DFI Monthly Bulletin – June 2004
Volume 7, Number 12
Chief Examiner David L. Scott Retires
David L. Scott retired on June 1, 2004 after 32 years with the Department. Mr. Scott joined the California
State Banking Department in August 7, 1972 as a junior examiner and held a variety of positions in the
Department during his career.
Mr. Scott was appointed Chief State Bank Examiner on April 1, 1996. He became Chief State Examiner on
July 1, 1997 when the State Banking Department became the Department of Financial Institutions. In this
position, he supervised all of the Department’s bank examination and bank supervision activities.
Dave’s peers presented him with the Department’s “Lifetime Achievement Award” in June 2004, in recognition
of his passion for professionalism and expertise in banking and for his leadership, commitment and outstanding
accomplishments during his service, which significantly contributed to the success of the Department in meeting
its mission of safety and soundness.
We also acknowledge Dave’s wife, Florence Scott, who retired in February 2004 after a 30-year career with
DFI Launches Major Policy Initiative to Reduce
Regulation and Red Tape
Effective July 1, 2004 the Department of Financial Institutions (DFI) will launch a new bank application process.
Department staff has redesigned the application process to eliminate more than one-half of the current process
steps. Testing of the new process on three new applications has reduced the processing time from the date of
application to the date of approval from over 150 days to an average of 43 days. The new application process
has received strong approval from the industry.
2 Monthly Bulletin June 2004
During July 2004 the Department will be implementing a web-based application process for Transmitter of
Money Abroad branch applications, agent authorizations, and agent branch office applications. Included in the
new process is the filing of fingerprints via the LiveScan process, thereby automating the entire process. The
new processes will significantly reduce application costs to licensees, and facilitate Department processing of
these applications. A pilot program with four large licensees has been very successful and well received by the
Subsequent to the June 21, 2004 Business, Transportation & Housing Agency Performance Improvement
Initiative presentation for the California Performance Review, the Department launched the strategic plan
implementation schedule to prioritize not only the expert review panel recommendations but to also prioritize
other strategic initiatives and projects, including the establishment of performance measures and targets. During
July, the Department expects to complete the strategic plan implementation schedule and launch the
2004-05 Assessment Due
Remit Fees to DFI by EFT Payment
Assessment invoices were mailed to the following licensees on June 30, 2004. This is the second year that
licensees may remit payments by electronic funds transfer (EFT). This enables us to better manage its funds by
reducing or eliminating costly and time-consuming manual processes. Please refer to the cover letter and
assessment invoice for more information about this payment option or contact Eli Karam at (415) 263-8525 or
by e-mail at email@example.com.
Banks, Foreign Banks and Trust Companies
For the purposes of this assessment, the base rate is being set at $1.35. An increase in the asset base and the
return of the loan to the General Fund have allowed the base rate to remain unchanged from 2003. Invoices
were mailed to each licensee on June 30, 2004 and become delinquent if not paid by July 20, 2004. The
statutory maximum rate is $2.20 per thousand dollars of total assets.
The assessment rate for industrial banks this year at $0.80231 per thousand dollars of total assets is unchanged
from the previous fiscal year ended June 30, 2003. Invoices were mailed to each licensee on June 30, 2004 and
become delinquent if not paid by July 20, 2004. Insurance premium finance companies will be assessed on
November 30, 2004. The statutory maximum rate is $2.20 per thousand dollars of total assets.
The 2004-05 assessment rate was reduced to $0.647282343 from last year’s rate of $0.747282343 per
thousand dollars of total assets. Invoices were mailed to each licensee on June 30, 2004 and become delinquent
if not paid by July 20, 2004. The statutory maximum rate is $2.20 per thousand dollars of total assets.
3 Monthly Bulletin June 2004
DFI Collecting Data for 27th Annual Executive
Officer and Director Compensation Survey
Forms for the 27th Annual Executive Officer and Director Compensation Survey as of June 30, 2004 were
mailed to the CEOs of all state-chartered banks, industrial banks and national banks headquartered in California
as of that date. Recipients are asked to respond by August 1, 2004 so the results can be compiled into a
summary report that will be mailed to participating banks in the fall. If you do not receive your forms, please
contact Patrick Carroll at (415) 263-8559 or by e-mail at firstname.lastname@example.org.
The survey results for the 26th Annual Executive Officer and Director Compensation Survey as of June 30,
2003 as well as the forms for the 2004 survey that were recently mailed are now available from the DFI Web
site at: http://www.dfi.ca.gov/execsum/default.asp.
Commercial Bank Activity
Beach Business Bank
1230 Rosecrans Avenue, Manhattan Beach, Los Angeles County, CA 90266
(310) 536-2270; (310) 943-3314 Fax
Web site: www.beachbusinessbank.com
Officers: Robert M. Franko, President & Chief Executive Officer
Melissa Lanfre, Senior Vice President & Chief Financial Officer
Philip J. Bond, Vice President & Chief Credit Officer
Charter Oak Bank (Name changed from Wine Country Bank on 6/14/04)
1739 Trancas Street, Napa, Napa County, CA 94558
Correspondent: Grace Wickersham
Carpenter & Company
Five Park Plaza, Suite 950
Irvine, CA 92614-8527
First Standard Bank
1000 Wilshire Boulevard, Suite 100, Los Angeles, Los Angeles County
Correspondent: Maryam Hamzeh
Carpenter & Company
5 Park Plaza, Suite 950
Irvine, CA 92614
Phone: (949) 261-8888
4 Monthly Bulletin June 2004
New Bank (Continued)
First Vietnamese American Bank
8341 Westminster Boulevard, Westminster, Orange County
S. Alan Rosen, Esq.
Horgan, Rosen, Beckham & Coren, LLP
23975 Park Sorrento, Suite 200,
Calabasas, CA 91302
Dr. Hieu T. Nguyen
14636 Via El Camino
Baldwin Park, CA 91706
Bank of Orange County, Orange, with and into Placer Sierra Bank, Auburn
Hacienda Bank, Santa Maria, with and into Heritage Oaks Bank, Paso Robles
Trust Bank, Monterey Park, a federal savings association, with and into East-West Bank, San Marino
Western Financial Bank, Irvine, to convert from a federal savings bank to a state-chartered bank under the
name Western Financial Bank
Sale of Partial Business Unit
CNA Trust Corporation, Costa Mesa to sell a partial business unit to Union Bank of California, N.A., San
5 Monthly Bulletin June 2004
Acquisition of Control
BancWest Corporation, Honolulu, Hawaii, and BNP Paribas, Paris, France, to acquire control of Union Safe
Deposit Bank, Stockton
Brian K. Garrett, to acquire control of Community Bank of the Bay, Oakland
North Valley Bancorp, Redding to acquire control of Yolo Community Bancorp, Woodland
Change of Name
Bay Business Bank (In Organization) to Bay Commercial Bank (In Organization)
First International Bank to San Diego Community Bank
Savings and Loan Association Activity
Conversion to Federal Charter
Malaga Bank, S.S.B. Palos Verdes Estates, converted to a federal savings bank
Premium Finance Company Activity
New Premium Finance Company
Commonwealth Premium Financing, Inc.
13750 Pipeline Ave., Chino, San Bernardino County
Mutual Credit Corporation
1620 N. Placentia Ave., Suite 210, Placentia, Orange County
Monarch Premium Resources, Inc.
25291 Via Piedra Roja, Laguna Niguel, Orange County
6 Monthly Bulletin June 2004
Premier Financing Corp.
120 West Bonita Avenue, Suite 201-E, San Dimas, Los Angeles County
Change of Name
Great American Premium Finance Corp. to Pacific Security Premium Finance Crop.
Foreign (Other Nation) Bank Activity
Purchase of Partial Business Unit
Liu Chong Hing Bank, Ltd., to acquire and assume certain assets and liabilities of the San Francisco depositary
agency of Chekiang First Bank, Limited
Discontinuance of Office
Banco Do Brasil, S.A.
811 Wilshire Boulevard, Los Angeles, Los Angeles County (Representative Office)
Chekiang First Bank, Limited
360 Pine Street, San Francisco, San Francisco County (Depositary Agency)
Foreign (Other State) Bank Activity
American Trust and Savings Bank
101 South Ellsworth Avenue, 2nd Floor, San Mateo, San Mateo County (Facility – Insured Bank)
Discontinuance of Facility
Fleet National Bank (Facility – Insured Bank)
435 Tasso Street, Suite 250, Palo Alto, Santa Clara County
7 Monthly Bulletin June 2004
Credit Union Activity
Buena Park City Employees Federal Credit Union, Buena Park, into Orange County’s Credit Union, Santa Ana
Sagrado Corazon Federal Credit Union, San Jose, into Valley Credit Union, San Jose
Unocal Federal Credit Union, El Segundo, into Wescom Credit Union, Pasadena
Verizon Employees Federal Credit Union, Los Alamitos, into Orange County’s Credit Union, Santa Ana
Change of Name
America’s Choice Credit Union to change its name to My Credit Union
Placer Credit Union to change its name to Placer Community Credit Union
Field of Membership
Eleven credit unions received approvals to add 40 new fields of membership during May 2004.
Five credit unions received approval for five bylaw amendments during May 2004.
Two credit unions received two statutory approvals during May 2004.
One credit union received an approval for a request for variance to sections of the California Code of
Regulations during May 2004.
8 Monthly Bulletin June 2004
Payment Instrument Activity
New Payment Instrument
Navicert Financial Inc.
17019 Kingsview Avenue
Carson, CA 90746
Commissioner of Financial Institutions
Bulletin for Month ended
June 2004, issued pursuant
to Financial Code, Section 258
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