No financial facility should be paid by the
agent bank to non-qualified applicants for proposals or business plans which lack technical, financial and economic justification If paid, this offence shall be considered as the illegal occupation of public property.
Several years ago, the record and payable dates of a stock dividend for the ADR of a Japanese company overlapped with its Japanese counterpart, resulting in erroneous distribution of a large number of "bonus" shares, much to the chagrin of the
agent bank, which still is trying to retrieve the shares.
Each
agent bank has control of the payment channel and the customer relationship.
Annual
agent bank fees can run into millions of pounds (GBP) per year.
Agent bank is aimed at providing low-cost banking to the so-called underbanked.
ICBA Bancard's credit card bank, TCM Bank, N.A., has acquired the
agent bank portfolio of Fifth Third Bank, the company said.
Syndicated loans involve multiple lenders for each borrower with an
agent bank acting as the liaison, transmitting information back and forth among parties.
Fifth Third Bancorp headquartered in Cincinnati, OH is the lead
agent bank of the facility with Wells Fargo & Co.
Apart from Crown
Agent Bank's core operations, the new system will also manage the bank's trade finance business.
The lender also served as initial mandated lead arranger, investment bank and security
agent bank for the transaction.
