DFI Monthly Bulletin – November 2003

Nov 1, 2003

Volume 7, Number 5

Money Transmitters Must Have Minimum $500,000 Tangible Shareholders Equity

New Law Takes Effect January 1, 2004
Beginning January 1, 2004, all money transmitters must at all times maintain a minimum of $500,000 in
tangible shareholders’ equity. Assembly Bill No. 1775, signed into law on September 20, 2003, amends
Financial Code section 1814 to double the minimum required tangible shareholders’ equity from
$250,000 to $500,000 effective January 1, 2004. If a money transmitter does not have at least $500,000
in tangible shareholders’ equity on January 1, it will not be in compliance with the law, and will be
subject to potential enforcement action by the Department.
Money transmitters who will not be able to comply with the new tangible shareholders’ equity
requirement may apply for additional time if there is good cause and to avoid undue hardship. The
licensee must submit a written application detailing why it needs additional time and its proposed
capitalization plan, which must include pro forma balance sheets and income statements for 2003 and
2004. The application must be submitted by January 12, 2004 to Financial Institutions Manager Julio
Prada, 111 Pine Street, Suite 1100, San Francisco, CA 94111. Please contact Julio Prada at (415) 263-
8540 or by email at jprada@dfi.ca.gov if you have any questions.
2 Monthly Bulletin November, 2003
Commercial Bank Activity
New Banks
Bay Business Bank
1280 Civic Drive, Walnut Creek, Contra Costa County
Correspondent: Maryam Hamzeh
Carpenter & Company
5 Park Plaza, Suite 950
Irvine, CA 92614
Phone: (949) 261-8888
Filed: 11/24/03
Conversion to State Charter
InterBusiness Bank, N.A., Los Angeles, to convert from a national bank to a state-chartered bank under
the name InterBusiness Bank
Approved: 11/7/03
Modesto Commerce Bank, Modesto, with and into Bank of Stockton, Stockton
Approved: 10/30/03
Effected: 11/17/03
PriVest Bank, Santa Ana, with and into Sun Country Bank, Upland
Filed: 11/20/03
Purchase of Partial Business Unit
Plumas Bank, Quincy, to acquire five branch offices of Placer Sierra Bank, Auburn
11317 Deerfield Drive, Truckee, Nevada County
8475 North Lake Boulevard, Kings Beach, Placer County
24 West Sierra Avenue, Portola, Plumas County
76 Crescent Street, Quincy, Plumas County
604 Main Street, Loyalton, Sierra County
Effected: 11/14/03
Sale of Partial Business Unit
Fireside Thrift Company, Pleasanton, to sell the custodial and administrative responsibilities regarding
individual retirement accounts to First Regional Bank, Los Angeles.
Filed: 10/20/03
Approved: 11/10/03
3 Monthly Bulletin November, 2003
Acquisition of Control
Humboldt Bancorp, to acquire control of Feather River State Bank, Yuba City
(In connection with the merger of Feather River State Bank, Yuba City, with and into Humboldt Bank,
Filed: 11/3/03
LandAmerica Financial Group, Inc., to acquire control of Centennial Bank, Fountain Valley
Approved: 10/28/03
Industrial Bank Activity
New Bank
Pentech Bank
910 East Hamilton Avenue, Suite 150, Campbell, Santa Clara County
Correspondent: James Ochsner
49 Woodhill Drive
Redwood City, CA 94061-1826
Phone: (650) 369-0978
Filed: 11/17/03
Change of Name
Fireside Thrift Co. to Fireside Bank
Notified: 10/5/03
Novato Community Bank to Circle Bank
Notified: 10/29/03
Effected: 11/29/03
Premium Finance Company Activity
New Premium Finance Company
PFS Financing Corp. of California
601 South Glenoaks Boulevard, Suite 403, Burbank, Los Angeles County
Withdrawn: 11/14/03
Spartan Premium Finance Company, Inc.
2751 Alpine Boulevard, Alpine, San Diego County
Approved: 11/7/03
4 Monthly Bulletin November, 2003
Foreign (Other Nation) Bank Activity
Change of Name
United World Chinese Commercial Bank to CATHAY UNITED BANK, LTD.
Effected: 10/27/03
Foreign (Other State) Bank Activity
New Facility
Rock River Trust Company (Facility – uninsured Bank)
44 Montgomery Street, Suite 3030, San Francisco, San Francisco County
Filed: 11/7/03
Approved: 11/25/03
Credit Union Activity
Coastline Community Credit Union, Long Beach, into Orange County’s Credit Union, Santa Ana
Effected: 10/31/03
Sacramento County Grange Federal Credit Union, Sacramento, into Church/Co-op Credit Union,
Withdrawn: 10/28/03
The merger of San Francisco Joint Board I.L.G.W.U. Credit Union, San Francisco, into Bay Media
Federal Credit Union, San Francisco was effected on November 3, 2003, not October 22, 2003 as
reported in the Monthly Bulletin of October, 2003.
Change of Name
American Electronics Association Credit Union to KeyPoint Credit Union
Filed: 10/16/03
Field of Membership
Thirteen credit unions received approvals to add 47 new fields of membership during October 2003.
Bylaw Amendment
Two credit unions received approval for three bylaw amendments during October 2003.
5 Monthly Bulletin November, 2003
Amendment of Articles of Incorporation
Fourteen credit unions received approvals for fourteen amendments of articles of incorporation during
October 2003.
Transmitter of Money Abroad Activity
New Transmitter
Johnny Air Cargo, Inc.
Approved: 6/12/03
Licensed: 11/17/03
Commissioner of Financial Institutions
Bulletin for Month ended
November 2003, issued pursuant
to Financial Code, Section 258
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