UNITED STATES OF AMERICA BEFORE THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM WASHINGTON, D.C. TEXAS DEPARTMENT OF BANKING AUSTIN, TEXASTexas Regional Bancshares Inc • April 27th, 2006 • State commercial banks
WHEREAS, Texas State Bank, McAllen, Texas (the “Bank”), a state chartered bank that is a member of the Federal Reserve System, is taking steps to address deficiencies relating to the Bank’s compliance with applicable federal anti-money laundering (“AML”) laws, rules, and regulations, including the Bank Secrecy Act (the “BSA”), 31 U.S.C. 5311 et seq.; the rules and regulations issued thereunder by the U.S. Department of the Treasury (31 C.F.R. Part 103); and the AML requirements of Regulation H of the Board of Governors of the Federal Reserve System (the “Board of Governors”) (12 C.F.R. 208.62 and 208.63);
