[Code of Federal Regulations]
[Title 12, Volume 2]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 12CFR211.28]

[Page 379-380]
 
                       TITLE 12--BANKS AND BANKING
 
                   CHAPTER II--FEDERAL RESERVE SYSTEM
 
PART 211--INTERNATIONAL BANKING OPERATIONS (REGULATION K)--Table of Contents
 
                Subpart B--Foreign Banking Organizations
 
Sec. 211.28  Provisions applicable to branches and agencies: limitation on loans to one borrower.

    (a) Limitation on loans to one borrower. Except as provided in 
paragraph (b) of this section, the total loans and extensions of credit 
by all the state branches and state agencies of a foreign bank 
outstanding to a single borrower at one time shall be aggregated with 
the total loans and extensions of credit by all federal branches and 
federal agencies of the same foreign bank outstanding to such borrower 
at the time; and shall be subject to the limitations and other 
provisions of section 5200 of the Revised Statutes (12 U.S.C. 84), and 
the regulations promulgated thereunder, in the same manner that 
extensions of

[[Page 380]]

credit by a federal branch or federal agency are subject to section 4(b) 
of the IBA (12 U.S.C. 3102(b)) as if such state branches and state 
agencies were federal branches and federal agencies.
    (b) Preexisting loans and extensions of credit. Any loans or 
extensions of credit to a single borrower that were originated prior to 
December 19, 1991, by a state branch or state agency of the same foreign 
bank and that, when aggregated with loans and extensions of credit by 
all other branches and agencies of the foreign bank, exceed the limits 
set forth in paragraph (a) of this section, may be brought into 
compliance with such limitations through routine repayment, provided 
that any new loans or extensions of credit (including renewals of 
existing unfunded credit lines, or extensions of the maturities of 
existing loans) to the same borrower shall comply with the limits set 
forth in paragraph (a) of this section.