City Decries NewAlliance “Betrayal”
by Paul Bass | Aug 19, 2010 4:09 pm
Posted to: Business/ Economic Development
New Haven’s mayor crashed the party as another downtown bank prepared to be gobbled up by an out-of-state lender.
In what some local leaders called a long-predicted “betrayal,” NewAlliance bank announced its board has approved a $1.5 billion sale to Buffalo-based First Niagara Bank.
It was the denouement of a drama that started seven years ago, which unfolded as predicted by Mayor John DeStefano and other leaders upset about the loss of a major New Haven-based bank.
DeStefano Thursday afternoon wouldn’t say yet whether he planned to try to block the planned merger when it comes before federal regulators. He and local labor leaders staged a fight six years ago against a previous merger that created NewAlliance Bank, and won tens of millions of dollars in concessions in the process.
“At this point it is important that the community reflect on how this serves the local economy and job growth and wealth creation,” DeStefano said. “If we get to a point where we need to intervene, that is something we have to do.”
He was clear on how he believes this planned sale of NewAlliance will affect the local economy—making it harder for local people to obtain loans and support for community projects.
“Final decisions are going to be made in Buffalo now instead of being made at Church and Elm. We’re going to be at much further distance” from decision makers, DeStefano said. “That’s unfortunate.”
DeStefano also put the proposed sale in the context of the country’s recent economic slide. “The banks that got America in trouble were these big banks that were driven by this need always to” drive up profits for shareholders and therefore resort to risky lending practices, he noted.
Attorney General Richard Blumenthal, who’s running for a U.S. Senate seat, also weighed in with concerns.
He promised in a release to examine “potential legal ramifications” of the deal, which he said “raises significant questions” with “potentially far-reaching ramifications on bank customers, employees, the New Haven community, as well as the local and state economies.”
Earlier Thursday DeStefano crashed a conference call the bank held for investors. He posed a question to bank officials about the impact of the proposed sale (technically a merger) on the local economy. He predicted “more loan officers facing limits on what they can do, more employee turnover and a loss of ability of decision-making in New Haven,” according to an account in the Wall Street Journal.
“Those are the same questions we get each time we move to a new market,” First Niagara’s CEO responded.
Bank: Growth Helps New Haven
In an interview later Thursday, NewAlliance’s Paul McCraven disagreed with the assessment offered by DeStefano and other local critics. He called the pending sale a “tremendous opportunity” for New Haven.
McCraven, NewAlliance senior vice-president responsible for community development, also said the bank has always been up front about its plans.
“We’ve always said that our goal was to grow the bank. The stronger the bank became the more we could serve the community,” McCraven said. “This particular opportunity will really help us grow even quicker. That will allow us to provide better banking services. It will allow us to do more community investments. Under this new structure we will able to accelerate our lending and our philanthropic investments in the community as well as still maintain strong local decision-making. That’s one of the key points that we wanted to make sure stayed in place.”
McCraven added that the bank’s local foundation will remain in place, and independent. It gives over $1 million a year to regional causes.
In addition, he said First Niagara has agreed to spend $7.5 million of its own philanthropic foundation’s money in the New Haven region. He said he wasn’t sure what time period that commitment covers.
Under the proposed deal, New Haven would become the New England headquarters for Buffalo-based First Niagara. McCraven said the plan is to keep a strong “local decision-making team in place.”
He said it’s not yet clear whether current NewAlliance President and CEO Peyton Patterson will continue to head that team.
“Right now she is working closely with John R. Koelmel [First Niagara’s CEO]” on the transition, McCraven said.
Read the bank’s press release with full details of the deal here.
In a conference call with the press Thursday, Patterson (pictured) distinguished this proposed sale from ones that involve a healthy financial institution buying a struggling one (and thus raising regulator concerns). She called First Niagara and FirstAlliance “two banks that are individually on a roll with record revenue momentum.”
Patterson was asked about DeStefano’s concerns—and about whether she worries that community groups will try to derail the deal.
“We’re very confident in the regulatory process. You have two very clean and exceptionally strong institutions coming together,” she said, citing NewAlliance’s “outstanding” Community Reinvestment Act rating.
“With respect to the mayor, the mayor I think will be very pleased with the emphasis and focus and sensitivity to the markets in which he operates.”
Koelmel was asked about possible layoffs.
“There’s going to be some fallout from an employment standpoint,” he said. He predicted it would be “minimal.”
Bad blood between city leaders and NewAlliance goes back seven years.
At the outset, the drama starred the city’s last large locally owned mutual bank, New Haven Savings, a holdout against the trend of out-of-state megabanks gobbling local lending institutions. When New Haven Savings’ president died, board members looking to make a few quick millions (or more, in some cases) seized an opportunity. They brought in a crew to take the bank public and expand its reach, merging it with other banks elsewhere in Connecticut, and gave it a new name without the “New Haven” moniker. It was to become NewAlliance Bank.
A New Haven uproar ensued. From the mayor’s office to longtime depositors to community activists, opponents tried to stop the bank from getting permission to go public and expand. They feared New Haven would lose a locally rooted bank accessible to small businesses and homeowners in the city. They predicted that NewAlliance would eventually sell out to an out-of-state bank like New Haven’s other major lenders. NewAlliance brass promised to remain “New Haven’s” bank. State regulators struck a deal: New Haven Savings could become NewAlliance. But, in an unprecedented move, they would have to spend $25 million to seed the creation of a local competitor: a new community-focused New Haven bank.
This week the drama played out as the critics predicted.
On Thursday, NewAlliance announced another merger. It will become part of Buffalo-based First Niagara Group. The bank’s name will change to First Niagara. Its headquarters will no longer be in Connecticut.
Bob Solomon (pictured), a Yale law professor and board chairman of the not-for-profit First City Funding Corporation (FCFC), called the sale a “betrayal,” one that he had anticipated.
“Everyone who said: ‘Soon as you can, you’re going to sell out,’” Solomon recalled. “They said, ‘Not us! We’re doing this for the good of the community. We need to serve the needs of the community.’
“Seven years ago they said we didn’t need a new community bank, [that] this was a way to strengthen themselves so they can continue to do more in the community. We find out that that all they were concerned about—no surprise—was themselves. It’s a potential loss of capital. This becomes a bank not concerned about community, just a bank that sees us as one of many markets. The individuals who were getting rich locally—you get a lot of bites at the apple with NewAlliance, I guess. You get rich when it becomes NewAlliance. You get rich when it sells again. It all began with a state charter [for the original depositor-owned, mutual New Haven Savings Bank] for concerned individuals to build capital in New Haven.”
Opportunities For Competitors
Meanwhile, the local community development bank born from that originally controversy has, after years of delay, put out its shingle. It has moved into its first two storefronts, at Whalley and Sherman Avenues in the Dixwell/Whalley area; and on Grand Avenue in the Fair Haven neighborhood. It plans to open for business—concentrating on depositors, homeowners, and small businesses in the city—in a few months.
“The present plan is to open some time in early October,” said President and CEO Bill Placke. The open is waiting on final approval from the Federal Reserve Bank, the Federal Deposit Insurance Corporation, and the State Banking Department.
“I’m really pleased that we will be the only remaining locally owned, locally managed and governed community bank in New Haven,” Placke said of the news of the pending NewAlliance sale and a second pending sale of the Bank of Southern Connecticut. “We’re just thrilled to have the opportunity to be the go-to bank for local residents, small businesses and other organizations in the process of building a better New Haven in the same way we are.” The banks slogan is, “On Your Block, In Your Corner.”
START is the latest in a series of community development banks that have sprung up across the country in the past few decades. Prime examples: Chicago’s ShoreBank (the granddaddy), City First in D.C., and North Milwaukee State Bank. People like U.S. Sen. Chris Dodd see them as vital to rebuilding urban neighborhoods amid the current foreclosure crisis and economic meltdown.
The bank will be a for-profit subsidiary of a not-for-profit called First City Funding Corp., which formed with the $25 million from the state-brokered NewAlliance deal. The idea was to find a way to keep loans flowing to potential homeowners and small-business owners in neighborhoods like Fair Haven and Dixwell and the Hill as traditional local banks for-profit disappear.
Webster Bank, which has a branch on the same block as the NewAlliance at Church and Chapel, also hopes to capitalize on the pending sale. The bank is headquartered in Waterbury.
“While the merger may make sense for shareholders of both companies, it remains to be seen whether a merger that moves NewAlliance’s headquarters out of state makes sense for its customers,” said Webster’s regional president, Jeff Klaus.
Tags: NewAlliance, First Niagra, community bank
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Yup, Webster is a fine example of a regional bank that cares about the community. Not. Check it out: http://ctwatchdog.com/2010/04/29/webster-bank-sued-for-overdraft-fee-policy
I keep trying to warn you all.From school reform to the banks.Both are load with corporate vampires.This is why we need more credit unions.
Webster Bank, which has a branch on the same block as the New Alliance at Church and Chapel, also hopes to capitalize on the pending sale. The bank is headquartered in Waterbury.
“While the merger may make sense for shareholders of both companies, it remains to be seen whether a merger that moves NewAlliance’s headquarters out of state makes sense for its customers,” said Webster’s regional president, Jeff Klaus.
Webster Bank,Give me a break.These bank vampires are in court now for riping people off for Overdraft Fee Practices.
Ohio Jury Orders Webster Bank To Pay $19 Million In Condo Financing Dispute.
Only one good thing to come out of this - Bill Placke is a good man who will help New Haven. As for NewAlliance, the customers know what to do. ...
Are you kidding me?? I have never seen such betrayal by New Alliance Bank…This is the perfect example of New Alliance trying to be confident to its customers. The bank is not even going to be around here the way they should be…New York?? President, Vice President and all of the other double crossing execs that customers of new Alliance promised the customers..bottom line; we are being sold out…new Alliance one word “cowards” !!!!!!!!!
Credit Unions are the way to go, people. Get away from banksters.
At times like these I think of Charlie Terrell, and what it meant to be a hometown banker with integrity and conscience, and how the individual characters of those on the current board (see below, pasted from the bank’s website) pale in comparison. Really, guys, there is more to it that dying rich.
Peyton R. Patterson
Chairman, President & Chief Executive Officer, NewAlliance Bancshares, Inc. Chairman & Chief Executive Officer, NewAlliance Bank
Douglas K. Anderson
Former President and Chief Operating Officer
Savings Bank of Manchester
Roxanne J. Coady
Founder, President and Chief Operating Officer
R.J. Julia Booksellers, Ltd.
Sheila B. Flanagan
Former Executive Director
SBM Charitable Foundation, Inc.
Carlton L. Highsmith
Robert J. Lyons, Jr., CPA
President and Chief Executive Officer
The Bilco Company
Eric A. Marziali
President & Chief Executive Officer
United Abrasives, Inc.
Julia M. McNamara
Albertus Magnus College
Gerald B. Rosenberg
Former Senior Vice President, Executive Development
Joseph H. Rossi
Former President and Chief Executive Officer
Alliance Bancorp of New England
Nathaniel D. Woodson
Former Chairman, President and Chief Executive Officer
UIL Holdings Corporation and United Illuminating Company
Joseph A. Zaccagnino
Former President and Chief Executive Officer
Yale New Haven Health System and Yale-New Haven Hospital
This does it for me… major withdrawal tomorrow… grow local, eat local, bank local.
For those interested in how much these directors and the executive officers stand to make on this deal, check out the following link, which is a proxy form NewAlliance filed with the SEC in March.
It’s interesting reading and details the entire executive compensation program at the bank. Most interesting to me for the current discussion is this list of directors and officers and the number of shares they own in the company:
Name # Shares
Douglas K. Anderson 45,109
Roxanne J. Coady 295,000
Sheila B. Flanagan 316,646
Carlton L. Highsmith 21,332
Robert J. Lyons, Jr. 293,350
Eric A. Marziali 354,334
Julia M. McNamara 319,600
Gerald B. Rosenberg 285,955
Joseph H. Rossi 623,625
Nathaniel D. Woodson 351,600
Joseph A. Zaccagnino 324,344
Certain Executive Officers:
Peyton R. Patterson 2,404,792
Glenn I. MacInnes 30,000
Gail E. D. Brathwaite 1,000,105
C. Eugene Kirby 26,048
Donald T. Chaffee 386,712
Make sure to check out the link, as these numbers came with lots of little footnotes about which of these shares were options and when they could be exercised and other details like that. But, this gives a pretty good picture of what kind of dollars are at stake for the people making this decision.
If running a bank is so easy and profitable why don’t any you Marxists start one? Why not - because it takes a lot of work and willingness to put your capital at risk. Marxists are just parasites. You really need to keep the first rule of being a parasite in mind - don’t kill off the host. Businesses would be fighting each other to locate here if you would just ... embrace the only system which has produced liberty, prosperity and lifted the human spirit - free market capitalism. Nahhh - let’s stick with the hate and hollow class warfare. Hey - its job.
20 years ago, I was a Finance major in college, studying banking. My professor of Money, Credit and Banking told us that we were headed to a system like Great Britain who only had at that time 5 national banks.
Every bank in Connecticut is always looking both ways - to buy other banks or to be sold. Whether you like it or not, that’s the lay of the land.
Peyton Patterson compensation in salary at New Haven Alliance is $3,777,390 per year.
The 2010 Annual Proxy lists the sixteen Board of Directors and Bank Officers as beneficial owners of nearly 8,000,000 shares of which 5,425,801 were options. At the $14.09 buying price from First Niagara this gang of sixteen would get cash, or possibly equal value Niagara shares for their New Alliance shares of about $110,600,000.
Patterson personally accounts for 2,404,792 shares of which 1,890,300 in options. Her pay-out for the acquisition would be $33.9 million.
Patterson was also selling her shares in New Alliance for the past year until May 2010 when she began buying shares.
Ask yourself what do prospective home mortgage customers and small business owners get? You bailout the banks so the rich can get richer.
Say no. Contact your elected officials offices and tell them enough is enough!
State Senator Martin Looney
Mayor John DeStefano
Attorney General Richard Blumenthal
To Tom Jefferson: I don’t think any of the previous posters can seriously be considered Marxists. One is not a Marxist just because one desires responsible regulation of the markets. I disagree with your opinions about free-market capitalism, which never has existed in the US. The markets have always been regulated, in some way, since the birth of the Union. Anyway, I could try to educate you on the history of economic policy in the US but this is neither the place nor the time. American Capitalism, which could also be called Corporatism, is in fact what ruined the economy in New England (and other places). A business’s right to move according to labour and operating costs means that all businesses are transient, only regulation and cooperative ownership would alleviate that problem.
As for banks, they serve one master, profits. I honestly do not see the harm in New Alliance selling out to a New York bank, many of our banks are large national banks (BOA, Wells Fargo, Citibank, etc.) Their largess does not seem to effect customer services and/or their willingness to loan funds. In fact the sale might cause New Alliance to grow, open more branches and hire more employees. We should wait and see what happens before casting judgement.
And, Thomas Jefferson would have opposed your conclusions about capitalism and banking. He was adamantly opposed to Hamilton and the creation of the 1st National Bank , he believed in a small economy based on agriculture and local trade and commerce. Capitalism, banking and money, to him, were all aspects of oligarchy and tyranny.
that Bank Board is a local insiders club that schemed to make millions off of New Haven Savings as soon as Charlie Terrell was out of the way. The got paid once already, this is their encore. I’m sure they are pissed off as well becuase they are not making as much as they hoped to in this second windfall. As for the Foundation, it looks like it will get nothing out of this deal and that is wrong.
“I’m shocked…shocked to find that gambling is going on in here!”
Captain Renault, Casablanca
I wonder if NewAlliance merging with a Buffalo-based bank will spur usair to offer a New Haven-Buffalo flight? Call it, the “burger, pizza, and wings express”.
These guys are nothing but ... carpetbaggers. From the beginning, its never been about the “community”, but rather “the money”. When they failed in that, they sold out and screwed the community.
And De Stefano. What game is HE watching? He KNEW all of this was going down when he took the ... for the First Community Loan Fund. (In doing that, he secured his job for when he is tired of being mayor).
Its over for CT guys, pack your bags now.
Good bye NewAlliance. Looking forward to the opening of our new community bank: http://www.startbank.com/
It’s called free market economics. New Haven should understand it’s meaning.
I’ll probably get flamed for this, but before New Haven Savings was converted from a mutual savings bank into a stock corporation, depositors were given the opportunity to purchase stock at the initial offering price in the new company. I, along with many others, took advantage of this, and I made a modest investment. Now, I stand ready to make a modest, but decent profit—given the 24 percent premium I will be paid for my stock.
Many of the investors in NAB were not fat-cats but salt of the earth middle-class people looking for a good investment at an allowable risk. It’s not like we were investing in arms merchants.
So I—perhaps along with thousands of others—have ambivalent feelings about this. I fully support local businesses, and will make an effort to shop New Haven—even thinking my coins in the meters when I go downtown is money for my town compared to free parking elsewhere. I could have also moved to a suburb but made a deliberate choice to stay here and educate my children in the New Haven Public Schools. I even thought that my investment in NAB was acting local, although I was aware that I could profit from an acquisition.
My ambivalence includes the realization that I and my family stand to profit from this deal. Do I want to fight this new acquisition in the interest of localism, and forgo something of material benefit to my family?
I just wanted to point out that these are often complex situations where it’s not simply a matter of evil corporation versus the teeming masses.
I could say that any time you go to Starbucks instead of Willoughby’s it is the functional equivalent of owning shares in the First Niagara Bank.
It’s hard to stay pure in the real world.
to all you who suggest credit unions- which do you suggest? New Haven County Credit Union is useless, as are their limited office hours. The website is a joke, with billpay not working, and fees upon fees.
After being burned by them, we moved our money (completely) from Bank of America and New Haven County Credit Union (offices in North Haven and New Haven) to New Alliance Bank.
It was a refreshing move, and my uncle works at the New Haven branch as a VP. We still remember being rejected for a mortgage, after encountering headaches like not being able to “prove” income, despite being self-employed and turning a profit for 5 years. When you’re self-employed, there are no “paystubs” to use as proof of solvency!
Despite failing to get our mortgage with New Alliance Bank (and instead going with Milford Bank, a wonderful bank located by the Milford Metro-North station), we’re happy to finally have a local, understanding bank.
That’s why I’m both concerned and excited- banking at New Haven County Credit Union was the equivalent of a banking “lesson” offered by a 5th grade teacher: fees weren’t explained, there were delays, and if the mortgage was paid automatically at 7am (before the bank opened) and the funds from my other bank transferred successfully at 9:03am (when the other bank opened), I would be charged a hefty fee, despite the balance of the account being in the black at the end of the day.
I hope this “merger” will be good for New Haven, instead of the shouting match that ensued when UI left town.
Maybe the New Alliance HQ in New Haven could become a hangout for teens- one that focuses on learning, knowledge, preparing for college & the world beyond New Haven, and understanding sustainable business. Teens today need more than “juice” bars and guns- they need encouragement, structure, respect, and a central gathering place next to the financial buildings in New Haven. (off-topic, but relevant)
Senator Dodd and Rep. Frank should have done more to keep banks within the individual states. We can expect more fees. What we’re doing is allowing the creation of more mega-banks that will become too large to fail. Then we the people will have to bail them out AGAIN.
And get ready for the next phase: These individuals will gift shares to local non-profits thereby getting a tax-benefit that other will have to make up. Albertus Magnus, hope you get a new campus out of McNamara, Yale-New Haven maybe a hospital wing from Zaccagnino (by the way, how exactly does one get these non-profit leadership gigs, that lead to bank board appointments (by virtue of heading these non-profits rather than banking expertise or highest IQs in town), that turn out to lead to personal profit?); congrats to Long Wharf, the Community Foundation, Hopkins etc. and other pets of New Haven’s interlocking directorates. At the groundbreaking and donor-of-the-year awards, know that those who know the story are appalled, even though they may be politely clapping.
PS Charlie Terrel was no marxist. He definitely had character.
posted by: New havener on August 20, 2010 6:57pm
Becker & Becker the developers of 360 State St. will be the next to bail out leaving the city holding the bag on 4 / 5 million dollars. Wonder if they’re on the tax roll. Oops B & B received that package deal where their taxes are probably frozen for the next several years, and they’ll bail just in time.
Whats happened to the good citizens like Charlie Terrell and Newt Schenck who realized the value of local? Instead we’re plagued by corporate pirates mining speculative profit from the ether (that is until the whole system collapses again).
I agree thoroughly about Charlie. I worked under him at NHSB. There were sadly two things wrong with him however, being 1) He was too 1950’s when he should at least have been 1980’s,and 2) he was a man of integrity who died too soon, (allowing ... to dance on his corpse.)
But I think we all have to ask ourselves a big question. If you look at this lovely state of ours, why is everyone leaving and no one sees this as a place to continue business? This week alone, it was NAL and P&W. The reason is that this state is the most business unfriendly state in the union having the stupidest bureaucracy on earth. Now I understand well that the people at NAL and PW are me-first corporate slime, but they are not stupid. Peyton and her gang knew that if they did not take this offer, there may not have been another one. All of this is not said to exonerate them, but to caution us that as more of these corporate types act in this pillaging way(and its their right to do so), this sorry State further crumbles.
posted by: bankalchemist on August 22, 2010 12:37pm
What is often forgotten is there is never a bad time to realize a profit for shareholders. This is the best opportunity in a market of uncertain times. First Niagara Bank is fundamentally very strong and provides at this time growth and strength to what was at one time a questionable amalgamation of branches operating as one bank. CT has not had great success with Banks in the last 5-7 years as its state Banking Department is very small for the challenges of the day. It takes to long to form a bank there, it is absolutely backwards from any other state process and many of the residents claim special or unique circumstances due to the air they breath. bankalchemist.
I would suggest that Mutual Banks are better for the depositor, and the community than Credit Unions:
a) Costs are normally just as low with Mutuals than with Credit Unions;
b) If they “convert to stock” at least the depositors get the chance to profit;
c) Credit Unions do not have to pay corporate income taxes and can just shift that $$$ to officers - take a look at the Comp of Sikorsky Credit Union compared to any Mutual in New Haven County.
d) Guilford and Milford and Liberty have done more contributing in their local communities than all of the Credit Unions combined… check their filings. I have a long experience with a mutual and a non-profit. the local mutuals are the last ones writing big checks to our non-profits and we should all support them 9and if they turn for-profit, at least we would get get some of the $$$).
I have nothing against Credit Unions - just against big public banks… But if i am going to play my $$$ into a depositor owned institution, I want it to be a mutual - not a credit union.
just my thoughts…
Greed is bad. Thanks a lot Gipper!
I used to make it a point, if I was in the area and was going to be buying a particular book, to buy it at the RJ Julia bookstore in Madison. Now that I see that the owner (Roxanne Coady) is on the board of Alliance and, I assume, had to approve this $23 million payday for the CEO, I will be making a point to not shop there. I think it is important to support local businesses, but not when their owners are helping create the plutocracy this country is turning into.
Charlie Terrell would be devastated if he were alive to witness the end of New Haven’s “Very Nice Bank.”
As for Roxanne Coady, she was on the board of New Haven Savings Bank that voted to demutualize, with the same financial benefits as the other directors. She’s been a part of this fiasco for years
Simple solution: Implement a tax structure similar to Sweden or Denmark.
There’s a simple reason why these are the happiest countries, while the U.S. continues to fall down the list in all measures of social well-being.
Currently our janitors pay more in taxes than our billionaires and people like Peyton Patterson, even before you account for regressive structures such as payroll tax and insurance.
Vote for leaders who are actually willing to push for reform and greater equity. (Ned Lamont lost because he clearly wasn’t)
Please, The only reason DeStefano was annoyed seven years ago when Peyton was brought on board was because he believed that was his next job running that bank. IF he was in that position he would be doing the same think.
Here is the Viagra Bank (we get scr*w*d) math. Patterson gets 23.9 million, some of which has already been paid as salary. The board’s stock value will be 26.6 million. Does anyone out there feel insignificant in life? All that money being paid to people who did nothing for a living. Oh sorry, Patterson did appear in a couple of TV commercials. Now this whole group can head south and buy their own coastal island unless Hilton Head is good enough. Maybe they will name the community NewAlliance. The name will be available. Almost time for cocktails. What a life.
Growth is not a guaranteed path to success.
This merger sounds like a way for management and board to excessively compensate themselves. If I was a stockholder I’d be outraged.
To the person who made a modest profit. I guess 24% over 7 years is kid of modest, considering how the market did until last year especially.
The most stiking thing about this deal is how poorly NewAlliance actually performed for shareholders.
The only stockholders that really made out sold their stock in the first six months after the bank went public.
The directors at least the initial ones, beside selling out the community and their integrity, didn’t put up any money and apparently not much expertise either.
This isn’t an issue of opponents being Marxist to the contrary. The profits of the directors in this deal came through government action.
They were unable to grow the bank significantly in spite of having a great capital base. Primarily all that capital and borrowing power was there before the bank went public.
This small band of so original directors made a few million apiece, with no risk and no effort.
This scam socialism was made possible by the politicians that allowed the bank to go public on terms favorable to the directors and no one else.
First among the people that let New Haven down was Attorney General Richard Blumenthal.
Wouldn’t you know Peyton Patterson has been a supporter of Democratic Politicians.