On September 8, the Office of the Comptroller of the Currency (OCC) proposed a rule to prohibit national banks and federal savings associations (FSAs) from dealing and investing in industrial or commercial metals. The proposal covers metal, including alloy, in a physical form primarily suited to industrial or commercial uses, such as copper cathodes and aluminum T-bars. If finalized in its current form, this proposal would supersede a prior OCC determination permitting national banks to trade copper cathodes.
The proposal “continues to recognize that national banks and FSAs may hold industrial or commercial metal under other authorities that are distinct from dealing and investing, and does not propose to change those other authorities. For example, national banks and FSAs may acquire industrial or commercial metal through foreclosures on loans and then sell the metal to mitigate loan losses.”
The OCC’s announcement on the proposed rule is available here.