[Federal Register Volume 62, Number 75 (Friday, April 18, 1997)]
[Notices]
[Page 19173]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-10029]



[[Page 19173]]

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DEPARTMENT OF THE TREASURY

Office of the Comptroller of the Currency
[Docket No. 97-08]


Notice and Request for Comment on Application

AGENCY: Office of the Comptroller of the Currency, Treasury.

ACTION: Notice and request for comment on an application pursuant to 12 
CFR 5.8(f).

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SUMMARY: The Office of the Comptroller of the Currency (OCC) is giving 
public notice and requesting comment concerning a charter application 
filed with the OCC which raises issues regarding national banks' 
authority to conduct interstate fiduciary activities.

DATES: Comments should be submitted on or before May 19, 1997.

ADDRESSES: Written comments regarding the application should cite OCC 
Application Control Number 97-NE-01-0002 and should be sent to the 
Communications Division, 250 E Street, SW, Third Floor, Washington, DC 
20219. Attention: Docket No. 97-08. In addition, comments may be sent 
by facsimile transmission to FAX number (202) 874-5274 or by electronic 
mail to [email protected]. Copies of the public portions of 
the charter application and any public comments will be available for 
inspection and copying at the OCC's Public Reference Room, 250 E 
Street, SW, Washington, DC 20219. Appointments to inspect the 
application and comments can be made by calling (202) 874-5043. Copies 
are also available upon written request from the Disclosure Unit of the 
Communications Division.

FOR FURTHER INFORMATION CONTACT: Michael G. Tiscia, Licensing Manager, 
Northeastern District, (212) 790-4055; Cheryl A. Martin, Senior 
Licensing Policy Analyst, Licensing Policy and Systems Division, (202) 
874-5060; Richard H. Cleva, Senior Counsel, Bank Activities and 
Structure Division, Law Department, (202) 874-5300.

SUPPLEMENTARY INFORMATION: CoreStates Bank, National Association, 
Philadelphia, Pennsylvania (CBNA) has applied to the OCC to form a 
subsidiary national bank, CoreStates Asset Management, National 
Association, Malvern, Pennsylvania (CSAM). CBNA currently engages in 
fiduciary business at its main office and at branches in Pennsylvania, 
New Jersey, and Delaware. CSAM will be a national bank limited to 
fiduciary activities and will take over the existing fiduciary business 
of CBNA. CSAM will have offices in all three states, but its offices 
will not be branches within the meaning of 12 U.S.C. 36(j). However, 
New Jersey banking law contains a provision that could be interpreted 
as preventing an out-of-state national bank, such as CSAM, from having 
an office in New Jersey for the conduct of business as a fiduciary, as 
CSAM proposes to do. See N.J. Stat. Ann. 17:9A-316(B) and 17:9A-316(C).
    This charter application therefore raises the issue of whether the 
authority of national banks to exercise fiduciary powers on an 
interstate basis pursuant to 12 U.S.C. 36 and 92a preempts conflicting 
state law that would prevent the exercise of that authority. See 
Interpretive Letter No. 695, December 8, 1995, and 12 CFR 9.2(g). 
Because this transaction presents one of the first two situations in 
which proposed interstate fiduciary activities could be in conflict 
with state law, as well as one of the first transactions raising issues 
regarding interstate fiduciary activities subsequent to the effective 
date of revisions to 12 CFR Part 9, the OCC has determined it would be 
appropriate under 12 CFR 5.8(f) to solicit additional public comment on 
the application and the preemption issue it presents. The OCC will 
carefully consider any comments received in reviewing and acting upon 
the charter application.

    Dated: April 14, 1997.
Eugene A. Ludwig,
Comptroller of the Currency.
[FR Doc. 97-10029 Filed 4-17-97; 8:45 am]
BILLING CODE 4810-33-P