HomeSearchLog inRegister
Latest topics
» Elephant Cries Tears of Joy After Being Released From 50 Years of Captivity
Today at 8:02 am by PurpleSkyz

» Was Gobekli Tepe a Memorial Site of a Biblical Event?
Today at 7:59 am by PurpleSkyz

» The Elements of the Periodic Table and Natural Science Parts 1-4 Santos Bonacci 2017
Today at 7:55 am by PurpleSkyz

» NIBIRU News ~ Planet X: Evidence compiling, government denying plus MORE
Today at 7:52 am by PurpleSkyz

» Russian Mathematicians Solve the Mysterious Voynich Manuscript
Today at 7:50 am by PurpleSkyz

» "Imminent" Alien Invasion Revealed By NASA Administrator? 4/24/17
Today at 7:49 am by PurpleSkyz

» This Weeks RV/CGR News - 2017: 4/23 - 4/29
Today at 7:34 am by PurpleSkyz

» Benjamin Fulford Updates - April 24, 2017
Today at 7:30 am by PurpleSkyz

» The National assembly Nationalizes the States of the Union original Constitutions
Today at 7:27 am by PurpleSkyz

» UFO News - Giant UFO Hovers Over Statue Of Liberty In New York plus MORE
Today at 7:10 am by PurpleSkyz

» The Grandmothers explain why they have come.
Today at 6:44 am by PurpleSkyz

» Jerzy"the ghoul"/POOFness for APR 23: EARTH DAY (Great Day for Some More Internet Panhandling!)
Today at 3:07 am by robert18

» Scumbag Jerzy Babkowski Admits Taking The Photos!
Yesterday at 8:39 pm by PurpleSkyz

» LEAKED 'rough draft' Star Wars 8 Script! transcribed by TS Caladan
Yesterday at 4:46 pm by PurpleSkyz

» Study Shows Damage To ‘The Seat Of The Soul’ After Aluminum-Adjuvanted Vaccination & Glyphosate
Yesterday at 4:42 pm by PurpleSkyz

» A Mysterious Light Caught by Curiosity On Mars
Yesterday at 4:31 pm by PurpleSkyz

» Eyes wide Open ~ Follow Me, Or Die!
Yesterday at 4:24 pm by PurpleSkyz

» UFO News - UFOs of various forms in the near ISS plus MORE
Yesterday at 3:36 pm by PurpleSkyz

» TESLA...TAKE TWO..AND THAT COSMIC DEBRIS
Yesterday at 3:32 pm by PurpleSkyz

» Power Outage Update/Solar Wind Speed 1.678 Million MPH
Yesterday at 3:23 pm by PurpleSkyz

» GoldFish Report No. 91, Week 14 POTUS Upade with Kent Dunn
Yesterday at 2:15 pm by PurpleSkyz

» Forrest Gumps Idiots Guide Through The Matrix
Yesterday at 12:28 pm by Valentinus411

» ANOTHER HUMAN TIMELINE REVEALED: GRAHAM HANCOCK SHATTERS MODERN HISTORY
Yesterday at 11:42 am by PurpleSkyz

» Bases On The Moon Footage Released By China’s Orbiter The Chang’e-2
Yesterday at 11:40 am by PurpleSkyz

» UBuntu Sept Collaboration Session
Yesterday at 11:18 am by Consciousness Of Economic

» 25 Most Powerful Passports In The World You Might Want To Possibly Own
Yesterday at 11:16 am by Consciousness Of Economic

» World Citizen crosses border with World Passport
Yesterday at 11:15 am by Consciousness Of Economic

» City without Government ( Max, Nebraska )
Yesterday at 11:13 am by Consciousness Of Economic

» Populist Politics
Yesterday at 10:14 am by PurpleSkyz

» 70 Million Years Old Dinosaur Eggs Unearthed In China April 23, 2017
Yesterday at 9:40 am by PurpleSkyz

» The Choice- By Elva Thompson
Yesterday at 9:27 am by PurpleSkyz

» Gamechanger: India, Pakistan & Iran Joining BRICS Shanghai Cooperation Organization
Yesterday at 9:22 am by PurpleSkyz

» Solar Activity and Schumann Resonance on 22 April 2017
Yesterday at 9:19 am by PurpleSkyz

Who is online?

Share | 
 

 U.S. Senator Questions Fed on Chinese Bank Decision

View previous topic View next topic Go down 
AuthorMessage
godsfool713

avatar

Posts : 958
Join date : 2012-01-04

PostSubject: U.S. Senator Questions Fed on Chinese Bank Decision   Sat May 12, 2012 2:42 pm

http://www.businessweek.com/news/2012-05-11/u-dot-s-dot-senator-questions-fed-on-chinese-bank-decision

U.S. Senator Questions Fed on Chinese Bank Decision
By Jim Rubin on May 11, 2012 Tweet Facebook LinkedIn Google Plus 3 Comments

A Federal Reserve decision to let Chinese banks acquire U.S. lenders was challenged by Senator Bob Casey, who said it could open the way for Chinese government-run institutions to undercut U.S. banks.

“I worry that these banks and their U.S. subsidiaries will use their state support as a way to underprice U.S. banks,” Casey, a Pennsylvania Democrat and chairman of the Joint Economic Committee, said in a letter yesterday to Fed Chairman Ben S. Bernanke.

Industrial & Commercial Bank of China Ltd. won approval from the Fed on May 9 to buy a U.S. lender in the biggest opening of the American banking market to Chinese companies. The Fed allowed ICBC to operate as a bank holding company, buying a controlling stake in Bank of East Asia Ltd. (23)’s U.S. unit. The Fed also let Bank of China Ltd. and Agricultural Bank of China Ltd. (601288) open U.S. branches.

The decision marks the first time that regulators have allowed a Chinese bank to buy a majority stake in a U.S. depository institution. ICBC Chairman Jiang Jianqing has spent more than $6 billion on acquisitions in regions spanning Asia to South Africa and the Americas over the past three years, seeking to triple the share of profit coming from abroad to 10 percent.

“China has a long and well-documented record of undercutting U.S. companies and workers,” Casey said in a statement. Its “history of flouting international trade rules requires that any involvement in the U.S. banking system needs close scrutiny.”

In his letter, Casey said he intends to press Bernanke to explain the Fed’s decision when he testifies before Congress’s Joint Economic Committee on June 7.

Toehold for Growth
The $140 million acquisition of 80 percent in Bank of East Asia’s U.S. arm gives Beijing-based ICBC 10 branches in California and three in New York, a toehold for U.S. growth. The initial agreement in January 2011 was among as many as 60 signed by Chinese and U.S. firms during President Hu Jintao’s visit for talks with President Barack Obama.

China Construction Bank Corp. (939), the nation’s second largest, is in talks to buy the South American assets of WestLB AG, the Wall Street Journal reported, citing a person it didn’t identify. The bank seeks the assets to pursue commercial banking in the continent in a deal that may be valued between $200 million and $300 million and wrapped up by June, the newspaper said.

ICBC was the largest bank in China at the end of 2011, with $2.5 trillion in assets, and is about 71 percent-owned by the government, according to the Fed’s order. Bank of East Asia, based in Hong Kong, is run by the family of Chairman David Li.

Bank of China, the third-largest Chinese bank by assets, received approval to open a federal branch in Chicago, while Agricultural Bank, the fourth largest, obtained approval to open a state-licensed branch in New York, according to the Fed.

To contact the reporter on this story: Jim Rubin in Washington at jimrubin@bloomberg.net

To contact the editor responsible for this story: Mark Silva at msilva34@bloomberg.net
Back to top Go down
 
U.S. Senator Questions Fed on Chinese Bank Decision
View previous topic View next topic Back to top 
Page 1 of 1

Permissions in this forum:You cannot reply to topics in this forum
Out Of Mind :: THE INSANITY OF REALITY :: GLOBAL FINANCIAL COLLAPSE-
Jump to: