Junk v. Bd. of Governors of Fed. Reserve Sys., No. 19-385, 2019 WL 4082770 (S.D.N.Y. Aug. 29, 2019) (Cote, J.)

Junk v. Bd. of Governors of Fed. Reserve Sys., No. 19-385, 2019 WL 4082770 (S.D.N.Y. Aug. 29, 2019) (Cote, J.)

Re:  Request for three loans made by Federal Reserve Bank of New York ("FRBNY")

Disposition:  Granting defendant's motion to dismiss; granting in part and denying in part defendant's motion for summary judgment; granting in part and denying in part plaintiff's motion for summary judgment

• Litigation Considerations, Jurisdiction:  The court denies defendant's motion to dismiss.  The court finds that "FOIA grants district courts 'jurisdiction to enjoin the agency from withholding agency records . . . improperly withheld from complainant.'"  The court finds that "the term jurisdiction in the statute refers to the court's 'remedial power, not subject matter jurisdiction.'"
   
• Procedural Requirements, Agency Records:  The court holds that "under prong one of the regulation, records in 'the possession and under the control of' the FRBNY concerning these loans are Board records."  The court relates that "[f]ederal regulations define which records of the Board are 'agency records' for purposes of FOIA."  "The regulations provide that Records of the Board include:  (i) In written form, or in nonwritten or machine-readable form; all information coming into the possession and under the control of the Board, any Board member, any Federal Reserve Bank, or any officer, employee, or agent of the Board or of any Federal Reserve Bank, in the performance of functions for or on behalf of the Board that constitute part of the Board’s official files; or (ii) That are maintained for administrative reasons in the regular course of business in official files in any division or office of the Board or any Federal Reserve Bank in connection with the transaction of any official business."  The court finds that "the records sought by [plaintiff] concern loans that the FRBNY issued with Board authorization."  "Their issuance resulted in information coming into the possession of the Board and/or an FRB 'in the performance of functions for or on behalf of the Board.'"  Responding to plaintiff's objection, the court finds that "the definition of Board records in prong one of the regulation does not hinge on whether records were created pursuant to 'Board-delegated' functions."  "Instead, it provides that records created in the performance of functions 'for or on behalf of the Board' are Board records."  "These records, however, are not Board records under the regulation's second prong."  The court finds that "[r]ecords concerning the [certain] LLCs are not managerial or supervisory documents that the Board would maintain for 'administrative reasons.'"  "Thus, they are not Board records under prong two of the regulation and the Board need not conduct a search for the requested documents among its administrative records."
   
• Litigation Considerations, Venue:  The court holds that "[v]enue lies in this district."  The court explains that "the Board takes the position that the records sought by Junk are located at the FRBNY, which is in Southern District of New York."