Under a statute enacted September
12, 1964 (Pub. L. 88-593; 78 Stat. 940) all insured banks are required
to report promptly (1) changes in the outstanding voting stock of
the bank which will result in control or in a change in control of
the bank and (2) any instances where the bank makes a loan or loans,
secured, or to be secured, by 25 percent or more of the outstanding
voting stock of an insured bank.
Reports concerning changes in control of a state member
bank are to be made by the president or other chief executive officer
of the bank, and shall be submitted to the Federal Reserve Bank of
its District.
Reports concerning loans by an insured bank on the stock
of a state member bank are to be made by the president or other chief
executive officer of the lending bank, and shall be submitted to the
Federal Reserve Bank of the state member bank on the stock of which the loan
was made.
Paragraphs 3 and 4 of this legislation specify the information
required in the reports which, in cases involving state member banks,
should be addressed to the vice president in charge of examinations
of the appropriate Federal Reserve Bank. 12 CFR 250.180.
