Agency Information Collection Activities: Announcement of Board Approval Under Delegated Authority and Submission to OMB, 40052-40054 [2019-17266]
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40052
Federal Register / Vol. 84, No. 156 / Tuesday, August 13, 2019 / Notices
result in substantial competitive harm if
disclosed (5 U.S.C. 552(b)(4)).
Current actions: On May 15, 2019, the
Board published a notice in the Federal
Register (84 FR 21778) requesting
public comment for 60 days on the
extension, without revision, of the
Recordkeeping Provisions Associated
with the Interagency Statement on
Complex Structured Finance Activities.
The comment period for this notice
expired on July 15, 2019. The Board did
not receive any comments.
Board of Governors of the Federal Reserve
System, August 7, 2019.
Michele Taylor Fennell,
Assistant Secretary of the Board.
[FR Doc. 2019–17264 Filed 8–12–19; 8:45 am]
BILLING CODE 6210–01–P
FEDERAL RESERVE SYSTEM
jspears on DSK3GMQ082PROD with NOTICES
Formations of, Acquisitions by, and
Mergers of Savings and Loan Holding
Companies
The companies listed in this notice
have applied to the Board for approval,
pursuant to the Home Owners’ Loan Act
(12 U.S.C. 1461 et seq.) (HOLA),
Regulation LL (12 CFR part 238), and
Regulation MM (12 CFR part 239), and
all other applicable statutes and
regulations to become a savings and
loan holding company and/or to acquire
the assets or the ownership of, control
of, or the power to vote shares of a
savings association and nonbanking
companies owned by the savings and
loan holding company, including the
companies listed below.
The applications listed below, as well
as other related filings required by the
Board, are available for immediate
inspection at the Federal Reserve Bank
indicated. The application also will be
available for inspection at the offices of
the Board of Governors. Interested
persons may express their views in
writing on the standards enumerated in
the HOLA (12 U.S.C. 1467a(e)). If the
proposal also involves the acquisition of
a nonbanking company, the review also
includes whether the acquisition of the
nonbanking company complies with the
standards in section 10(c)(4)(B) of the
HOLA (12 U.S.C. 1467a(c)(4)(B)). Unless
otherwise noted, nonbanking activities
will be conducted throughout the
United States.
Unless otherwise noted, comments
regarding each of these applications
must be received at the Reserve Bank
indicated or the offices of the Board of
Governors not later than September 10,
2019.
A. Federal Reserve Bank of
Philadelphia (William Spaniel, Senior
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Vice President) 100 North 6th Street,
Philadelphia, Pennsylvania 19105–
1521. Comments can also be sent
electronically to
Comments.applications@phil.frb.org:
1. Stewardship Financial Corporation,
Midland Park, New Jersey, to become a
savings and loan holding company upon
the conversion of Atlantic Stewardship
Bank, Midland Park, New Jersey, from a
state-chartered commercial bank to
state-chartered stock savings
association.
2. Columbia Bank, MHC (‘‘MHC’’) and
Columbia Financial, Inc., both of Fair
Lawn, New Jersey; to acquire
Stewardship Financial Corporation
(‘‘Stewardship Financial’’), Midland
Park, New Jersey, and thereby indirectly
acquire Atlantic Stewardship Bank,
Midland Park, New Jersey, a whollyowned subsidiary of Stewardship
Financial, through the merger of
Atlantic Stewardship Bank into
Columbia Bank, Fair Lawn, New Jersey.
Board of Governors of the Federal Reserve
System, August 7, 2019.
Yao-Chin Chao,
Assistant Secretary of the Board.
[FR Doc. 2019–17280 Filed 8–12–19; 8:45 am]
BILLING CODE 6210–01–P
FEDERAL RESERVE SYSTEM
Agency Information Collection
Activities: Announcement of Board
Approval Under Delegated Authority
and Submission to OMB
Board of Governors of the
Federal Reserve System.
SUMMARY: The Board of Governors of the
Federal Reserve System (Board) is
adopting a proposal to extend for three
years, with revision, the Reporting
Requirements Associated with
Regulation Y (Extension of Time to
Conform to the Volcker Rule) (FR Y–1;
OMB No. 7100–0333).
FOR FURTHER INFORMATION CONTACT:
Federal Reserve Board Clearance
Officer—Nuha Elmaghrabi—Office of
the Chief Data Officer, Board of
Governors of the Federal Reserve
System, Washington, DC 20551, (202)
452–3829.
Office of Management and Budget
(OMB) Desk Officer—Shagufta Ahmed—
Office of Information and Regulatory
Affairs, Office of Management and
Budget, New Executive Office Building,
Room 10235, 725 17th Street NW,
Washington, DC 20503 or by fax to (202)
395–6974.
A copy of the PRA OMB submission,
including the reporting form and
instructions, supporting statement, and
AGENCY:
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other documentation will be placed into
OMB’s public docket files. These
documents also are available on the
Board’s public website at https://
www.federalreserve.gov/apps/
reportforms/review.aspx or may be
requested from the agency clearance
officer, whose name appears above.
SUPPLEMENTARY INFORMATION: On June
15, 1984, OMB delegated to the Board
authority under the Paperwork
Reduction Act (PRA) to approve and
assign OMB control numbers to
collections of information conducted or
sponsored by the Board. Boardapproved collections of information are
incorporated into the official OMB
inventory of currently approved
collections of information. Copies of the
PRA Submission, supporting
statements, and approved collection of
information instrument(s) are placed
into OMB’s public docket files.
Final Approval Under OMB Delegated
Authority of the Extension for Three
Years, With Revision, of the Following
in Information Collection
Report title: Reporting Requirements
Associated with Regulation Y
(Extension of Time to Conform to the
Volcker Rule).
Agency form number: FR Y–1.
OMB control number: 7100–0333.
Frequency: Event-generated.
Respondents: Insured depository
institutions (other than certain limitedpurpose trust institutions), any
company that controls an insured
depository institution, any company
that is treated as a bank holding
company for purposes of section 8 of the
International Banking Act of 1978 (12
U.S.C. 3106), and any affiliate or
subsidiary of any of the foregoing
(collectively, banking entities), and
nonbank financial companies
designated by the Financial Stability
Oversight Council that engage in
proprietary trading activities or make
investments in covered funds.
Estimated number of respondents: 1.
Estimated average hours per response:
3.
Estimated annual burden hours: 3.
General description of report: The
information collection in section
225.181(c) of the Board’s Regulation Y
(12 CFR 225.181(c)) is used by newly
formed banking entities and existing
companies that become a banking entity
(collectively, new banking entities) to
seek an extension of time to bring their
activities and investments into
compliance with section 13 of the Bank
Holding Company Act (the Volcker
Rule) or to divest their interest in an
illiquid fund. The information
collection in section 225.182(c) of the
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jspears on DSK3GMQ082PROD with NOTICES
Board’s Regulation Y (12 CFR
225.182(c)) is used by nonbank financial
companies supervised by the Board to
seek an extension of time to bring their
activities and investments into
compliance with the Volcker Rule,
including any capital requirements and
quantitative limits adopted thereunder.
A request by a banking entity or
nonbank financial company supervised
by the Board also must address the
relevant factors set out in sections
225.181(d) and 225.182(d) of Regulation
Y.
Conformance Period for Banking
Entities Engaged in Prohibited
Proprietary Trading or Private Fund
Activities—Approval Required To Hold
Interests in Excess of Time Limit
(Section 225.181(c))
Section 225.181(c) requires an
application for an extension by or with
respect to a new banking entity or an
extension of the transition period for
illiquid funds to (1) be submitted in
writing to the Board at least 180 days
prior to the expiration of the applicable
time period, (2) provide the reasons why
the banking entity believes the
extension should be granted, and (3)
provide a detailed explanation of the
banking entity’s plan for divesting or
conforming the activity or
investment(s). A request by a banking
entity also must address the relevant
factors governing Board determinations
set out in sections 225.181(d).
Additionally, Supervision and
Regulation Letter 16–18 (SR Letter 16–
18),1 states that the following additional
information that should be included in
a request for an extended transition
period for illiquid funds:
• A list or simple chart of illiquid
funds for which an extension is sought,
• A short description of each fund,
including the investment strategy and
types of investments made by each
fund, which entity within the firm holds
the investment, the size of each fund,
the total exposure of the banking entity
to each fund, the date by which each
remaining illiquid fund is expected to
mature by its terms or be conformed to
section 13 of the BHC Act, and the
banking entity’s relationship with the
fund (for example, general partner,
sponsor, investment adviser, investor),
• A description of the banking
entity’s specific efforts to divest or
conform its illiquid funds, including a
description of the overall covered funds
(both liquid and illiquid) that have been
1 Procedures for a Banking Entity to Request an
Extended Transition Period for Illiquid Funds, SR
Letter 16–18 (December 9, 2016), available at
https://www.federalreserve.gov/supervisionreg/
srletters/sr1618.pdf.
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divested or conformed to date, the
progress that has been made towards
divesting or conforming the investments
for which an extension is being sought
(for example, the number of funds sold,
the number of funds that continue to be
held, and the amount of investments
remaining in each fund and in
aggregate),
• A certification by the General
Counsel or Chief Compliance Officer of
the entity that sponsors or invests in the
illiquid funds that each fund meets the
definition of illiquid funds in section 13
of the BHC Act and sections 225.180.181 of Regulation Y, including that the
extension is necessary to fulfill a
contractual obligation of the banking
entity that was in effect on May 1, 2010,
and
• The length of the requested
extension of the conformance period
and a description of the banking entity’s
plan for divesting or conforming each
illiquid fund prior to the end of the
requested extension period.
SR Letter 16–18 further provides that
such a request should be submitted in
writing to the appropriate Federal
Reserve Bank and that the banking
entity should provide the name, phone
number, and email address of the
banking entity’s point of contact for the
request. Additionally, SR Letter 16–18
provides that, in the case where the
banking entity that sponsors or invests
in the illiquid fund is supervised
primarily by another federal banking
agency, the Securities and Exchange
Commission, or the Commodity Futures
Trading Commission, the top-tier
banking entity should also provide a
copy of the extension request to the
relevant agency for the subsidiary
banking entity.
Conformance Period for Nonbank
Financial Companies Supervised by the
Federal Reserve Engaged in Proprietary
Trading or Private Fund Activities—
Approval Required To Hold Interests in
Excess of Time Limit (Section
225.182(c))
Section 225.182(c) requires an
application for an extension by a
nonbank financial company supervised
by the Board to (1) be submitted in
writing to the Board at least 180 days
prior to the expiration of the applicable
time period, (2) provide the reasons why
the nonbank financial company
supervised by the Board believes the
extension should be granted, and (3)
provide a detailed explanation of the
company’s plan for coming into
compliance with the requirements of the
Volcker Rule. A request by nonbank
financial company supervised by the
Board also must address the relevant
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40053
factors governing Board determinations
set out in section 225.182(d).
Legal authorization and
confidentiality: Section 13 of the BHC
Act authorizes the Board to issue rules
to permit entities covered by the
Volcker Rule to seek extensions of time
of the conformance period (12 U.S.C.
1851(c)(6)). The Board also has the
authority to require reports from bank
holding companies (12 U.S.C. 1844(c)),
savings and loan holding companies (12
U.S.C. 1467a(b) and (g)), and state
member banks (12 U.S.C. 248(a) and
324). The information collections
associated with requests for extensions
of time to conform to the Volcker Rule
are required for covered entities that
decide to seek an extension of time to
conform their activities to the Volcker
Rule or divest their interest in an
illiquid hedge fund or private equity
fund. These collections of information,
therefore, are required to obtain a
benefit.
Information required to be submitted
in order to obtain an extension of time
to conform activities to the Volcker Rule
may include:
• The terms of private contractual
obligations,
• The liquid or illiquid nature of
assets proposed to be divested by the
regulated entity,
• The total exposure of the covered
entity to the activity or investment, and
its materiality to the institution,
• The risks and costs of disposing of,
or maintaining, the activity or
investment, or
• The impact of divestiture or
conformance of the activity or
investment on any duty owed by the
institution to a client, customer, or
counterparty.
This information is the type of
confidential commercial and financial
information that may be withheld under
exemption 4 of the Freedom of
Information Act (5 U.S.C. 552(b)(4)). As
required information, it may be
withheld under exemption 4 only if
public disclosure could result in
substantial competitive harm to the
submitting institution.2
Current actions: On April 19, 2019,
the Board published a notice in the
Federal Register (84 FR 16490)
requesting public comment for 60 days
on the extension, with revision, of the
FR Y–1. The Board is proposing to
revise the FR Y–1 to account for the
provisions of SR Letter 16–18 that relate
to the contents of a request for an
extended transition period for illiquid
2 See National Parks and Conservation
Association v. Morton, 498 F.2d 765 (D.C. Cir.
1974).
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Federal Register / Vol. 84, No. 156 / Tuesday, August 13, 2019 / Notices
funds and the procedures for filing such
a request. The comment period for this
notice expired on June 18, 2019. The
Board did not receive any comments.
The revisions will be implemented as
proposed.
Board of Governors of the Federal Reserve
System, August 7, 2019.
Michele Taylor Fennell,
Assistant Secretary of the Board.
Woodlands, Texas, and thereby
indirectly acquire Woodforest National
Bank, Houston, Texas.
Board of Governors of the Federal Reserve
System, August 8, 2019.
Yao-Chin Chao,
Assistant Secretary of the Board.
[FR Doc. 2019–17319 Filed 8–12–19; 8:45 am]
BILLING CODE 6210–01–P
[FR Doc. 2019–17266 Filed 8–12–19; 8:45 am]
BILLING CODE 6210–01–P
FEDERAL RESERVE SYSTEM
Agency Information Collection
Activities: Announcement of Board
Approval Under Delegated Authority
and Submission to OMB
FEDERAL RESERVE SYSTEM
jspears on DSK3GMQ082PROD with NOTICES
Formations of, Acquisitions by, and
Mergers of Bank Holding Companies
The companies listed in this notice
have applied to the Board for approval,
pursuant to the Bank Holding Company
Act of 1956 (12 U.S.C. 1841 et seq.)
(BHC Act), Regulation Y (12 CFR part
225), and all other applicable statutes
and regulations to become a bank
holding company and/or to acquire the
assets or the ownership of, control of, or
the power to vote shares of a bank or
bank holding company and all of the
banks and nonbanking companies
owned by the bank holding company,
including the companies listed below.
The applications listed below, as well
as other related filings required by the
Board, are available for immediate
inspection at the Federal Reserve Bank
indicated. The applications will also be
available for inspection at the offices of
the Board of Governors. Interested
persons may express their views in
writing on the standards enumerated in
the BHC Act (12 U.S.C. 1842(c)). If the
proposal also involves the acquisition of
a nonbanking company, the review also
includes whether the acquisition of the
nonbanking company complies with the
standards in section 4 of the BHC Act
(12 U.S.C. 1843). Unless otherwise
noted, nonbanking activities will be
conducted throughout the United States.
Unless otherwise noted, comments
regarding each of these applications
must be received at the Reserve Bank
indicated or the offices of the Board of
Governors not later than September 11,
2019.
A. Federal Reserve Bank of Dallas
(Robert L. Triplett III, Senior Vice
President) 2200 North Pearl Street,
Dallas, Texas 75201–2272:
1. Woodforest Financial Group
Employee Stock Ownership Plan (with
401(k) Provisions) and the related
Woodforest Financial Group Employee
Stock Ownership Trust, both of The
Woodlands, Texas; to acquire up to 30
percent of the voting shares of
Woodforest Financial Group, Inc., The
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Board of Governors of the
Federal Reserve System.
AGENCY:
SUMMARY: The Board of Governors of the
Federal Reserve System (Board) is
adopting a proposal to extend for three
years, without revision, the Written
Security Program for State Member
Banks (FR 4004; OMB No. 7100–0112).
FOR FURTHER INFORMATION CONTACT:
Federal Reserve Board Clearance
Officer—Nuha Elmaghrabi—Office of
the Chief Data Officer, Board of
Governors of the Federal Reserve
System, Washington, DC 20551, (202)
452–3829.
Office of Management and Budget
(OMB) Desk Officer—Shagufta Ahmed—
Office of Information and Regulatory
Affairs, Office of Management and
Budget, New Executive Office Building,
Room 10235, 725 17th Street NW,
Washington, DC 20503 or by fax to (202)
395–6974.
On June
15, 1984, OMB delegated to the Board
authority under the Paperwork
Reduction Act (PRA) to approve and
assign OMB control numbers to
collection of information requests and
requirements conducted or sponsored
by the Board. Board-approved
collections of information are
incorporated into the official OMB
inventory of currently approved
collections of information. Copies of the
PRA Submission, supporting statements
and approved collection of information
instrument(s) are placed into OMB’s
public docket files. The Board may not
conduct or sponsor, and the respondent
is not required to respond to, an
information collection that has been
extended, revised, or implemented on or
after October 1, 1995, unless it displays
a currently valid OMB control number.
SUPPLEMENTARY INFORMATION:
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Fmt 4703
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Final Approval Under OMB Delegated
Authority of the Extension for Three
Years, Without Revision, of the
Following Information Collection
Report title: Written Security Program
for State Member Banks.
Agency form number: FR 4004.
OMB control number: 7100–0112.
Frequency: On occasion.
Respondents: State member banks.
Estimated number of respondents: 26.
Estimated average hours per response:
1 hour.
Estimated annual burden hours: 26.
General description of report: This
information collection arises from a
recordkeeping requirement contained in
section 208.61 of the Board’s Regulation
H, which requires each state member
bank to develop and maintain a written
security program for the bank’s main
office and branches within 180 days of
becoming a member of the Federal
Reserve System. There is no formal
reporting form for this collection of
information (the FR 4004 designation is
for internal purposes only), and the
information is not submitted to the
Federal Reserve System.
Legal authorization and
confidentiality: The FR 4004
recordkeeping requirement is
authorized by section 3 of the Bank
Protection Act of 1968, which requires
federal banking agencies to issue rules
establishing minimum standards for
banks with respect to the installation,
maintenance, and operation of security
devices and procedures to discourage
robberies, burglaries, and larcenies and
to assist in the identification and
apprehension of persons who commit
such acts.1 The FR 4004 is mandatory.
Because there is no reporting
requirement associated with this
recordkeeping requirement, the issue of
confidentiality does not normally arise.
If a bank’s written security program
were retained during the course of an
examination, it may be exempt from
disclosure under exemption 8 of the
Freedom of Information Act (FOIA),
which protects bank examination
material.2 In addition, the records may
also be exempt from disclosure under
exemption 4 of the FOIA, which
protects from disclosure ‘‘trade secrets
and commercial or financial information
obtained from a person [that is]
privileged or confidential.’’ 3
Current actions: On April 19, 2019,
the Board published a notice in the
Federal Register (84 FR 16492)
requesting public comment for 60 days
on the extension, without revision, of
1 12
U.S.C. 1882(a).
U.S.C. 552(b)(8).
3 12 U.S.C. 552(b)(4).
25
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Agencies
[Federal Register Volume 84, Number 156 (Tuesday, August 13, 2019)]
[Notices]
[Pages 40052-40054]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-17266]
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FEDERAL RESERVE SYSTEM
Agency Information Collection Activities: Announcement of Board
Approval Under Delegated Authority and Submission to OMB
AGENCY: Board of Governors of the Federal Reserve System.
SUMMARY: The Board of Governors of the Federal Reserve System (Board)
is adopting a proposal to extend for three years, with revision, the
Reporting Requirements Associated with Regulation Y (Extension of Time
to Conform to the Volcker Rule) (FR Y-1; OMB No. 7100-0333).
FOR FURTHER INFORMATION CONTACT:
Federal Reserve Board Clearance Officer--Nuha Elmaghrabi--Office of
the Chief Data Officer, Board of Governors of the Federal Reserve
System, Washington, DC 20551, (202) 452-3829.
Office of Management and Budget (OMB) Desk Officer--Shagufta
Ahmed--Office of Information and Regulatory Affairs, Office of
Management and Budget, New Executive Office Building, Room 10235, 725
17th Street NW, Washington, DC 20503 or by fax to (202) 395-6974.
A copy of the PRA OMB submission, including the reporting form and
instructions, supporting statement, and other documentation will be
placed into OMB's public docket files. These documents also are
available on the Board's public website at https://www.federalreserve.gov/apps/reportforms/review.aspx or may be requested
from the agency clearance officer, whose name appears above.
SUPPLEMENTARY INFORMATION: On June 15, 1984, OMB delegated to the Board
authority under the Paperwork Reduction Act (PRA) to approve and assign
OMB control numbers to collections of information conducted or
sponsored by the Board. Board-approved collections of information are
incorporated into the official OMB inventory of currently approved
collections of information. Copies of the PRA Submission, supporting
statements, and approved collection of information instrument(s) are
placed into OMB's public docket files.
Final Approval Under OMB Delegated Authority of the Extension for Three
Years, With Revision, of the Following in Information Collection
Report title: Reporting Requirements Associated with Regulation Y
(Extension of Time to Conform to the Volcker Rule).
Agency form number: FR Y-1.
OMB control number: 7100-0333.
Frequency: Event-generated.
Respondents: Insured depository institutions (other than certain
limited-purpose trust institutions), any company that controls an
insured depository institution, any company that is treated as a bank
holding company for purposes of section 8 of the International Banking
Act of 1978 (12 U.S.C. 3106), and any affiliate or subsidiary of any of
the foregoing (collectively, banking entities), and nonbank financial
companies designated by the Financial Stability Oversight Council that
engage in proprietary trading activities or make investments in covered
funds.
Estimated number of respondents: 1.
Estimated average hours per response: 3.
Estimated annual burden hours: 3.
General description of report: The information collection in
section 225.181(c) of the Board's Regulation Y (12 CFR 225.181(c)) is
used by newly formed banking entities and existing companies that
become a banking entity (collectively, new banking entities) to seek an
extension of time to bring their activities and investments into
compliance with section 13 of the Bank Holding Company Act (the Volcker
Rule) or to divest their interest in an illiquid fund. The information
collection in section 225.182(c) of the
[[Page 40053]]
Board's Regulation Y (12 CFR 225.182(c)) is used by nonbank financial
companies supervised by the Board to seek an extension of time to bring
their activities and investments into compliance with the Volcker Rule,
including any capital requirements and quantitative limits adopted
thereunder. A request by a banking entity or nonbank financial company
supervised by the Board also must address the relevant factors set out
in sections 225.181(d) and 225.182(d) of Regulation Y.
Conformance Period for Banking Entities Engaged in Prohibited
Proprietary Trading or Private Fund Activities--Approval Required To
Hold Interests in Excess of Time Limit (Section 225.181(c))
Section 225.181(c) requires an application for an extension by or
with respect to a new banking entity or an extension of the transition
period for illiquid funds to (1) be submitted in writing to the Board
at least 180 days prior to the expiration of the applicable time
period, (2) provide the reasons why the banking entity believes the
extension should be granted, and (3) provide a detailed explanation of
the banking entity's plan for divesting or conforming the activity or
investment(s). A request by a banking entity also must address the
relevant factors governing Board determinations set out in sections
225.181(d).
Additionally, Supervision and Regulation Letter 16-18 (SR Letter
16-18),\1\ states that the following additional information that should
be included in a request for an extended transition period for illiquid
funds:
---------------------------------------------------------------------------
\1\ Procedures for a Banking Entity to Request an Extended
Transition Period for Illiquid Funds, SR Letter 16-18 (December 9,
2016), available at https://www.federalreserve.gov/supervisionreg/srletters/sr1618.pdf.
---------------------------------------------------------------------------
A list or simple chart of illiquid funds for which an
extension is sought,
A short description of each fund, including the investment
strategy and types of investments made by each fund, which entity
within the firm holds the investment, the size of each fund, the total
exposure of the banking entity to each fund, the date by which each
remaining illiquid fund is expected to mature by its terms or be
conformed to section 13 of the BHC Act, and the banking entity's
relationship with the fund (for example, general partner, sponsor,
investment adviser, investor),
A description of the banking entity's specific efforts to
divest or conform its illiquid funds, including a description of the
overall covered funds (both liquid and illiquid) that have been
divested or conformed to date, the progress that has been made towards
divesting or conforming the investments for which an extension is being
sought (for example, the number of funds sold, the number of funds that
continue to be held, and the amount of investments remaining in each
fund and in aggregate),
A certification by the General Counsel or Chief Compliance
Officer of the entity that sponsors or invests in the illiquid funds
that each fund meets the definition of illiquid funds in section 13 of
the BHC Act and sections 225.180-.181 of Regulation Y, including that
the extension is necessary to fulfill a contractual obligation of the
banking entity that was in effect on May 1, 2010, and
The length of the requested extension of the conformance
period and a description of the banking entity's plan for divesting or
conforming each illiquid fund prior to the end of the requested
extension period.
SR Letter 16-18 further provides that such a request should be
submitted in writing to the appropriate Federal Reserve Bank and that
the banking entity should provide the name, phone number, and email
address of the banking entity's point of contact for the request.
Additionally, SR Letter 16-18 provides that, in the case where the
banking entity that sponsors or invests in the illiquid fund is
supervised primarily by another federal banking agency, the Securities
and Exchange Commission, or the Commodity Futures Trading Commission,
the top-tier banking entity should also provide a copy of the extension
request to the relevant agency for the subsidiary banking entity.
Conformance Period for Nonbank Financial Companies Supervised by the
Federal Reserve Engaged in Proprietary Trading or Private Fund
Activities--Approval Required To Hold Interests in Excess of Time Limit
(Section 225.182(c))
Section 225.182(c) requires an application for an extension by a
nonbank financial company supervised by the Board to (1) be submitted
in writing to the Board at least 180 days prior to the expiration of
the applicable time period, (2) provide the reasons why the nonbank
financial company supervised by the Board believes the extension should
be granted, and (3) provide a detailed explanation of the company's
plan for coming into compliance with the requirements of the Volcker
Rule. A request by nonbank financial company supervised by the Board
also must address the relevant factors governing Board determinations
set out in section 225.182(d).
Legal authorization and confidentiality: Section 13 of the BHC Act
authorizes the Board to issue rules to permit entities covered by the
Volcker Rule to seek extensions of time of the conformance period (12
U.S.C. 1851(c)(6)). The Board also has the authority to require reports
from bank holding companies (12 U.S.C. 1844(c)), savings and loan
holding companies (12 U.S.C. 1467a(b) and (g)), and state member banks
(12 U.S.C. 248(a) and 324). The information collections associated with
requests for extensions of time to conform to the Volcker Rule are
required for covered entities that decide to seek an extension of time
to conform their activities to the Volcker Rule or divest their
interest in an illiquid hedge fund or private equity fund. These
collections of information, therefore, are required to obtain a
benefit.
Information required to be submitted in order to obtain an
extension of time to conform activities to the Volcker Rule may
include:
The terms of private contractual obligations,
The liquid or illiquid nature of assets proposed to be
divested by the regulated entity,
The total exposure of the covered entity to the activity
or investment, and its materiality to the institution,
The risks and costs of disposing of, or maintaining, the
activity or investment, or
The impact of divestiture or conformance of the activity
or investment on any duty owed by the institution to a client,
customer, or counterparty.
This information is the type of confidential commercial and
financial information that may be withheld under exemption 4 of the
Freedom of Information Act (5 U.S.C. 552(b)(4)). As required
information, it may be withheld under exemption 4 only if public
disclosure could result in substantial competitive harm to the
submitting institution.\2\
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\2\ See National Parks and Conservation Association v. Morton,
498 F.2d 765 (D.C. Cir. 1974).
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Current actions: On April 19, 2019, the Board published a notice in
the Federal Register (84 FR 16490) requesting public comment for 60
days on the extension, with revision, of the FR Y-1. The Board is
proposing to revise the FR Y-1 to account for the provisions of SR
Letter 16-18 that relate to the contents of a request for an extended
transition period for illiquid
[[Page 40054]]
funds and the procedures for filing such a request. The comment period
for this notice expired on June 18, 2019. The Board did not receive any
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comments. The revisions will be implemented as proposed.
Board of Governors of the Federal Reserve System, August 7,
2019.
Michele Taylor Fennell,
Assistant Secretary of the Board.
[FR Doc. 2019-17266 Filed 8-12-19; 8:45 am]
BILLING CODE 6210-01-P