S.Amdt. 3959

SA 3959. Mrs. MURRAY submitted an amendment intended to be proposed
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial
stability of the United States by improving accountability and
transparency in the financial system, to end ``too big to fail'', to
protect the American taxpayer by ending bailouts, to protect consumers
from abusive financial services practices, and for other purposes;
which was ordered to lie on the table; as follows:

On page 441, strike line 8 and all that follows through
``Section'' on line 9 and insert the following:
(e) Notice Procedures for Acquisitions of Nonbanks.--
Section
On page 441, strike line 15 and all that follows through
page 442, line 12.
On page 501, line 15, strike the second period and insert
the following: ``.

SEC. 621. INTERSTATE MERGER TRANSACTIONS.

(a) Interstate Merger Transactions.--Section 18(c) of the
Federal Deposit Insurance Act (12 U.S.C. 1828(c)) is amended
by adding at the end the following:
``(13)(A) Except as provided in subparagraph (B), the
responsible agency may not approve an application for an
interstate merger transaction if the resulting insured
depository institution (including all insured depository
institutions which are affiliates of the resulting insured
depository institution), upon consummation of the
transaction, would control more than 10 percent of the total
amount of deposits of insured depository institutions in the
United States.
``(B) Subparagraph (A) shall not apply to an interstate
merger transaction that involves 1 or more insured depository
institutions in default or in danger of default, or with
respect to which the Corporation provides assistance under
section 13.
``(C) In this paragraph--
``(i) the term `interstate merger transaction' means a
merger transaction involving 2 or more insured depository
institutions that have different home States and that are not
affiliates; and
``(ii) the term `home State' means--
``(I) with respect to a national bank, the State in which
the main office of the bank is located;
``(II) with respect to a State bank or State savings
association, the State by which the State bank or State
savings association is chartered; and
``(III) with respect to a Federal savings association, the
State in which the home office (as defined by the regulations
of the Director of the Office of Thrift Supervision, or, on
and after the transfer date, the Comptroller of the Currency)
of the Federal savings association is located.''.
(b) Acquisitions by Bank Holding Companies.--
(1) In general.--Section 4 of the Bank Holding Company Act
of 1956 (12 U.S.C. 1843) is amended--
(A) in subsection (i), by adding at the end the following:

[[Page S3554]]

``(8) Interstate acquisitions.--
``(A) In general.--The Board may not approve an application
by a bank holding company to acquire an insured depository
institution under subsection (c)(8) or any other provision of
this Act if--
``(i) the home State of such insured depository institution
is a State other than the home State of the bank holding
company; and
``(ii) the applicant (including all insured depository
institutions which are affiliates of the applicant) controls,
or upon consummation of the transaction would control, more
than 10 percent of the total amount of deposits of insured
depository institutions in the United States.
``(B) Exception.--Subparagraph (A) shall not apply to an
acquisition that involves an insured depository institution
in default or in danger of default, or with respect to which
the Federal Deposit Insurance Corporation provides assistance
under section 13 of the Federal Deposit Insurance Act (12
U.S.C. 1823).''; and
(B) in subsection (k)(6)(B), by striking ``savings
association'' and inserting ``insured depository
institution''.
(2) Definitions.--Section 2(o)(4) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1841(o)(4)) is amended--
(A) in subparagraph (B), by striking ``and'' at the end;
(B) in subparagraph (C)(ii), by striking the period at the
end and inserting a semicolon; and
(C) by adding at the end the following:
``(D) with respect to a State savings association, the
State by which the savings association is chartered; and
``(E) with respect to a Federal savings association, the
State in which the home office (as defined by the regulations
of the Director of the Office of Thrift Supervision, or, on
and after the transfer date, the Comptroller of the Currency)
of the Federal savings association is located.''.
(c) Acquisitions by Savings and Loan Holding Companies.--
Section 10(e)(2) of the Home Owners' Loan Act (12 U.S.C.
1467a(e)(2)) is amended--
(1) in paragraph (2)--
(A) in subparagraph (C), by striking ``or'' at the end;
(B) in subparagraph (D), by striking the period at the end
and inserting ``, or''; and
(C) by adding at the end the following:
``(E) in the case of an application by a savings and loan
holding company to acquire an insured depository institution,
if--
``(i) the home State of the insured depository institution
is a State other than the home State of the savings and loan
holding company;
``(ii) the applicant (including all insured depository
institutions which are affiliates of the applicant) controls,
or upon consummation of the transaction would control, more
than 10 percent of the total amount of deposits of insured
depository institutions in the United States; and
``(iii) the acquisition does not involve an insured
depository institution in default or in danger of default, or
with respect to which the Federal Deposit Insurance
Corporation provides assistance under section 13 of the
Federal Deposit Insurance Act (12 U.S.C. 1823).''; and
(2) by adding at the end the following:
``(7) Definitions.--For purposes of paragraph (2)(E)--
``(A) the terms `default', `in danger of default', and
`insured depository institution' have the same meanings as in
section 3 of the Federal Deposit Insurance Act (12 U.S.C.
1813); and
``(B) the term `home State' means--
``(i) with respect to a national bank, the State in which
the main office of the bank is located;
``(ii) with respect to a State bank or State savings
association, the State by which the savings association is
chartered;
``(iii) with respect to a Federal savings association, the
State in which the home office (as defined by the regulations
of the Director of the Office of Thrift Supervision, or, on
and after the transfer date, the Comptroller of the Currency)
of the Federal savings association is located; and
``(iv) with respect to a savings and loan holding company,
the State in which the amount of total deposits of all
insured depository institution subsidiaries of such company
was the greatest on the date on which the company became a
savings and loan holding company.''.
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