. . . .BULLETIN. . . .BULLETIN. . . .BULLETIN. . . .BULLETIN. . . . STATE OF GEORGIA DEPARTMENT OF BANKING AND FINANCE 2990 Brandywine Road, Suite 200 Atlanta, Georgia 30341-5565 DAVID G. SORRELL, COMMISSIONER Phone: (770) 986-1633 Fax: (770) 986-1655 Internet Address: http://www.gadbf.org June 30, 2003 The following is a summary of official action taken on applications by State Financial Institutions under Chapter 7-1 of the Code of Georgia and petitions for Certificate of Incorporation of Financial Institutions and other matters of interest during the month of June 2003. IN THIS ISSUE: NOTICE OF PROPOSED RULEMAKING AND OPPORTUNITY TO COMMENT: JUNE 16, 2003 LICENSING OF MONEY TRANSMITTERS 1 of 7 APPLICATIONS FOR NEW FINANCIAL INSTITUTION FINANCIAL INSTITUTION BEGIN BUSINESS CAPITALIZATION APPROVAL DATE DATE Community Bank of Georgia $ 5,000,000 Pending 692 West Parker Street Baxley, GA 31513 Appling County Lanier Community Bank 4356 South Lee Street Buford, GA 30518 Gwinnett County $ 10,000,000 10-29-2002 06-17-2003 Mountain Heritage Bank US Highway 441S and US Highway 76E Clayton, GA 30525 Rabun County $ 7,000,000 Pending Freedom Bank of Georgia 3165 Maysville Road Commerce, GA 30329 Jackson County $ 7,500,000 Pending 1st Georgia Banking Company 101 Main Street Franklin, GA 30217 Heard County $ 14,000,000 Pending Local Bank of Middle Georgia 532-550 N. Davis Drive Warner Robins, GA 31093 Houston County $ 6,000,000 Pending PREVIOUS NAME Dalton Whitfield Bank FINANCIAL INSTITUTION CONVERSIONS CONVERTED TO APPROVAL DATE FSG Bank, N.A. OCC Approval Dalton Whitfield County EFFECTIVE DATE 06-02-2003 2 of 7 APPLICATIONS TO ESTABLISH A BRANCH OFFICE FINANCIAL INSTITUTION BRANCH OFFICE APPROVAL DATE Flag Bank Suwanee Branch Office 11/24/2000 Atlanta 3855-B John's Creek Parkway Suwanee, GA 30024 Forsyth County BEGIN BUSINESS DATE Withdrawn 06-03-2003 SunTrust Bank Atlanta Westside Village Branch Office 825 Martin Luther King, Jr., Drive, Suite C Atlanta, GA 30314 Fulton County 02-13-2003 06-30-2003 SunTrust Bank Atlanta SunTrust Bank Atlanta SunTrust Bank Atlanta SunTrust Bank Atlanta SunTrust Bank Atlanta SunTrust Bank Atlanta 3 of 7 Loch Raven Branch Office 1610 East Joppa Road Baltimore, MD 21286 Baltimore County University Corner Branch Office 1022 W. Main Street Charlottesville, VA 22903 Charlottesville County Keith Bridge Branch Office 2673 Freedom Parkway Cumming, GA 30041 Forsyth County Smith Mountain Lake Kroger In-Store Branch Office 80 Westlake Road Hardy, VA 24101 Franklin County Brooklyn Riverside Branch Office Park & Stockton Streets Jacksonville, FL 32204 Duval County Parkland Branch Office 5801 W. Hillsborough Boulevard Parkland, FL 33067 06-02-2003 06-16-2003 01-30-2003 Pending 06-02-2003 06-16-2003 06-23-2003 4 of 7 FINANCIAL INSTITUTION Mountain State Bank Dawsonville BRANCH OFFICE Cumming Branch Office 6080 Bethelview Road Cumming, GA 30040 Forsyth County Horizon Bank Decatur Sugarloaf Parkway Branch Office 6340 Sugarloaf Parkway Duluth, GA 30097 Gwinnett County Bank of Eastman Eastman East Greene Street Branch Office 100 East Greene Street Milledgeville, GA 31061 Baldwin County 1st Georgia Banking Company Franklin Bremen Branch Office 102 Stone Bridge Boulevard Bremen, GA 30110 Haralson County 1st Georgia Banking Company Franklin Carrollton Branch Office 100 Tom Reeves Drive Carrollton, GA 30117 Carroll County The Citizens Bank Nashville Bemiss Branch Office 4048 Bemiss Road Valdosta, GA 31605 Lowndes County South Georgia Banking Company Omega Tift Avenue Branch Office 2005 Tift Avenue Tifton, GA 31794 Tift County The Bank of Georgia Peachtree City Kroger Glynn Street Branch Office 805 South Glynn Street Suite 117 Fayetteville, GA 30215 Fayette County APPROVAL DATE 12-09-2002 BEGIN BUSINESS DATE 06-16-2003 12-23-2002 06-11-2003 06-23-2003 Pending Pending 04-24-2002 04-17-2003 06-20-2003 03-28-2003 06-20-2003 APPLICATIONS FOR RESERVATION OF A NAME PROPOSED NAME COUNTY APPLICANT American Southern Bank Fulton County Mr. Benjamin W. Lindsey The Bank Group P. O. Box 591 Roswell, GA 30077 First Coweta Bank Coweta County Ms. Nadine Bethune Paralegal Miller & Martin, LLP 1275 Peachtree Street, 7th Floor Atlanta, GA 30309-3576 Mountain Valley Community Bank White County Mr. Bob Calvert Principal Calvert Consulting 710 Marshview Close Roswell, GA 30076 New Horizons Bank Gilmer County Mr. John W. Stephenson, Jr. Troutman Sanders LLP 600 Peachtree St., Suitre 5200 Atlanta, GA 30308-2216 FINANCIAL INSTITUTION (SURVIVOR) SunTrust Bank Atlanta FINANCIAL INSTITUTION MERGERS MERGED INSTITUTION APPROVAL DATE Lighthouse Community State Bank 06-02-2003 Hilton Head Island, SC EFFECTIVE DATE 06-02-2003 Main Street Bank Covington First Colony Bank Alpharetta 05-29-2003 06-23-2003 Farmers and Merchants Bank Lakeland The United Banking Company Nashville 03-17-2003 06-27-2003 5 of 7 APPLICATIONS TO BECOME A BANK HOLDING COMPANY AND/OR TO ACQUIRE VOTING STOCK OF A FINANCIAL INSTITUTION BANK HOLDING COMPANY TO ACQUIRE APPROVAL DATE FORMATIONS GE Capital Consumer Card Co. (FSB) Mason, OH Monogram Credit Card Bank of Georgia Atlanta, GA 06-09-2003 Alapaha Holding Company Alapaha, GA Bank of Alapaha Alapaha, GA Pending Cornerstone Bancshares, Inc. Atlanta, GA CornerstoneBank Atlanta, GA Pending Piedmont Bancshares, Inc. Atlanta, GA Piedmont Bank of Georgia Atlanta, GA Pending Carver Financial Corporation Savannah, GA The Carver State Bank Savannah, GA 06-26-2003 ACQUISITIONS GB&T Bancshares, Inc. Gainesville, GA First National Bank of the South Milledgeville, GA CITY Tifton Macon Atlanta Lawrenceville College Park CHECK CASHER LICENSES ISSUED APPLICANT NAME Akata, Inc. TRADE NAME Lil' Pantry #8 Hyun, Inc. ABC Liquor Store Myong Hui Enterprises, Inc. J&J Check Cashing Parque, Yung Check Cash Plus Soojeong, Inc. Sun Food Market Pending NOTICES NOTICE OF PROPOSED RULEMAKING AND OPPORTUNITY TO COMMENT: JUNE 16, 2003 On June 16, 2003, the Department of Banking and Finance published a notice of proposed rulemaking to state its intent to adopt new and amended rules and to provide interested parties the opportunity to comment on the proposed rulemaking. A synopsis and purpose precedes each proposed rule, with background information and explanation where applicable. The proposed changes are primarily in response to law changes in the Department's Housekeeping Bill, Senate Bill 78, which was signed by the Governor on June 4, 2003 and effective on July 1, 2003. 6 of 7 You may view or download a copy of the proposed rules from our website at: h ttp ://www.g ad b f.o rg /p d fd o c/Sp ecialBu lletin Pro p o s ed Ru les 6-16-03.p d f Comments must be received by July 21, 2003, at the close of business. The Department shall review all comments, may contact commenters to discuss their suggestions, and after the comment period has closed will prepare the final rules. The Department will consider the proposed new rules for adoption at a meeting at 10:00 a.m. on Monday, July 28, 2003 at the offices of the Department of Banking and Finance at Suite 200, 2990 Brandywine Road, Atlanta, Georgia 30341. Notice and a copy of the final rules adopted will be e-mailed to persons who have made a special request, or made available on our website at http://www.ganet.org/dbf. LICENSING OF MONEY TRANSMITTERS ARTICLE 4 OF CHAPTER 1 OF TITLE 7 SALE OF CHECKS OR MONEY ORDERS During the 2003 legislative session, the Department proposed and the Georgia legislature passed Senate Bill 78 that, among other things, implements licensing requirements for money transmitters (Sections 7-1-680 through 7-1-689.1 of the Official Code of Georgia). The bill will become effective on 7/1/2003. The bill passed in 2003 revises the above Code Sections to establish a requirement for licensing, background checks and a bond for money transmitters. The Department may but is not required to examine these entities. The Department drafted proposed changes to its existing rules and regulations to further clarify and implement the money transmitter requirements. See the notice above regarding proposed rulemaking for further details. Licensing Requirements The implementation of licensing requirements for money transmitters gives the Department the authority to regulate companies that are receiving money for transmission, particularly transmission abroad, and to establish a minimum level of financial responsibility for all entities engaging in the business of receiving money for transmission without regard to the method of tran s mis s io n . In order to engage in money transmission in Georgia, the revised law will require that a person must first obtain a license under the Sale of Check Act (Act). Every person engaged in money transmission activities in Georgia at the time of the effective date of the Act's revision shall file an application in accordance with the provisions of this Act within three months after July 1, 2003. No person shall be deemed to be in violation of the Act for operating without a license if such person files an application within such three-month period, unless and until such application is denied. Persons currently licensed to sell or issue checks or money orders need not apply to conduct money transmission activities, but should notify the Department in writing within the three-month period referenced above if they are conducting money transmission activities. The new licensing requirements refer to money transmission activities that take place in Georgia, whether transmitted within the U.S. or abroad. If a person is receiving money for transmission on behalf of another person or persons, they will need to be licensed. If a person were sending money for their own behalf, they would not need to be licensed. Timing of Application Submission The Department is in the process of preparing application material and other important information that will assist applicants in applying for a license to engage in money transmission activities. Application materials will not be available until July 28, 2003, to allow time for comments on the proposed rulemaking affecting the licensing process. As noted above, applicants will have a three-month "grace period" in which to apply without being in violation of the law. Check our website from time to time for new information about the money transmitter licensing process. Once the application materials are available, they will be posted at the following site: http://www.ganet.org/dbf/other_forms.html. BACK TO TOP 7 of 7