HR1305LRB097 23489 MGM 72434 r


  
1
HOUSE RESOLUTION

  
 
2    WHEREAS, Covenant Bank in Chicago, Illinois, was given a 
3notice by the Secretary of Financial and Professional 
4Regulation pursuant to Section 51 of the Illinois Banking Act 
5that set a deadline of December 2, 2012 by which Covenant Bank 
6must correct the impairment on its capital; and
  
 
7    WHEREAS, Subsection (b) of Section 51 of the Illinois 
8Banking Act authorizes the Secretary of Financial and 
9Professional Regulation to extend the time period contained in 
10that notice; therefore, be it
  
 
11    RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE 
12NINETY-SEVENTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that 
13we urge the Secretary of Financial and Professional Regulation 
14to grant an extension to Covenant Bank for the correction to 
15the impairment on its capital until February 1, 2013, 
16representing 180 days after the receipt of such notice; and 
17that the Secretary grant an extension on an ongoing basis as 
18long as Covenant Bank's capital is not critically 
19undercapitalized (as defined by the Federal Deposit Insurance 
20Act); and be it further
  
 
21    RESOLVED, That  we urge the Secretary of Financial and 
22Professional Regulation to grant, for any community bank that 
 
 
HR1305- 2 -LRB097 23489 MGM 72434 r

1has received or is subject to receive a Section 51 order, the 
2maximum initial term of 180 days to take corrective action, and 
3to grant an extension on an ongoing basis as long as the bank's 
4capital (either as filed on its last CALL report or 
5subsequently verified after a capital infusion) is not 
6critically undercapitalized; and be it further
 
7    RESOLVED, That suitable copies of this Resolution be 
8delivered to the Secretary of Financial and Professional 
9Regulation.