Pacific National Bank Security ( SPNB ) is a large US bank headquartered in Los Angeles, California. In 1992, Bank of America acquired SPNB.
Video Security Pacific Bank
History
On September 1, 1868, Hellman, Temple and Co. opened in the small town of Los Angeles. The banking company was a precursor of the Farmers and Traders of the Bank (1870), who was the precursor of the Security First National Bank. The bank gained a reputation for aggressive and creative business practices and benefited from economic and population growth in the Western United States. In the mid-20th century there was an international presence, and was ranked the fifth largest bank in the United States and the third largest in California in terms of deposits.
In 1967, Security First National Bank purchased the Pacific National Bank and became Security Pacific National Bank.
In 1971, SPNB Security Pacific National Bank (SPNB) bought 69% of Bank of Canton.
In 1975, Security Pacific Bank built a 55-story tower in downtown Los Angeles, now known as the Bank of America Plaza.
In 1978, computer consultant Stanley Rifkin studied the Security Pacific electronic code used to transmit telegraphs to other banks. On October 25, he stole $ 10.2 million from a non-existent account, executing one of the largest bank robberies in history. He used the funds to buy 115,000 Russian diamonds in Switzerland, which he smuggled back to the United States and tried to sell it, but he was arrested. Pacific Security takes ownership of diamonds but receives several bids for a very large amount. Eventually they were forced to sell it on unfavorable terms to the Liechtenstein company affiliated with the De Beers company.
On May 9, 1980, five people robbed the Pacific Security office in Norco, California. They were among the most armed bank robbers in history, carrying semi-automatic weapons, pistols, and home-made explosive devices, and managed to not only stop some patrol cars but force San Bernardino police helicopters to surrender chase. At the end of a Norco firefight, a police officer and two robbers were killed, with three other suspects arrested and sentenced to life in prison.
In 1984, the SPNB and Bank of Canton councils announced that the SPNB wanted to acquire common and preferred shares of the Bank of Canton that it had not yet owned. The agreement stipulates that Bank of Canton's management will remain in effect and that Russell Fok will continue to be chairman of the board. Furthermore, the company associated with Fok will be entitled, upon completion of the acquisition, to purchase a limited equity position in the Board of Commissioners. The SPNB agreed to pay $ 59.31 per share for 714,128 common shares (31%) that have not been acquired for a total cost of approximately $ 42 million.
In 1985, a class action lawsuit against Security Pacific accused him of overcharging around 2,500 trust accounts back in 1974.
In 1986, SPNB acquired the California Pacific National Bank, a small bank serving the Chinese business community in Los Angeles, for US $ 11.5 million. Previously, the BoC has revealed plans for major expansion in the United States, concentrating on the growing Asian community in California. SPNB also held talks with the American Asian Bank. This Chinese ethnic bank operates four branches around San Francisco and four in the Los Angeles area.
In 1988, Security Pacific turned down a job for hacker Kevin Mitnick because of his failure to express his previous convictions. Four days later, a fake press release circulated stating that the bank had lost $ 400 million in the first quarter, hurting bank stock prices. The Federal Bureau of Investigation sought to use this indirect evidence in their case against Mitnick, but no evidence of a relationship has ever been revealed. Mitnick, in particular, denied the allegations in his book Ghost in the Wires, saying it was not his style, while admitting to other crimes unrelated to the bank.
Also in 1988 SPNB completed the acquisition of Bank of Canton and renamed it Security Pacific Asian Bank. SPNB eventually acquired the American Asian Bank, which is controlled by individuals associated with the Hong Kong-based Tung Group. (Earlier American Asia had acquired parts of the failed American City Bank in 1983 and Toronto Dominion Bank of California in 1984).
The 1980s explosion temporarily propped up banks, but aggressive acquisition strategies, unfavorable financial engineering arrangements, and the 1990 recession and Southern California real estate crash destroyed loan portfolios and balance sheets. Banking regulators, alarming issues in Pacific Security can complicate emerging deposits and loan crises, putting banks under increased scrutiny.
On April 22, 1992, Security Pacific Bank merged with BankAmerica, based in San Francisco (now called Bank of America), a deal that at that time was one of the biggest bank mergers in history. The federal regulator, however, forced the sale of Pacific Pacific subsidiary Rainier Bank, since the combination of Seafirst and Rainier would give BankAmerica an overwhelming market share in the state. The branches of Rainier Bank are divided and sold to West One Bancorp (now AS Bancorp) and KeyBank. Later that year, BankAmerica expanded into Nevada by acquiring Valley Bank of Nevada.
In 1993, Bank of America changed the name of Security Pacific Asian Bank to Bank of America (Asia). In 1994 the Arab-Malaysia Bank acquired the Asian Pacific Bank Security operation in Malaysia.
In 2000, Robert H. Smith, the last chairman and CEO of Security Pacific, published a book entitled Dead Bank Walking: One Bank Gutsy's Struggle to Survive and Merging Banking Forever , which records mergers with Bank America.
Maps Security Pacific Bank
Pacific Bank New Security
Security Pacific Bank that emerged in February 2005, the result of a change of name by a bank formerly known as Network Bank USA and, before that, the Golden Pacific Bank. The new Pacific Bank Security (which failed on November 7, 2008) has nothing to do with Bank of America or the former Pacific National Bank Security, even though it uses a similar "S" logo as a previous bank. After closing, it was acquired by Pacific Western Bank.
References
External links
- Furlong, Tom (April 22, 1992). "Pacific Security: A History". Los Angeles Times . Ã,
Source of the article : Wikipedia
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