Which of the following relationships does NOT violate Regulation L? • Relationship A: First National Bank is located in the same city as an affiliate of First Savings and Loan. First National and the affiliate share a board member. • Relationship B: State Bank and an affiliate of First National Bank are located in the same RMSA but not in the same town. State Bank has assets of $60 million, and the affiliate has assets of $7 million. The two institutions share a board member. • Relationship C: Savings and Loan Association and Bank Holding Company do not have offices within the same RMS Bank Holding Company's assets are in excess of $1.75 billion, and Savings and Loan Association's assets are in excess of $2.5 billion. These institutions share a board member.

Question

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Relationship B does not violate Regulation L because the two institutions are not in the same city and they do not have the same amount of assets. The sharing of a board member alone is not enough to violate Regulation L. Relationships A and C may violate Regulation L because they involve institutions that share a board member and may be in the same city or have similar asset sizes.

Which of the Following Relationships Does NOT Violate Regulation L