Full text of H.2 Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received : February 5, 1977

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

ANNOUNCEMENT BY
BOARD OF GOVERNORS
OF THE
FEDERAL RESERVE SYSTEM
(H.2, 1977 No. 6)
Actions of the Board; Applications and Reports
Received During the Week Ending February 5, 1977
ACTIONS OF THE BOARD
Statement by Chairman Arthur F. Burns before the House
Committee on Banking, Finance, and Urban Affairs on the
condition of the national economy and the course of
monetary policy.
Statement by Vice Chairman Stephen S. Gardner, before the
Commerce, Consumer and Monetary Affairs Subcommittee of
the Committee on Government Operations and the Financial
Institutions Supervision, Regulation and Insurance Subcommittee of the Committee on Banking, Finance and Urban
Affairs, United States House of Representatives commenting
on the General Accounting Office report on Federal bank
supervision.
Proposed bill sent to Congress that would: Create a Federal
Bank Examination Council; Provide for emergency take-over
provisions in the Bank Holding Company Act comparable to
those existing in the Bank Merger Act; Provide for multiState acquisitions by bank holding companies in certain
extraordinary emergency situations, and help prevent or
correct problem bank situations.
Studies, report by the Board's staff on the effects that
the payment of interest on demand balances may have on
depositors, banks, other depository insitutions, and on
monetary conditions and the economy generally; report
sent to Senate and House Banking Committees.
Annual Report to Congress on Equal Credit Opportunity Act
for the year 1976.
Report on bill H.R. 1901, a bill which, among other provisions, extends until June 1, 1977, the present authority
of Federal regulatory agencies to administer the interest
rate ceilings on small denomination time and savings deposits; letter to Congressman St. Germain.




H.2, 1977 No. 6

- 2ACTIONS OF THE BOARD-Continued

Ameribanc, Inc., St. Joseph, Missouri, extension of time
to May 5, 1977, within which to consummate the acquisition of Peoples State Bank, Spickard, Missouri. 1/
Commonwealth National Corporation, Boston, Massachusetts,
extension of time to December 21, 1977, within which to
fulfill two capital commitments. 1./
Estate of James Millikin, Deceased, Decatur, Illinois, extension of time to May 5, 1977, within which to acquire
55 per cent of the voting shares of The Millikin National
Bank of Decatur, Decatur, Illinois. 1/
Millikin Bancshares, Inc., Decatur, Illinois, extension of
time to May 5, 1977, within which to acquire 100 per cent
of the voting shares (less directors' qualifying shares)
of the successor by merger to The Millikin National Bank
of Decatur, Decatur, Illinois. If
Northeast United Bancorp, Inc. of Texas, Fort Worth, Texas,
extension of time to May 17, 1977, within which to consummate the acquisition of First State Bank, Bedford,
Texas. 1/
Peoples Savings Bank of New York, Yonkers, New York, proposed merger with Westchester County Savings Bank,
Tarrytown, New York, report to the Federal Deposit Insurance Corporation on competitive factors. 1/
Security Bank and Trust Company, Southgate, Michigan, to
make an investment in bank premises. 1/
SYB Corporation, Oklahoma City, Oklahoma, extension of time
to April 6, 1977, within which to consummate the acquisition of 80 per cent or more of the voting shares of
Stock Yards Bank, Oklahoma City, Oklahoma. If

1J

Application processed on behalf of the Board of Governors under delegated
authority.




H.2, 1977 No. 6

- 3 ACTIONS OF THE BOARD-Continued

To Establish a Domestic Branch Pursuant to Section
9 of the Federal Reserve Act
Approved
The First-Mason Bank, Mason, Ohio. Branch to be established at the intersections of U.S. Rt. 22, State Rt. 3
and Columbia Road, Deerfield Township, Warren County. 2/
American Bank of Orange County, Orlando, Florida. Branch
to be established at the Southwest Corner of the intersection of Silver Star Road and Pine Hills Road. 2]
The De Kalb Bank, De Kalb, Illinois. Branch to be established at the intersection of Sycamore Road and Dresser
Road, De Kalb. 2/
Commerce Bank of Lebanon, Lebanon, Missouri. Branch to
be established at Jefferson Avenue and Old Highway 66,
Conway, Laclede County. 2/
Walker Bank & Trust Company, Salt Lake City, Utah. Branch
to be established at 2100 South 3600 West, Salt Lake
City. 2/
* * * * *

To Withdraw from Membership in the Federal Reserve
System Without a Six-Month Notice as Prescribed by
Section 9 of the Federal Reserve Act
Denied
First State Bank, Dumas, Texas. 2/
* * * * *

International Investments and Other Actions Pursuant
to Sections 25 and 25(a) of the Federal Reserve Act
and Sections 4(c)(9) and 4(c)(13) of the Bank Holding
Company Act of 1956, as amended
Approved
Morgan Guaranty International Bank of Miami:
ance of final permit to commence business.

re - issu-

2? Application processed by the Reserve Bank on behalf of the Board of
Governors under delegated authority.



ACTIONS OF THE BOARD-Continued
Royal Trust Company, Montreal, Canada: re - Control
of Infomation Systems Design, Inc., Oakland, California,
after sale thereof.
Bank of America N.T. and S.A.: re - investment - Additional in International Mexican Bank Limited, London.
* * * * *

To Form a Bank Holding Company Pursuant to Section
3(a)(1) of the Bank Holding Company Act of 1956
Denied
Great Southwest Ban Corp., Inc., Dodge City, Kansas, for
approval to acquire 80 per cent or more of the voting
shares of Bank of the Southwest, Dodge City, Kansas. The
Section 4(c)(8) application for permission to continue to
engage on Bank's premises in the sale of credit life,
accident, and health insurance hereby becomes moot.
Approved
Dunn Shares, Inc., Eagle Grove, Iowa, for approval to
acquire 51.33 per cent or more of the voting shares of
Security Savings Bank, Eagle Grove, Iowa, l]
* * * * *

To Expand a Bank Holding Company Pursuant to Section
3(a)(3) of the Bank Holding Company Act of 1956
Approved
T.N.B. Financial Corp., Springfield, Massachusetts, for
approval to acquire 100 per cent of the voting shares
(less directors' qualifying shares) of the successor by
merger to The First National Bank of Athol, Athol, Massachusetts. 2/
Fort Sam Houston BankShares, Incorporated, San Antonio,
Texas, for approval to acquire 100 per cent of the voting
shares (less directors' qualifying shares) of the successor by merger to Northern Hills Bank of San Antonio, San
Antonio, Texas. 2/
2/ Application processed by the Reserve Bank on behalf of the Board of
Governors under delegated authority.



H.2, 1977 No. 6

- 5 ACTIONS OF THE BOAKD-Continued

To Expand a Bank Holding Company Pursuant to Section
4(c)(8) of the Bank Holding Company Act of 1956
Withdrawn
Binger Agency Inc., Binger, Oklahoma, notification of
intent to engage in de novo activities (provision of
bookkeeping and data processing services and processing
other banking, financial, or related financial data on a
fee contract basis to businesses, banks and individuals)
at 101 West Main Street, Hinton, Oklahoma, through a
subsidiary, Binger Agency Data Processing Center (2/4/77)
2/
Delayed
Chemical New York Corporation, New York, New York, notification of intent to engage in de novo activities (operating as an industrial bank in the manner authorized by
the laws of the State of Colorado including: making
direct loans, purchasing sales finance contracts and such
other extensions of credit as would be made or acquired
by an industrial bank; providing, at the election of
debtors of said industrial bank, group credit life and
group accident and health insurance directly related to
such extensions of credit; and receiving time savings
deposits) at 2779 Canyon Boulevard, Boulder, Colorado,
through its subsidiary, Sunamerica Corporation and its
subsidiary, Sun Finance and Loan Company (1/27/77) 3/
Permitted
United Penn Corporation, Wilkes Barre, Pennsylvania, notification of intent to engage in de novo activities (making loans under the Pennsylvania Consumer Discount Company
Act up to $5,000.00; and the sale of credit insurance
(life, health and disability insurance) which is directly
related to such consumer loans) at 69 North Market Street,
Nanticoke, Pennsylvania, through a subsidiary, Valley
Consumer Discount Company (1/31/77) 3/
United Virginia Bankshares Incorporated, Richmond, Virginia,
notification of intent to engage in de novo activities
(leasing personal property and equipment and in connection
with such activity, making extensions of credit through
conditional sales contracts and acting as agent, broker,
or adviser in leasing such property under such circumstances and making loans and other extensions of credit
by financing installment sales agreements; making loans
and other extensions of credit secured by a security in3/

4(c)(8) and 4(c)(12) notifications processed by Reserve Bank on behalf
of the Board of Governors under delegated authority.




H.2, 1977 No. 6

- 6 ACTIONS OF THE BOARD-Continued

terest in personal property and equipment; and purchasing
and selling leases of and installment sales agreements
and debt obligations relating to personal property and
equipment all as would be done by a commercial finance
company) at 900 East Main Street, Richmond, Virginia,
through its subsidiary, United Virginia Leasing Corporation (2/3/77) 3/
Flagship Banks Inc., Miami Beach, Florida, notification of
intent to engage in de_ novo activities (acting as agent
for the sale of credit life and credit accident and
health insurance that is directly related to extensions
of credit by the bank holding company and/or its banking
and nonbanking subsidiaries) in St. Petersburg, Hialeah,
Miami, Coral Gables, Arcadia, Tampa, Lutz, Zephyrhills,
Mulberry, Fort Meade, Ormond Beach, Crescent City,
Orlando, Tavares, Sanford, Kissimmee, Titusville,
Melbourne, Tallahassee, Fort Myers, Punta Gorda, Boynton
Beach, Okeechobee, West Palm Beach, Jacksonville, Davenport, Lake Alfred and Haines City, all in Florida, through
a subsidiary, Seaforth Inc. (2/5/77) 3J
The First National Bancorporation, Inc., Denver, Colorado,
notification of intent to engage in de novo activities
(acting as agent for the sale of credit life, credit
accident and health insurance on borrowers who have been
extended credit by a bank or bank-related firm which is a
member of The First National Bancorporation, Inc. system)
at The First National Bank of Montrose, 400 Main Street,
Montrose, Colorado, through a subsidiary, First Denver
Insurance Agency, Inc. (1/31/77) 3/
United Banks of Colorado, Inc., Denver, Colorado, notificacation of intent to relocate de novo activities (a mortgage banking business limited to the origination and
closing of real estate mortgage loans) from 102 North
Cascade Avenue, Colorado Springs, Colorado to 1614 North
Academy Boulevard, Colorado Springs, Colorado, through a
subsidiary, United Mortgage Company (2/4/77) 3/
Approved
Security Bancorp, Inc., Southgate, Michigan, for approval
to expand the activities of its subsidiary, United
Bankers Life Insurance Company, Phoenix, Arizona.
Hawaii Bancorporation, Inc., Honolulu, Hawaii, for approval
to acquire shares of Resource Financial Corp., Honolulu,
Hawaii.
J3/ 4(c)(8) and 4(c)(12) notifications processed by Reserve Bank on behalf
of the Board of Governors under delegated authority.



- 7 -

H.2, 1977 No. 6




APPLICATIONS RECEIVED
To Establish a Domestic Branch Pursuant to Section
9 of the Federal Reserve Act
Bank of Buckingham, Dillwyn, Virginia. Branch to be
established at Routes 15 and 727, Arvonia.
*

* * * *

To Form a Bank Holding Company Pursuant to Section
3(a)(1) of the Bank Holding Company Act of 1956
First Bancshares of Kirksville, Inc., Kirksville, Missouri,
for approval to acquire at least 80 per cent of the
voting shares of First National Bank, Kirksville,
Missouri.
Montbello Bankcorp, Inc., Denver, Colorado, for approval
to acquire 80 per cent or more of the voting shares of
Montbello State Bank, Denver, Colorado.
Torrington National Company, Torrington, Wyoming, for approval to acquire 100 per cent of the voting shares of
First National Bank, Torrington, Torrington, Wyoming.
Union State Bancshares, Inc., Clinton, Missouri, for approval to acquire 80 per cent or more of the voting
shares of Union State Bank of Clinton, Clinton, Missouri.
Wilber Co., Wilber, Nebraska, for approval to acquire
100 per cent (less directors1 qualifying shares) of the
voting shares of Saline State Bank, Wilber, Nebraska.
* * * * *

To Expand a Bank Holding Company Pursuant to Section
3(a)(3) of the Bank Holding Company Act of 1956
Lincoln National Company, Bala Cynwyd, Pennsylvania, for
approval to acquire 9.9 per cent of the voting shares of
The Bryn Mawr Trust Company, Bryn Mawr, Pennsylvania.

H.2, 1977 No. 6




- 8 APPLICATIONS RECEIVED-Cont inued

Central Wisconsin Bankshares, Inc., Wausau, Wisconsin, for
approval to acquire 77 per cent or more of the voting
shares of Eagle River State Bank, Eagle River, Wisconsin.
Banker Agency, Inc., Mohall, North Dakota, for approval to
acquire an additional 56 per cent of the voting shares of
The Citizens State Bank at Mohall, Mohall, North Dakota.
Northwest Bancorporation, Minneapolis, Minnesota, for approval to acquire 90 per cent or more of the voting
shares of First National Bank, Fort Dodge, Iowa, Fort
Dodge, Iowa.
Texas Commerce Bancshares, Inc., Houston, Texas, for approval to acquire 100 per cent of the voting shares
(less directors' qualifying shares) of Southern Bank
and Trust Company, Garland, Texas.
Texas Commerce Bancshares, Inc., Houston, Texas, for approval to acquire 100 per cent of the voting shares
(less directors1 qualifying shares) of Tanglewood
Commerce Bank, Houston, Texas, a proposed new bank.
* * * * *

To Expand a Bank Holding Company Pursuant to Section
3(a)(5) of the Bank Holding Company Act of 1956
FrostBank Corporation, San Antonio, Texas, for approval
to merge with Cullen Bankers, Inc., Houston, Texas.
* * * * *

To Expand a Bank Holding Company Pursuant to Section
4(c)(8) of the Bank Holding Company Act of 1956
New Jersey National Corporation, Trenton, New Jersey,
notification of intent to relocate de novo activities
(making, acquiring, selling, and servicing for its own
account or the account of others, loans and other extensions of credit principally secured by mortgages and
such incidental activities as are necessary to carry on

H.2, 1977 No. 6

- 9 APPLICATIONS RECEIVED-Cont inued

the activities specified) from Marlton Pike and Sawmill
Road, Cherry Hill, New Jersey to The Washington Square
Professional Building, Black Horse Pike and Fries Mill
Road, Turnersville, New Jersey, through its subsidiary,
Underwood Mortgage and Title Company (1/31/77) 3/
Mercantile Bankshares Corporation, Baltimore, Maryland,
notification of intent to engage in cte novo activities
(making or acquiring, for its own account and for the
account of others, loans and other extensions of credit
such as would be made by a mortgage company) at One Plaza
East, Main and Division Streets, Salisbury, Maryland,
through its subsidiary, Mercantile Mortgage Corporation
(1/31/77) 3/
Mercantile Bancorporation Inc., St. Louis, Missouri, notification of intent to engage in de novo activities (making, acquiring, or servicing loans or other extensions of
credit for personal, family, or household purposes such
as are made by a finance company; and insurance agency or
brokerage in connection with selling to consumer finance
borrowers credit life insurance and credit accident and
health insurance) at 1990 Vandalia Avenue, Collinsville,
Illinois, through its wholly-owned subsidiary, Franklin
Finance Company (2/2/77) 3/
BankAmerica Corporation, San Francisco, California, notification of intent to engage in de novo activities (making
or acquiring, for its own account loans and other extensions of credit such as would be made or acquired by a
finance company and servicing loans and other extensions
of credit; such activities will include, but not be limited to, making consumer installment loans and other
extensions of credit to small businesses, and making
loans secured by real and personal property; acting as
agent or broker for the sale of credit related life and
credit related accident and disability insurance and
credit related property insurance in connection with
extensions of credit made or acquired by FinaneeAmerica
Corporation) at 520 North Madison Avenue, Greenwood,
Indiana, through its subsidiary, FinanceAmerica Corporation (an Indiana Corporation), a subsidiary of FinanceAmerica Corporation (1/28/77) 3/
37 4(c)(8) and 4(c)(12) notifications processed by Reserve Bank on behalf
of the Board of Governors under delegated authority.




H.2, 1977 No. 6

- 10 APPLICATIONS RECEIVED-Cont inued

BankAmerica Corporation, San Francisco, California, notification of intent to engage in de novo activities (making or acquiring, for its own account loans and other
extensions of credit such as would be made or acquired by
a finance company and servicing loans and other extensions
of credit; such activities will include, but not be
limited to, making consumer installment loans, purchasing
installment sales finance contracts, making loans and
other extensions of credit to small businesses, and
making loans secured by real and personal property;
acting as agent or broker for the sale of credit related
life and credit related accident and disability insurance,
and credit related property insurance in connection with
extensions of credit made or acquired by FinanceAmerica
Corporation) at 6910G Montgomery Boulevard N.E.,
Albuquerque, New Mexico, through its subsidiary, FinanceAmerica Corporation (a New Mexico Corporation), a subsidiary of FinanceAmerica Corporation (1/28/77) 3/
BankAmerica Corporation, San Francisco, California, notification of intent to engage in de novo activities (making or acquiring, for their own account extensions of
credit such as would be made or acquired by a finance
company; FinanceAmerica Corporation will engage in making
consumer installment loans and other extensions of credit
to small businesses and loans secured by real or personal
property; FinanceAmerica Industrial Plan Inc. will engage
in purchasing installment sales finance contracts; both
corporations will engage in servicing loans and other
extensions of credit; and will act as agent or broker for
the sale of credit related life and credit related accident and disability insurance, and credit related property insurance in connection with extensions of credit
made or acquired by FinanceAmerica Corporation or FinanceAmerica Industrial Plan Inc.) at 311 West Street, Tupelo,
Mississippi, through its subsidiaries, FinanceAmerica
Corporation and FinanceAmerica Industrial Plan, Inc.
(Mississippi Corporations), subsidiaries of FinanceAmerica
Corporation (1/28/77) 3/
3/ 4(c)(8) and 4(c)(12) notifications processed by Reserve Bank on behalf
of the Board of Governors under delegated authority.




H.2, 1977 No. 6

- 1 1 -

APPLICATIONS RECEIVED-Continued
To Expand a Bank Holding Company Pursuant to Section
4(c)(12) of the Bank Holding Company Act of 1956
Archer-Daniels-Midland Company, Decatur, Illinois, notification of intent to acquire all the outstanding shares
of New Era Milling Company, Arkansas City, Kansas, indirectly through their wholly-owned subsidiary,
Fleischmann Malting Company, Inc. (1/31/77) 3/
* * * * *

For Certification Pursuant to the Bank Holding Company
Tax Act of 1976
.
The Wachovia Corporation, Winston-Salem, North Carolina,
to divest through sale its wholly-owned subsidiary,
Financial Courier Corporation, Winston-Salem, North
Carolina. (Legal Division Docket TCR 76-132).
* * * * *

REPORTS RECEIVED
None
* * * * *

PETITIONS FOR RULEMAKING
None

3? 4(c)(8) and 4(c)(12) notifications processed by Reserve Bank on behalf
of the Board of Governors under delegated authority.