January 13, 2003 News Archive

Board Announces Primary and Secondary Credit Rates for Discount Window Borrowing
The Board announced the discount rates under the new discount window lending programs. Depository institutions borrowing under the new primary and secondary credit programs would be charged 2-1/4 percent and 2-3/4 percent, respectively, effective January 9, 2003.

SAR Filing Requirements for Nonbank Subsidiaries of BHCs and State Member Banks
The Board issued SR 02-24 describing the Suspicious Activity Report filing requirements for certain nonbank subsidiaries of BHCs and state member banks in conjunction with the reporting requirements under the USA PATRIOT Act. In some instances, certain nonbank entities covered by the Board's SAR regulations could be subject to two separate suspicious activity reporting requirements that technically require duplicative filings. Such nonbank entities include securities broker-dealers, money transmitters, sellers of traveler's checks, and insurance companies.

To avoid duplicative SAR filings, a nonbank subsidiary that is subject to the SAR reporting requirements imposed by a separately applicable Treasury regulation would satisfy the Board's SAR filing requirements if the nonbank subsidiary files SARs in accordance with the applicable Treasury regulation.

Treasury Extends Deadline for Shell Bank Certifications under the USA PATRIOT Act
The Treasury announced a 90-day extension of the deadline requiring U.S. depository institutions and securities broker-dealers to obtain certification that none of the foreign banks to which they provide correspondent services, directly or indirectly, are shell banks or offer services to shell banks. The new deadline is March 31, 2003.