Arkansas
State Bank Department
State Banking Board
Meeting Minutes for
June 5, 2003
(updated August 28, 2003)
A
special meeting of the State Banking Board was held in the conference room of the
Arkansas State Bank Department, 400 Hardin Road, Suite 100, Little Rock,
Arkansas, at 10:00 a.m. on Thursday, June 5, 2003. The following Board Members were present: Vice Chairman David Bartlett, Charles
Mazander, Gus Rusher, David Short, and
Margie Russ. Representing the
State Bank Department were Deputy Commissioners Don R. Clark and Candace
Franks, Management Project Analyst Cynthia Nixon, Administrative Assistants II
Barbara Mahoney and Marilyn Myers, Assistant Chief Examiners Wilks Marshall and
Larry Hillyard, and Senior Commissioned Examiner Richard Plotkin. Lynn Perkins from Bushman Court Reporting
was the recording reporter for the applicants. No one was present from the Attorney General’s office and no
representatives from the media were present.
State Bank Commissioner Frank White called this special
meeting of the State Banking Board.
Notice of the special meeting was sent by regular mail to each member of
the State Banking Board on April 30, 2003.
The notices were also given to the news media in accordance with state
law.
Deputy Commissioner Candace Franks opened the
meeting. Secretary Don R. Clark
declared a quorum was present. Deputy
Commissioner Franks asked the visitors and guest to stand and introduce
themselves and state whom they represent.
She then turned the meeting over to Vice Chairman David Bartlett. Mr. Bartlett commented on the untimely death
of Bank Commissioner Frank White. He
then recognized Margie Russ as our new member of the State Banking Board. He then introduced Bunny Adcock who will be
replacing Commissioner White.
First on the agenda was consideration of the Minutes of
the May 1, 2003, Special Board Meeting.
A motion was made by Gus Rusher, seconded by Charles Mazander, to
approve the Minutes as presented.
Motion carried and Deputy Commissioner Franks concurred.
Next was approval of expenses for the Board. A motion was made by Charles Mazander,
seconded by David Short, to approve the Board’s expenses. The motion carried and Deputy Commissioner Franks concurred.
Next was election of a new Chairman and Vice Chairman of
the Board. A motion was made by David
Short that David Bartlett be elected Chairman and Gus Rusher Vice
Chairman. The motion was seconded by
Charles Mazander, motion carried and
Deputy Commissioner Franks concurred.
At this point Chairman Bartlett explained that Ted Skokos
has resigned from the State Banking Board due to his business move outside the
state of Arkansas. [See copy of his letter,
appendage to the Minutes.]
Next on the agenda was an application by The Bank of
Jonesboro, Jonesboro, Arkansas, for the merger of MidSouth Bank, Jonesboro,
Arkansas, with an into The Bank of Jonesboro.
Randy Dennis of DD&F
Consulting Group in Little Rock represented and spoke for the application
stating he was representing Liberty Bancshares, Inc. of Jonesboro. He explained the application stating this
stage will be the merger of The
MidSouth Bank into The Bank of Jonesboro.
They expect to complete this transaction within ninety [90] days. Mr. Wallace Fowler was also present and
spoke for the application. Mr. Rusher
commented this is an extremely complicated and unusual application and he could
not find the amount being set aside for reserve for loan losses. Mr. Fowler explained the loan loss reserve
and management team. Mr. Fowler stated
they do not anticipate any major change in personnel. He also commented this transaction would benefit the Jonesboro
community. Randy Dennis and Mr. Fowler
explained the letter of credit from First Tennessee Bank and the anticipated
borrowings. Mr. Rusher questioned the
lawsuits set out in the report. Mr.
Bartlett questioned the price of the stock plus the percentage of ownership. A motion was made by Gus Rusher, seconded by
Charles Mazander, to approve the application.
David Short asked to abstain from the vote. Motion carried and Deputy Commissioner Franks concurred.
Next on the agenda was an application by Bank of the Ozarks, Little Rock, Arkansas,
for the merger of River Valley Bank,
Russellville, Arkansas, with and into Bank of the Ozarks, Little
Rock. Randy Dennis of DD&F
Consulting Group, Little Rock, represented and spoke for the application. Also present and representing the
application was Mark Ross, President of the Bank of the Ozarks. Mr. Dennis stated this transaction I if
approved, will be consummated next Thursday.
Mark Ross spoke, commenting the bank is considering applications for
three more branches. David Bartlett
questioned the CRA operations; Mr. Ross stated they will continue as they are
and there are no problems at this time.
A motion was made by David Bartlett, seconded by Gus Rusher, to approve
the application. Motion carried and Deputy Commissioner Franks concurred.
Next was consideration of a charter amendment for the Bank of Bearden, Bearden, Arkansas. Deputy Commissioner Franks read and explained the amendment:
“Third: The amount of the authorized capital stock of this
bank shall be $8,300.”
“Fourth: The capital stock of this bank shall be divided into
8,800 shares of the par value of $1.00
each.”
A motion was made by David Bartlett, seconded by Charles Mazander, to approve the charter amendment. Motion carried and Deputy Commissioner Franks concurred.
Next was adoption of resolutions for former Board Member Bob Douglas, Ted Skokos and Commissioner White. A motion was made by Charles Mazander, seconded by David Bartlett, to adopt the resolutions as read. Motion carried and Deputy Commissioner Franks concurred. [See copy of appendage to these Minutes.]
At this point, Chairman David Bartlett asked Mr. Adcock to speak. He thanked the Board and asked them for their help. He stated several bankers have called and complimented the Bank Department on their work and accomplishments. He noted it is good to come aboard an organization that does not have problems. He said he was excited about the job and has made a commitment to visit each state chartered bank. Mr. Rusher stated he has known Bunny longer than anyone and he is the man for the job, will do a good job for the banking industry, and will be good for the Bank Department. He then welcomed the Commissioner aboard.
Deputy Commissioner Franks introduced Bank Senior Examiner Richard Plotkin who presented a slide presentation about the condition of Arkansas banks. A general discussion ensued among the Board regarding the information that was presented in the slides. Mr. Mazander asked for a copy of the slides.
All business attended to, the meeting was adjourned.
