The Federal Reserve Board gave CoreStates Financial Corp. permission Monday to underwrite municipal revenue bonds in a section 20 subsidiary.

Philadelphia-based CoreStates Securities Corp. also may underwrite and deal in one- to four-family mortgage securities, consumer receivable securities, and commercial paper.

CoreStates may not, however, underwrite commercial securities, the Fed said. That so-called Tier 1 power requires additional approval from the central bank.

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