N.J. Admin. Code § 3:11-11.11

Current through Register Vol. 56, No. 17, September 3, 2024

Section 3:11-11.11 - Recordkeeping requirements

(a) For the purpose of monitoring the bank's diversification of investments made under the leeway provision (17:9A-24.1 2) and to determine if the investments are in accordance with the applicable investment limitations, the bank is required to maintain records which will identify all such investments made under the leeway provisions:

1. These records shall contain a description of each leeway investment. The description should contain, but not be limited to the name of the person, partnership, corporation, other business entity, association or body politic (leeway entity) that the bank has invested in; its business address and the amount and form of the investment;

2. These records shall also contain a detailed listing of any other investments or loans made to each leeway entity pursuant to other provisions of the law. Any other investments or loans shall include, but not be limited to, any loan or extension of credit by the bank to the leeway entity; the purchase by the Bank of securities, other assets, or obligations of the leeway entity under repurchase agreement; the discount by the Bank of promissory notes, bills of exchange, conditional sales contracts, or similar paper, with or without recourse, issued by the leeway entity and discounted for a third party; acceptances of securities issued by a leeway entity as collateral for any loan, and issuance of a guarantee, acceptance, or letter of credit on behalf of a leeway entity;

3. These records shall be kept up to date in order that they tie into the bank's daily statement of condition.

N.J. Admin. Code § 3:11-11.11