Alert 1998-41 | November 20, 1998

Suspicious Transactions: Banca Populara Ardealul

To

Chief Executive Officers of all National Banks; all State Banking Authorities; Chairman, Board of Governors of the Federal Reserve System; Chairman, Federal Deposit Insurance Corporation; Conference of State Bank Supervisors; Deputy Comptrollers (Districts); Assistant Deputy Comptrollers; District Counsel and Examining Personnel

Information recently has been received that the subject entity, while not licensed by the National Bank of Romania (Central Bank), is entered on the Register of Commerce as a "creditcooperative-popular bank" (Law No. 109/1996). This entity reportedly issued $650 million (U.S.) face value debt obligations which were not funded as agreed. These instruments subsequently have been in effect cancelled. However, it has been reported that some of these instruments denominated at $25 million each remain in circulation. Banca Populara Ardealul states that any such instruments are to be considered "fake and false."

Any information which you may have concerning this matter should be reported to:

Banca Populara Ardealul
Piata Petru Rares nr.
7A, Bistrita BN, Romania
Tel/Fax 4063 323 135

and;

Office of the Comptroller of the Currency
Enforcement & Compliance Division
250 E Street SW
Washington, D.C. 20219
Fax (202) 874-5301

Daniel P. Stipano
Director
Enforcement & Compliance Division

Topic(s):

Suspicious Activity Reports (SAR)