SUMMARY: As part of the FDIC's systematic review of its regulations and
written policies under section 303(a) of the Riegle Community
Development and Regulatory Improvement Act of 1994 (CDRI), the FDIC is
withdrawing its proposed rule published August 23, 1996, in the Federal
Register at 61 FR 43486 to amend its regulations governing the
activities and investments of insured state banks. The FDIC has decided
to withdraw this proposal to amend the regulation and to propose a
comprehensive restructuring of the regulation. The new proposal is
published elsewhere in today's Federal Register.
DATES: Proposed amendment to part 362 is withdrawn on September 12,
FOR FURTHER INFORMATION CONTACT: Curtis Vaughn, Examination Specialist,
(202) 898-6759 or John Jilovec, Examination Specialist (202) 898-8958,
Division of Supervision, FDIC 550 17th Street, N.W., Washington, D.C.
20429; Linda L. Stamp, Counsel, (202) 898-7310, or Jamey Basham,
Counsel, (202) 898-7265, Legal Division, FDIC, 550 17th Street, N.W.,
Washington, D.C. 20429.
On August 23, 1996, the FDIC published for comment a proposal (61
FR 43486) to amend part 362 (12 CFR part 362) of its regulations
governing the activities and investments of insured banks. In general,
subject to certain exceptions, insured state banks are prohibited from
making equity investments of a type that are not permissible for
national banks or engaging as principal in activities of a type not
permissible for national banks. The proposed amendment substituted a
notice for an application in the case of particular real estate, life
insurance and annuity investment activities if banks met specified
requirements. If the FDIC did not object during the notice period, the
bank would have been allowed to proceed with the planned investment
Proposed Rule Part 362
The FDIC is conducting a systematic review of its regulations and
written policies. Section 303(a) of the CDRI (12 U.S.C. 4803(a))
requires the FDIC to streamline and modify its regulations and written
policies in order to improve efficiency, reduce unnecessary costs, and
eliminate unwarranted constraints on credit availability. Section
303(a) also requires the FDIC to remove inconsistencies and outmoded
and duplicative requirements from its regulations and written policies.
As part of this review, and concurrent with the FDIC's withdrawal
of its proposed rule amending its regulations governing the activities
and investments of insured state banks, the FDIC is proposing a new
rule that completely revises part 362, combining the regulations now
found in Secs. 303.13 and 337.4 of the FDIC's regulations (12 CFR
303.13 and 337.4 ) into part 362 and moving the application and notice
procedures to part 303. The issues dealt with in the August, 1996
proposed amendment are addressed in the proposed overall revision to
Withdrawal of the Proposed Rule
In light of the FDIC's complete revision of the regulatory text of
part 362, the FDIC withdraws its proposal published in the Federal
Register on August 23, 1996 at 61 FR 43486.
Dated at Washington, D.C., this 26th day of August, 1997.
By Order of the Board of Directors.
Federal Deposit Insurance Corporation.
Valerie J. Best,
Assistant Executive Secretary.
[FR Doc. 97-23880 Filed 9-11-97; 8:45 am]
BILLING CODE 6714-01-P