U.S. Bancorp, Successor In Interest to West One Bancorp and Subsidiaries, formerly known as Moore Financial Group, Inc. - Page 21

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               In examining the plain language of the statute, the Court in           
          Security Bank Minn. v. Commissioner, supra, stated:                         
                    In the Code and in normal bank parlance, terms                    
               such as acquisition and issue commonly refer to third-                 
               party debt instruments; "loans" are "made" by a bank to                
               its customers.  * * * The terms "loan" and "made" are                  
               noticeably absent from the definition of short-term                    
               obligations in section 1283(a)(1)(A).  [Security Bank                  
               Minn. v. Commissioner, 98 T.C. at 39.]                                 
          Similarly, in evaluating the legislative record, the Court in               
          Security Bank Minn. noted that:  "all of the available material             
          [in the legislative history] is expressed in terms relating to              
          purchased or acquired instruments, not expressly to loans made."            
          Id. at 41.                                                                  
               Against this background, respondent asserts that time                  
          deposits and CD's are "purchased" or "acquired" from other banks,           
          within the common meaning of those words, and within the meaning            
          developed by the Court in Security Bank Minn. v. Commissioner,              
          supra.  Respondent additionally asserts that the obligor banks on           
          such deposits and CD's are not "customers" of the bank that owns            
          the deposits and CD's, once again within both the common meaning            
          of the term and the meaning developed in Security Bank Minn. v.             
          Commissioner, supra.                                                        
               We believe that whether, as a matter of law, respondent's              
          argument is correct depends, at least in part, on the answers to            
          a number of factual questions concerning the nature of time                 
          deposits and CD's.  For example, before we could rule on                    





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