BANKING & FINANCE - Feb. 13, 1996

U.S. Drops 4 Counts Against Daiwa: The criminal counts are among 24 against Daiwa Bank Ltd. involving the Japanese company’s bond-trading scandal. Federal prosecutors in New York said they are dropping the four counts because they are not punishable under U.S. law. In court documents responding to Daiwa’s motion to dismiss the indictment against it, prosecutors acknowledged that they had erroneously charged Daiwa with certain record-keeping violations involving foreign banks with branches in the United States. Daiwa is scheduled to go on trial in April on charges that it concealed a $1.1-billion loss incurred by a former trader. Daiwa has denied wrongdoing.