Inside this issue: Action on 2 Applications for the Month of February Contact 4 Information News and topics of interest to financial institutions regulated by the Department of Banking and Finance Monthly Bulletin #2 February 2011 Georgia Department of Banking and Finance Adopts Final Rules On March 3, 2011, the Department of Banking and Finance adopted Final Rules. They were filed with the Secretary of State on March 3, 2011, and will be effective 20 days following or March 23, 2011. These rules were proposed and distributed on February 1, 2011. No comment letters were received regarding the Proposed Rules. The Department believes these Final Rules encourage safety and soundness, safe and fair mortgage lending, and conform to the law. To view or download the Final Rules on our website, go to Laws and Regulations from our homepage (http://dbf.georgia.gov) and select the appropriate link for the Final Rules OR access them directly from http://dbf.georgia.gov/vgn/images/portal/cit_1210/30/3/168713553DBFAdoptedRules_3-3-2011.pdf In respect to the adopted rule changes, wording in Rule 80-1-5-.01 was removed which appeared to conflict with the provision added at O.C.G.A. 7-1-285(c)(9) during the 2010 legislative session that allows for renewing loans, consistent with safe and sound banking practices, that were within the bank's legal lending limit at origination but which may be outside the bank's legal lending limit at renewal or restructuring. In addition, the requirement in Rule 80-1-10-.09(4) which provides a cap at the actual investment amount of the bank when valuing foreclosed property was removed. Generally Accepted Accounting Principles (GAAP) allows foreclosed assets held for sale, such as other real estate (ORE), to be recorded (transferred from loans to ORE) at the fair value of the asset less the estimated cost to sell as of the acquisition date, the date that the institution receives legal title to or obtains physical possession of the asset. The rule change aligns Department requirements with GAAP. Bank management is cautioned that, even though there will be the possibility of the recognition of gain on a particular transaction, proper valuation with supporting documentation will be essential for recognizing any gain or recovery prior to an actual sale of ORE. DBF Outreach AND UPCOMING SPEAKING ENGAGEMENTS Commissioner Braswell will be on speaking at the Southeastern Community Bank Symposium hosted by the Georgia Bankers Association, along with Georgia Southern University Center for Excellence in Financial Services, on March 23rd in Statesboro, GA. Senior Deputy Commissioner Steve Pleger will be speaking at the NASCUS Board of Directors College on March 23rd at the Atlanta Marriott Marquis, Atlanta, GA. Director for Non-Depository Financial Institutions Sandra Sheley will be participating on a regulatory panel at the Georgia Real Estate Fraud Prevention and Awareness Coalition's 7th Annual Conference on March 9th at the Cobb Galleria Convention Centre, Atlanta, GA. "Safeguarding Georgia's Financial Services" Page 2 Action on Applications for the Month of February: 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 February 2011. APPLICATIONS TO ESTABLISH A BRANCH OFFICE FINANCIAL INSTITUTION SunTrust Bank Atlanta BRANCH OFFICE Uptown Branch Office 600 A. W. Willis Avenue Memphis, TN 38105 Shelby County APPROVAL 12-11-2009 Independence Bank of Georgia Braselton Gainesville Branch Office 311 Green Street NW Suite 100 Gainesville, GA 30501 Hall County 03-08-2010 Community & Southern Bank Carrollton Cumming Branch Office 1700 Market Place Cumming, GA 30041 Forsyth County 02-10-2011 Synovus Bank Columbus St. Marys Branch Office 6308 Georgia Highway 40 East St. Marys, GA 31558 Camden County Pending American Pride Bank Macon North Macon Branch Office 4511 Forsyth Road Macon, GA 31210 Bibb County Pending BEGIN BUSINESS 02-28-2011 02-01-2011 02-22-2011 FINANCIAL INSTITUTION SunTrust Bank Atlanta United Community Bank Blairsville APPLICATIONS TO CHANGE LOCATION From: To: CHANGE LOCATION OF Culpeper Colonnade Branch Office 801 James Madison Highway Culpeper, VA 22701 Culpeper County 15345 Creativity Drive Culpeper, VA 22701 Culpeper County APPROVAL 08-17-2009 From: To: Etowah Branch Office 77 Etowah Drive Etowah, NC 28729 Henderson County 50 United Bank Drive Etowah, NC 28729 Henderson County 02-11-2011 EFFECTIVE 02-07-2011 CHECK CASHER LICENSES ISSUED CITY LaGrange Tifton Tifton Marietta Marietta Rebecca Cordele Columbus Sparta Perry Kennesaw Marietta Augusta APPLICANT NAME Ambalakshmi, Inc. * B & B Investors, Inc. * Dipak Dave EZ & Fast Check Cashing, LLC Eric Nganku * Ghanchi and Dabhi Company, Inc. * Ma Laxmi, Inc. * Money-Rite Auto Pawn of Georgia LLC * Ohm-Shahi-Shriya, Inc. * Rufus C. Little, Sr. Sreekaran, Inc. * Yabba's Bottle Shop, Inc. * Yong Hong TRADE NAME Quick Change BP 59 Gen-Earl Store A & N Food Store #2 EZ & Fast Check Cashing Easy Check Cashing Rebecca Food Mart US Discount Store CashMax BP Gas Little Bait Tackle & Pawn Yabba's Package Lotto Express * =Registered (O.C.G.A. 7-1-700 et al) Page 3 GEORGIA DEPARTMENT OF BANKING AND FINANCE 2990 Brandywine Road Suite 200 Atlanta, Georgia 30341-5565 Phone: (770) 986-1633 Fax: (770) 986-1654 or 1655 Email: dbfpress@dbf.state.ga.us Page 4 The Department is the state agency that regulates and examines banks, credit unions, and trust companies chartered by the State of Georgia. The Department also has regulatory and/or licensing authority over mortgage brokers/processors, lenders and loan originators, money service businesses, international banking organizations, and bank holding companies conducting business in Georgia. Our Mission is to promote safe, sound, competitive financial services in Georgia through innovative, responsive regulation and supervision. Our Vision is to be the best financial services industry regulator in the country Progressive. Proactive. Service-Oriented. We're on the Web! Visit our website at: dbf.georgia.gov Sign-up to Receive this Publication: This publication is delivered to interested parties via e-mail and is also available from the Department's website at: http://dbf.georgia.gov under Publications, Financial Institutions Bulletin. If you would like to be added to our distribution list, please send an e-mail to dbfpress@dbf.state.ga.us and indicate your name, e-mail address, and the publication to which you wish to subscribe.