The Federal Reserve Board has approved the application of $418 billion Sanwa Bank, the fourth-largest Japanese bank, to retain 32% of the voting shares of Toyo Trust and Banking Co. of Tokyo.

The Fed's approval was necessary because Sanwa's ownership of the stock gives the bank control of Toyo's wholly owned U.S. subsidiary, Toyo Trust Co. of New York.

Sanwa had held only 4.9% of Toyo's voting shares, but it increased its holdings with a capital investment on March 30. Sanwa also owns state-chartered Sanwa Bank California.

Also last week, the Fed approved a request by UBS AG of Switzerland to open a representative office in Washington. UBS, the fourth-largest bank in the world, said in its application that the office will market private banking services in the Washington area.

- Rob Garver

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