Notice of equity investments in UBEs.

CFR · 2024-01-01 · US · Title 12

(a) (1) Acquiring and managing unusual or complex collateral associated with loans; (2) Providing hail or multi-peril crop insurance services in collaboration with another System institution in accordance with § 618.8040 of this chapter; and (3) Any other UBE business activity that FCA determines to be appropriate for this notice provision. (b) (1) The UBE's articles of formation, including its name and the State in which it is organized, length of time it will exist, its partners or members, and its management structure; (2) The dollar amount of the System institution's equity investment in the UBE; (3) A certified resolution of the System institution's board of directors authorizing the equity investment in, and business activity of, the UBE and the board's approval to submit the notice to the FCA. For UBEs organized to acquire and manage unusual or complex collateral associated with loans as identified in paragraph (a)(1) of this section, the board of directors may adopt a blanket board resolution to cover all such UBEs that the System institution will organize. (4) Except for those UBEs identified in paragraph (a)(1) of this section, a board statement included with the certified board resolution affirming that the UBE: (i) Is needed to achieve operating efficiencies and benefits; (ii) Is necessary or expedient to the System institution's business; (iii) Will operate with transparency; (iv) Will conduct its business activity in a manner designed to prevent conflicts of int

official document · source cfr-2024 · id 12:§ 611.1154