. . . .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, 2004 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 2004. In This Issue: Notice Regarding Guidance on Single Premium Credit Related Insurance on Mortgage Loans Important Announcement for Georgia State-Chartered Credit Unions Money Service Businesses - Overview & BSA/AML Issues for Financial Institutions Reminder Regarding Distribution of Department Bulletins, Notices, and Important Announcements to Regulated Financial Institutions 1 APPLICATIONS FOR NEW FINANCIAL INSTITUTION FINANCIAL INSTITUTION Hamilton State Bank 6323 Grand Hickory Drive Suite 100-G Braselton, GA 30517 Gwinnett County CAPITALIZATION APPROVAL DATE $ 10,000,000 Pending BEGIN BUSINESS DATE Georgia Trust Bank 2685 Mall of Georgia Boulevard Buford, GA 30519 Gwinnett County $ 10,000,000 Pending American United Bank 1800 Old Norcross Road Lawrenceville, GA 30044 Gwinnett County $ 10,000,000 Pending State Bank and Trust Company 321 Fullington Avenue Pinehurst, GA 31070 Dooly County $ 7,000,000 Pending Community Bank of Rockmart 1400 Nathan Dean Parkway Rockmart, GA 30153 Polk County $ 6,000,000 Pending Tifton Banking Company 729 West Second Street Tifton, GA 31974 Tift County $ 7,000,000 06-14-2004 Local Bank of Middle Georgia 306-308 North Davis Drive Warner Robins, GA 31093 Houston County PREVIOUS NAME HeritageBank of the South $ 7,000,000 06-28-2004 FINANCIAL INSTITUTION CONVERSIONS CONVERTED TO HeritageBank of the South APPROVAL DATE Pending Albany Dougherty County EFFECTIVE DATE 2 PREVIOUS NAME The Gordon Bank CONVERTED TO The Gordon Bank Gordon Wilkinson County APPROVAL DATE 06-23-2004 EFFECTIVE DATE APPLICATIONS TO ESTABLISH A BRANCH OFFICE FINANCIAL INSTITUTION Integrity Bank Alpharetta BRANCH OFFICE Cobb Branch Office 1650 Cumberland Parkway APPROVAL DATE 04-14-2003 Smyrna, GA 30080 Cobb County BEGIN BUSINESS DATE 06-21-2004 Flag Bank Atlanta Glenda Trace Branch Office 90 Glenda Trace, Suite M Atlanta, GA 30265 Fulton County 06-07-2004 SunTrust Bank Atlanta Acworth Branch Office 3340 Cobb Parkway Acworth, GA 30101 Cobb County 06-23-2004 SunTrust Bank Atlanta Kent Square Branch Office 220 South Main Street Blacksburg, VA 24060 Montgomery County Pending SunTrust Bank Atlanta Julington Creek Branch Office 2730 Race Track Road Jacksonville, FL 32259 Duval County 06-21-2004 SunTrust Bank Atlanta La Plata Safeway Branch Office 40 Shining Willow Way La Plata, MD 20646 Charles County 06-18-2004 SunTrust Bank Atlanta The Villages of Sumter Branch Office 2365 Parr Drive The Villages, FL 32162 Sumter County 06-21-2004 3 FINANCIAL INSTITUTION SunTrust Bank Atlanta Hamilton State Bank (I.O.) Braselton Georgia Trust Bank (I.O.) Buford Community Bank & Trust Cornelia Main Street Bank Covington Douglas County Bank Douglasville Farmers & Merchants Bank Eatonton Southern Community Bank Fayetteville BRANCH OFFICE James Wood Branch Office 1738 Amherst Street Winchester, VA 22601 Frederick County Hall County Branch Office 441-A E. E. Butler Parkway Gainesville, GA 30501 Hall County Kennesaw Branch Office 3401 George Busbee Parkway Kennesaw, GA 30144 Cobb County BancoLatino Branch Office 1216 Aviation Boulevard Suite 116 Gainesville, GA 30501 Hall County Crossville Road Branch Office 525 East Crossville Road Roswell, GA 30075-3034 Fulton County Dallas Branch Office 519 Hardee Street Dallas, GA 30132 Paulding County Lake Oconee Parkway Branch Office 1011 Lake Oconee Parkway, NE Eatonton, GA 31024 Putnam County Kroger Store #413 Branch Office 10375 Tara Boulevard Jonesboro, GA 30236 Clayton County 4 APPROVAL DATE Pending BEGIN BUSINESS DATE Pending Pending 12-09-2003 06-04-2004 02-21-2003 06-14-2004 03-24-2004 06-01-2004 06-08-2004 10-09-2003 06-21-2004 FINANCIAL INSTITUTION SunTrust Bank Atlanta APPLICATIONS TO CHANGE LOCATION CHANGE LOCATION OF Rouse Tower Branch Office From: 6060 Jefferson Avenue Newport News VA 23666 To: New Market South Branch Office 5211 West Mercury Boulevard Hampton VA 23605 APPROVAL DATE EFFECTIVE DATE 06-03-2004 06-14-2004 Appalachian Community Bank Ellijay Blue Ridge Branch Office From: 2835 Scenic Drive Blue Ridge GA 30513 Fannin County To: 150 Orvin Lance Connector Blue Ridge GA 30513 Fannin County 06-14-2004 PROPOSED NAME Alcovy Banking Company APPLICATIONS FOR RESERVATION OF A NAME COUNTY Walton County APPLICANT Mr. John B. Kline Principal Mauldin & Jenkins, LLC P. O. Box 724888 Atlanta, GA 31139-1888 Enterprise State Bank FINANCIAL INSTITUTION (SURVIVOR) Bank of North Georgia Alpharetta Wilcox County Mr. Michael N. White Attorney Martin Snow, LLP P. O. Box 1606 Macon, GA 31202 FINANCIAL INSTITUTION MERGERS MERGED INSTITUTION Mountain National Bank Tucker APPROVAL DATE 06-25-2004 EFFECTIVE DATE Bank of North Georgia Alpharetta Charter Bank & Trust Co. Marietta 06-25-2004 Atlanta City Employees Credit Union Atlanta Wheat Street Church Federal Credit Union Atlanta 06-15-2004 Georgia Federal Credit Union Atlanta 5 Educator's Credit Union Athens 06-09-2004 FINANCIAL INSTITUTION (SURVIVOR) United Community Bank Blairsville MERGED INSTITUTION 1st Community Bank Fairburn APPROVAL DATE 05-27-2004 EFFECTIVE DATE 06-01-2004 Gainesville Bank & Trust Gainesville Lumpkin County Bank Dahlonega Pending Gainesville Bank & Trust Gainesville Southern Heritage Bank Oakwood Pending 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 Piedmont Bancshares, Inc. Atlanta, GA Piedmont Bank of Georgia Atlanta, GA 06-28-2004 PCNB Bancshares, Inc. Bremen, GA Peoples Community National Bank (IO) Bremen, GA Pending Flint River Bancshares, Inc. Camilla, GA Flint River National Bank (IO) Camilla, GA 06-09-2004 NSB Holdings, Inc. Macon, GA New Southern Bank Macon, GA 06-09-2004 ACQUISITIONS SunTrust Banks, Inc. Atlanta, GA National Commerce Financial Corporation Memphis, TN Pending ABC Bancorp Moultrie, GA Citizens Bank Wakulla Crawfordville, FL Pending Upson Bankshares, Inc. Thomaston, GA CITY Loganville Lawrenceville Kennesaw Decatur Garden City Atlanta 6 The First National Bank of Polk County Cedartown, GA 06-08-2004 CHECK CASHER LICENSES ISSUED APPLICANT NAME Choi, Jae-Wang EK Financial Services, LLC JDW Financial Services, Inc. Lakewood Avenue Pawn Shop, Inc. Port City Pawn Shop, Inc. Premium Enterprise, Inc. TRADE NAME EZ Check Cash EK Financial Services JDW Financial Services, Inc. Candler Road Pawn Shop Port City Pawn Buy Low Supermarket MONEY TRANSMITTER ITC Financial Licenses, Inc. West Point, GA MONEY TRANSMITTER LICENSES ISSUED APPROVAL DATE 06-09-2004 NOTICES Notice Regarding Guidance on Single Premium Credit Related Insurance on Mortgage Loans The Department issued guidance on October 3, 2003 regarding the avoidance of predatory or abusive mortgage lending practices. Included in these guidelines were certain guidelines related to the use of single premium credit related insurance on mortgage loans. It was indicated in this guidance that the Department would reassess our position on this product by June 30, 2004. It was our observation that certain structural barriers to the use of monthly payment products were in place, including data processing impediments and insurance regulatory restrictions on the use of monthly payment products on balloon payment loans. These structural barriers remain in place and will continue to be monitored. The guidelines established in our Memorandum of October 3, 2003 will continue to remain in place, until further notice. Banks that offer this product should continue to follow the best practices outlined in our Memorandum and should comply with the provisions of HOEPA in offering this product to bank customers. These guidelines do not constitute an endorsement of this product by the Department of Banking and Finance. We do note from our conversations with financial institution management that customers continue to request these products in cases where alternative products may not be available to the customer due to underwriting and other issues. If there are any questions concerning these issues, please contact Senior Deputy Commissioner George A. Reynolds at (770) 986-1629. Important Announcement for Georgia State-Chartered Credit Unions On June 11, 2004, the Department issued an important announcement that applies to Georgia state-chartered credit unions' fields of membership. The announcement and the related Attorney General Opinion can be found on the Department's website at: http://www.gadbf.org/pdfdoc/CUAnnouncement6112004.pdf. Money Service Businesses - Overview & BSA/AML Issues for Financial Institutions The Department has made available on its website an MS PowerPoint presentation that provides the following information: z Discusses the Department's responsibilities for supervising and licensing certain Money Service Businesses (MSBs) - i.e. check cashers, check sellers, and money transmitters. z Provides an overview of the Georgia laws & regulations governing MSBs. z Discusses how financial institutions can assist the Department through their assessment of risk and enhanced due diligence activities. z Provides general guidance in regards to assessing these types of customers. 7 The presentation can be found on the Department's website at: http://www.gadbf.org/docs/MSBPresentation2004.ppt. Reminder Regarding Distribution of Department Bulletins, Notices, and Important Announcements to Regulated Financial Institutions Because the Department's bulletins, notices and important announcement are only sent out electronically, it is very important that the Department obtains and keeps current e-mail addresses on the financial institutions it regulates so that this information can be communicated timely and efficiently. E-mail addresses would also be utilized in the event that the Department has to invoke its Business Resumption / Disaster Recovery Plan. E-mail addresses are obtained for the sole purpose of communicating with regulated institutions not for sharing outside of the Department. If you have not already provided the Department with a current and valid e-mail address for monthly bulletin alerts, special bulletins, and other important announcements, please e-mail the Corporate Division at DBFCORP@dbf.state.ga.us and provide your institution's name, city, state, e-mail address, and a phone number at which you can be contacted. BACK TO TOP 8