) waiving any and all rights that NBG and the Boston Branch might have pursuant to 12 U.S.C. §1818 and 12 C.F.R. Part 263 and 308 or otherwise (a) to the issuance of a notice of assessment of a civil money penalty, (b) to a hearing for the purpose of taking evidence on any matter implied or set forth in this Order, (c) to obtain judicial review of this Order or any provision thereof, and (d) to challenge or contest in any manner the basis, issuance, validity, terms, effectiveness, collectibility or enforceability of this Order or any provision thereof; and, on August 6, 1996, the General Manager of the Boston Branch agreed to the foregoing on behalf of the Boston Branch.
   NOW, THEREFORE, prior to the taking of any testimony or adjudication of or finding on any issue of fact or law implied or set forth herein, and without this Order constituting an admission of any allegation made or implied by the Board of Governors or the FDIC in connection with this matter, and solely for the purpose of settlement of this matter and to avoid protracted or extended hearings, testimony, or other proceedings:
   IT IS HEREBY ORDERED, pursuant to 12 U.S.C. §1818(i) and section 263.63 of the Board of Governors' Rules of Practice for Hearings (12 CFR 263.63) and section 308.116 of the FDIC's Rules of Practice and Procedure (12 CFR 308.116), that:
   1. NBG and the Boston Branch are assessed and shall forfeit and pay jointly to the Board of Governors and the FDIC as hereinafter provided a civil money penalty in the amount of $300,000.
   2. The penalty assessed by this Order shall be remitted in full at the time of NBG's and the Boston Branch's execution of this Order, payable to the "Board of Governors of the Federal Reserve System,'' and shall be for- {{9-30-99 p.C-4254.1}}warded, with the executed copy of this Order, to William W. Wiles, Secretary of the Board, Board of Governors of the Federal Reserve System, Washington, D.C. 20551, who shall make remittance of the same on behalf of the Board of Governors and the FDIC to the Treasury of the United States as required by statute.
   3. The provisions of this Order shall not bar, estop or otherwise prevent the Board of Governors, the FDIC, or any federal or state agency or department, from taking any other action affecting NBG, the Boston Branch, or any of their current or former institution-affiliated parties.

IN WITNESS HEREOF, the parties have caused this Order to be issued as of the 12th day of September, 1996

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