Decisions on Bank Applications
Board of Directors
Hillside Shopping Center
101 N. Wolf Road
Hillside, Illinois 60162
Members of the Board:
We have reviewed your request to establish a branch to be located in and organized under the laws of the Cayman Islands. The application was filed by CIB Bank ("the Bank") pursuant to Section 347.108(d) of the Federal Deposit Insurance Corporation's ("FDIC's") Rules and Regulations. It is understood that the foreign branch will only transact Eurodollar deposits. Pursuant to the authority vested in me by the FDIC's Board of Directors, I have today approved the application.
Your application was approved subject to the following conditions:
1. In addition to the records, controls, and reports required under Section 347.110(a) of the FDIC's Rules and Regulations, the Bank shall take all steps within its control to ensure that the foreign branch and its officers, employees, agents, independent contractors, and affiliates provide the Bank with access to information and records concerning the Bank's foreign business operations and transactions as permitted under Cayman law. In addition to the requirements of Section 347.110(b) of the FDIC's Rules and Regulations, the Bank shall, upon request in connection with an FDIC examination of the Bank, or otherwise, provide such information to the FDIC.
2. The Bank shall ensure that consent provisions are included in appropriate and relevant documents and instruments governing its foreign branch customer relationships to permit the Bank to disclose to the FDIC all documents and information concerning customer relationships and accounts.
3. The Bank shall insure that the foreign branch develop and maintain a program designed to determine the identity of its customers; determine its customers' sources of funds; determine the normal and expected transactions of its customers; monitor account activity for transactions that are inconsistent with those normal and expected transactions; and report any transactions of its customers that are determined to be suspicious, in accordance with the FDIC's existing suspicious activity reporting regulation.
4. All necessary and final approvals shall have been obtained from the appropriate foreign and domestic authorities.
5. That consent is granted based on the facts and circumstances presented or otherwise known to the FDIC in connection with this request. The Bank shall notify the FDIC of any significant change in facts or circumstances, and the FDIC shall have the right to alter, suspend or withdraw its approval.
6. If the proposed foreign branch has not been opened within twelve months from the date of this approval, or unless a request for an extension of time has been approved by the Chicago DOS Regional Director, the consent granted shall expire at the end of the said twelve month period.
Questions relating to this matter may be referred to Assistant Regional Director Raymond L. Brennan or Case Manager Leigh A. Sisk in the Chicago Regional Office at (312) 382-7500.
James L. Sexton
Division of Supervision