It’s official: San Luis Trust Bank is now First California Bank.
After the troubled San Luis Obispo-based institution was placed into receivership on Feb. 18 by the Office of Thrift Supervision, a regulatory agency under the U.S. Dept. of Treasury, it reopened on Feb. 22 as the 19th branch of the Camarillo-based First California Bank.
On Feb. 18, agents from the Federal Deposit Insurance Corp. were seen inside the lobby of the former San Luis Trust building, pecking on laptop computers atop portable tables.
First Bank of California issued a release welcoming the customers of San Luis Trust, assuring them they may continue writing checks, using ATM cards, and accessing their accounts online.
According to FDIC data, the bank’s assets dropped dramatically, falling from approximately $403 million in September 2009 to $309 million in September 2010.
In November 2009, the OTS issued a cease-and-desist order, requiring San Luis Trust to draft a capital restoration plan. Regulators rejected that plan in January
of this year.
On Feb. 9, the OTS issued a corrective action directive against San Luis Trust Bank—which it found “critically undercapitalized”—and gave the bank until 5 p.m. on Feb. 15 to recapitalize through a merger with or acquisition by another financial institution.
San Luis Trust President Sam Collins and Chief Financial Officer Brad Lyon did not return requests for comment as of press time.