I heard it tries to go one step beyond that. If Deutsche Bank has operations in the US, it falls under FATCA. BUT it is also required to not do business with

I heard it tries to go one step beyond that. If Deutsche Bank has operations in the US, it falls under FATCA. BUT it is also required to not do business with some small German bank that has no operation in the US that does not comply with FATCA; i.e. DB is used to coerce the small German bank with no US operation to report its American customers in Germany to the US.