On January 3, 2017, the Office of the Comptroller of the Currency (the "OCC") finalized a rule that prohibits national banks and federal savings associations from dealing or investing in industrial or commercial metals. An "industrial or commercial metal" is "a metal (or alloy), including copper, in a form primarily suited to industrial or commercial use." Examples of metals and alloys considered to be "industrial or commercial metals" include copper cathodes, aluminum T-bars and gold jewelry. The rule becomes effective on April 1, 2017, and includes a divestiture period requiring national banks and federal savings associations to dispose of industrial or commercial metals acquired through dealing or investing activities "as soon as practicable, but not later than one year from the effective date of the regulation." However, the OCC may grant up to four separate one-year extensions of this period for national banks or federal savings associations making a good faith effort to divest of the industrial or commercial metals and where the banks' or savings associations' retention of these metals is not inconsistent with their safe and sound operation. Press Release. Rule.
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