§ 223.52. What transactions with affiliates or others must comply with section 23B's market terms requirement?
197 words·~1 min read·
/us/cfr/t12/s§ 223.52·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)The market terms requirement of § 223.51 applies to the following transactions:
(1)Any covered transaction with an affiliate, unless the transaction is exempt under paragraphs
(a)through
(c)of § 223.41 or paragraphs
(a)through
(e)or
(h)through
(j)of § 223.42;
(2)The sale of a security or other asset to an affiliate, including an asset subject to an agreement to repurchase;
(3)The payment of money or the furnishing of a service to an affiliate under contract, lease, or otherwise;
(4)Any transaction in which an affiliate acts as an agent or broker or receives a fee for its services to the member bank or to any other person; and
(5)Any transaction or series of transactions with a nonaffiliate, if an affiliate:
(i)Has a financial interest in the nonaffiliate; or
(ii)Is a participant in the transaction or series of transactions.
(b)For the purpose of this section, any transaction by a member bank with any person will be deemed to be a transaction with an affiliate of the member bank if any of the proceeds of the transaction are used for the benefit of, or transferred to, the affiliate.