ACB to FHFB: Drop SEC Registration Proposal

America's Community Bankers is asking the Federal Housing Finance Board to withdraw a proposal that would require the Federal Home Loan Banks to register their stock with the Securities and Exchange Commission."ACB strongly believes that the Finance Board does not have the authority to repeal the FHLBanks' long-recognized exemption from SEC registration," the trade group says in a comment letter. ACB recommends that the Finance Board use its authority to adopt and enforce relevant SEC disclosures to enhance financial reporting by the 12 FHLBanks. The FHLBanks of Boston and Pittsburgh also registered their opposition to the proposal before the comment period ended on Jan. 15. Boston FHLBank chairman William Morrissey raised concerns that SEC registration could hinder the FHLBanks' debt issuance process. Finance Board Chairman John Korsmo and the Treasury Department have been urging the FHLBanks to register with the SEC.