In 1987, Congress acted affirmatively to close this loophole by passing the Competitive Equality Banking Act (CEBA). That act expanded the definition of "bank" in the BHC Act to include any FDIC-insured bank (regardless of the activities it conducts) and any banking institution that both offers transaction accounts and makes commercial loans (regardless of whether it is FDIC-insured).
Importantly, the act also provided that, subject to certain limited exceptions, any company that acquired an institution meeting this expanded definition of "bank" would be subject to the same activity restrictions and supervisory and regulatory framework as other bank holding companies, including the prohibition on engaging in commercial activities.