Attached is the Board's Order relating to this action. The Foreign Bank Supervision Enhancement Act of 1991, which amended the IBA, provides that a foreign bank must obtain the approval of the Board to establish a representative office in the United States. The time for filing comments has expired, and the Board has considered the application and all comments received. All three Landesbanken are public law institutions that serve as the central and clearing bank for the savings banks in their respective states. The Landesbanken also provide commercial and investment banking services regionally, nationally, and internationally to both public and private entities and individuals.
Bank engages principally in real estate activities.
Bank provides real estate financing, consulting and service activities, project development, construction and property management, and portfolio management. Bank has twelve offices in Germany, a branch in Great Britain, and a representative office in the Netherlands. The proposed representative office would act as a liaison with customers and potential customers. It would also solicit new business, conduct research, make property inspections, verify external appraisals, secure title information, prepare applications for loans, and solicit investors to purchase such loans. In acting on an application to establish a representative office, the IBA and Regulation K provide that the Board shall take into account whether the foreign bank engages directly in the business of banking outside of the United States, and has furnished to the Board the information it needs to assess the application adequately.