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UNITED STATES OF AMERICA
BEFORE THE BOARD OF GOVERNORS

OF THE FEDERAL RESERVE SYSTEM

WASHINGTON,

In the Matter of

D.C.

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P.T. EKSPOR IMPOR BANK INDONESIA
(PERSERO)
Jarkarta, Indonesia

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P.T. EKSPOR IMPOR BANK INDONESIA
(PERSERO)
NEW YORK AGENCY
New York, New York

WHEREAS,

Docket No. 9%026~CMP-FB
9%026-CMP-FA

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Order of Assessment of a
Civil Money Penalty Issued
Upon Consent Pursuant to the
Federal Deposit Insurance Act, as
Amended, and the International
Banking Act of 1978, as Amended

pursuant to Section S(i) of the Federal Deposit Insurance Act, as

amended (12 U.S.C. !j 18 18(i)) (the “FDI Act”), and Section 16(a) of the International

Banking

Act of 1978, as amended (12 U.S.C. 5 3 110(a)) (the “IB Act”), the Board of Governors of the
Federal Reserve System (the “Board of Governors”) issues this Order of Assessment
of a Civil Money Penalty (the “CMP Order”) against P.T. Ekspor Impor Bank Indonesia
(Persero) (“Bank Exim”), a foreign bank that maintains an agency in New York, New York
(the “New York Agency”) and the New York Agency;
WHEREAS, the Board of Governors has advised Bank Exim that in its 1997
Examination

of Bank Exim, which commenced

1997, it determined

on April 2 1, 1997 and concluded on June 20,

that Bank Exim, through its operations at the New York Agency, failed to

comply with the terms of the Written Agreement that the New York Agency and Bank Exim

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entered into on December 29, 1994 with the Federal Reserve Bank of New York and the
Superintendent

of Banks of the State of New York;
WHEREAS,

Bank Exim and the New York Agency have jointly agreed to pay a

civil money penalty of $50,000 to the Board of Governors and to pay the sum of $50,000 to the
People of the State of New York as a result of the same activities that are the bases of the CMP
Order; and
WHEREAS,

on wt.

~8’ , 1998, the board of directors of Exim Bank adopted a

resolution (1) authorizing and directing the appropriate executive officers of Bank Exim and the
New York Agency to enter into this CMP Order on behalf of Bank Exim; (2) waiving a hearing
for the purpose of taking evidence on any matter set forth in this CMP Order; (3) waiving any
and all rights to contest the issuance of this CMP Order by the Board of Governors; (4) waiving
any and all rights to judicial review of this CMP Order; and (5) waiving any and all rights to
challenge or contest the validity of the provisions of this CMP Order.
NOW, THEREFORE,

before the taking of any testimony or adjudication

finding on any issue of fact or law herein, and without this CMP Order constituting

or

an admission

or denial of any allegation made or implied by the Board of Governors and pursuant to the
aforesaid resolution of the board of directors of Bank Exim:
IT IS HEREBY

ORDERED,

pursuant to Section S(i)(2)(B) of the FDI Act,

Section 16(a) of the IB Act, and Section 263.63 of the Board of Governors’ Rules of Practice for
Hearings (12 C.F.R. § 263.63) that:
1. Bank Exim is assessed and shall forfeit and pay as hereinafter provided
a civil money penalty in the sum of $50,000;

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2. The penalty assessed by this CMP Order shall be remitted in full at the
time of Bank Exim’s and the New York Agency’s execution of this
CMP Order by wire transfer of immediately

available funds to the

Federal Reserve Bank of New York, ABA No. 021001208, to the
attention of Thomas C. Baxter, Jr., General Counsel and Executive
Vice President of which the Federal Reserve Bank of New York, on
behalf of the Board of Governors, shall distribute to the U.S.
Department of the Treasury, pursuant to Section S(i) of the FDI Act;
3. The provisions of this CMP Order shall be binding on Bank Exim, the
New York Agency, and their successors and assigns;
4. (a) The provisions of this CMP Order shall not bar, estop, or otherwise
prevent any Federal or State agencies or departments,
the Board of Governors and the Superintendent

other than

of Banks of the

State of New York, from taking any other action affecting Bank
Exim, or the New York Agency, or any of their current or former
institution-affiliated

parties, as defined in Sections 3(u) and 8(b)(4)

ofthe FDI Act (12 U.S.C. §§ 1813(u) and 1818(b)(4)), or any
insider as defined in Part 11 of the General Regulations

of the

New York State Banking Board or their successors or assigns;
(b) The provisions of this CMP Order shall not bar, estop, or otherwise
prevent the Board of Governors from taking any other action
affecting Bank Exim or the New York Agency for matters not the
subject of the CMP Notice; and

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5. As the result of entering into this CMP Order, Bank Exim and
the New York Agency shall not be subject to the provisions

of

Section 7 of the IB Act (12 U.S.C. §§ 3105(e) and (i)).
By order of the Board of Governors effective this
P.T. BANK EKSPO
Jarkarta, Indonesia.

Kodradi
President

*day

ou

,1998.

IMPOR BANK INDONESIA (PERSERO)

Director

P.T. BANK EKSPOR IMPOR BANK INDONESIA (PERSERO), NEW YORK AGENCY

BOARD OF GOVERNORS

Secretary of the Board

OF THE FEDERAL RESERVE SYSTEM