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Washington
Inside Washington (03/26/2010)
* ALEXANDRIA, Va. (3/29/10)—In a legal opinion letter posted late last week, the National Credit Union Administration (NCUA) wrote that Membership Capital Shares (MCS) maintained by a member of a corporate credit union are available during notice period to cover losses in excess of retained earnings and paid-in capital (PIC) after the owner of the MCS has notified the corporate of intent to withdraw the MCS. The letter, an extension of a 2009 opinion, in essence says a credit union can't protect its MCS investment from write-downs by announcing its intention to leave a corporate credit union’s membership since the MCS can still be impaired by losses during a waiting period. The new opinion came in response to a question from Richard Schulman, an attorney with Esp, Kreuzer, Cores & McLaughlin, LLP, Wheaton, Ill. The question, according to the NCUA letter, was framed within the context of adjustable balance MCS accounts, which are specifically permissible under NCUA regulations. 12 C.F.R. §704.3(b)(8). The letter, signed by John Ianno, NCUA associate general counsel, and dated Feb. 25, said in part, “In accordance with the rule, a corporate may establish and offer its members the choice of investing in an MCS account with a feature calling for adjustments to or from the balance based on fluctuations in an external index. Adjustments may be made at six-month intervals or longer, but not more frequently than once every six months. If the corporate selects an index other than the asset size of its member, it “must address the measure’s permanency characteristics in its capital plan. 12 C.F.R. §704.3(b)(8)(ii).” Use the link at the beginning of the brief to read more… * WASHINGTON (3/29/10)—The U.S. Department of the Treasury, in partnership with The White House Council on Women and Girls, is holding a symposium today to recognize the contributions of women in the fields of public and private finance, and to discuss effective ways to foster success in the future for women working in those sectors. The symposium will bring together senior Obama administration officials, private sector leaders, university presidents and women entering the field of finance. To reach a broader audience, the symposium will be available to “students around the country” via webcast. Such participants may gain some insights as panelists share stories of how each achieved success in the world of finance and answer questions from students interested in being the next generation of women leaders. Throughout today’s event, questions can be submitted live on Twitter by using the "#WIF" hash tag or by e-mailing WomenInFinance@do.treas.gov …


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