80 STAT. ]
PUBLIC LAW 89.485-JULY 1, 1966
237
SEC. 6. Section 2 of the Bank Holding Company Act of 1956 (12 U.S.C. 1841), as amended by this Act, is furtlier amended by adding ^^ ^tat. 133. at the end thereof the following new subsections: " (g) For the purposes of this Act— "(1) shares owned or controlled by any subsidiary of a bank holding company shall be deemed to be indirectly owned or controlled by such bank holding company; "(2) shares held or controlled directly or indirectly by trustees for the benefit of (A) a company, (B) the shareholders or members of a company, or (C) the employees (whether exclusively or not) of a company, shall be deemed to be controlled by such company; and "(3) shares transferred after January 1, 1966, by any bank holding company (or by any company which, but for such transfer, would be a bank holding company) directly or indirectly to any transferee that is indebted to the transferor, or has one or more officers, directors, trustees, or beneficiaries in common with or subject to control by the transferor, shall be deemed to be indirectly owned or controlled by the transferor unless the Board, after opportunity for hearing, determines that the transferor is not in fact capable of controlling the transferee. " (h) The application of this Act and of section 23A of the Federal Reserve Act (12 U.S.C. 371), as amended, shall not be affected by the p^^^^^^^' ^^i' fact that a transaction takes place wholly or partly outside the United 243. States or that a company is organized or operates outside the United ^^ use 371c. States: Provided, however, That the prohibitions of section 4 of this Act shall not apply to shares of any company organized under the laws 24^°^ ^^' ^^^' of a foreign country that does not do any business within the United 12 USC 1843. States, if such shares are held or acquired by a bank holding company that is principally engaged in the banking business outside the United States." SEC. 7. (a) The first sentence of subsection (a) of section 3 of the ban^rharer0°^ Bank Holding Company Act of 1956 (12 U.S.C. 1842(a)) is amended assets. ^^^^ °'^ to read as follows: "It shall be unlawful, except with the prior approval of the Board, (1) for any action to be taken that causes any company to become a bank holding companv; (2) for any action to be taken that causes a bank to become a subsidiary of a bank holding company; (3) for any bank holding company to acquire direct or indirect ownership or control of any voting shares of any bank if, after such acquisition, such company will directly or indirectly own or control more than 5 per centum of the voting shares of such bank; (4) for any bank holding company or subsidiary thereof, other than a bank, to acquire all or substantially all of the assets of a bank; or (5) for any bank holding company to merge or consolidate with any other bank holding company." (b) The second sentence of subsection (a) of section 3 of the Bank Holding Company Act of 1956 (12 U.S.C. 1842(a)) is amended by striking the words "except where such shares are held for the benefit of the shareholders of such bank" at the end of clause (i) and inserting in lieu thereof the words "except where such shares are held under a trust that constitutes a company as defined in section 2(b) and ^"^^' P- ^^^• except as provided in paragraphs (2) and (3) of section 2(g) ". supra. (c) Subsection (c) of section 3 of the Bank Holding Company x\-ct of 1956 is amended to read as follows: "(c) The Board shall not approve— "(1) any acquisition or merger or consolidation under this section which would result in a monopoly, or which would be in furtherance of any combination or conspiracy to monoplize or 65-300 0-67—18
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