[Federal Register Volume 78, Number 76 (Friday, April 19, 2013)]
[Notices]
[Page 23565]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-09229]


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FEDERAL DEPOSIT INSURANCE CORPORATION


Determination of Insufficient Assets To Satisfy Claims Against 
Financial Institution in Receivership

AGENCY: Federal Deposit Insurance Corporation (FDIC).

ACTION: Notice.

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SUMMARY: The FDIC has determined that insufficient assets exist in the 
receivership of Colonial Bank, Montgomery, Alabama, to make any 
distribution on general unsecured claims, and therefore such claims 
will recover nothing and have no value.

DATES: The FDIC made its determination on April 15, 2013.

FOR FURTHER INFORMATION CONTACT: If you have questions regarding this 
notice, you may contact an FDIC Claims Agent at (972) 761-8677. Written 
correspondence may also be mailed to FDIC as Receiver of Colonial Bank, 
Attention: Claims Agent, 1601 Bryan Street, Dallas, Texas 75201.

SUPPLEMENTARY INFORMATION: On August 14, 2009, Colonial Bank, 
Montgomery, Alabama, (FIN 10103) was closed by the Alabama 
State Banking Department, and the Federal Deposit Insurance Corporation 
(``FDIC'') was appointed as its receiver (``Receiver''). In complying 
with its statutory duty to resolve the institution in the method that 
is least costly to the deposit insurance fund (see 12 U.S.C. 
1823(c)(4)), the FDIC facilitated a transaction with Branch Banking and 
Trust (``BB&T''), Winston-Salem, North Carolina, to assume all of the 
deposits and most of the assets of the failed institution.
    Section 11(d)(11)(A) of the FDI Act, 12 U.S.C. 1821(d)(11)(A), sets 
forth the order of priority for distribution of amounts realized from 
the liquidation or other resolution of an insured depository 
institution to pay claims. Under the statutory order of priority, 
administrative expenses and deposit liabilities must be paid in full 
before any distribution may be made to general unsecured creditors or 
any lower priority claims.
    As of March 31, 2013, the maximum value of assets that could be 
available for distribution by the Receiver, together with maximum 
possible recoveries on professional liability claims against directors, 
officers, and other professionals, as well as potential tax refunds, 
was $3,282,813,040. As of the same date, administrative expenses and 
depositor liabilities equaled $4,981,236,544, exceeding available 
assets and potential recoveries by $1,698,423,504. Accordingly, the 
FDIC has determined that insufficient assets exist to make any 
distribution on general unsecured creditor claims (and any lower 
priority claims) and therefore all such claims, asserted or unasserted, 
will recover nothing and have no value.

    Dated: April 16, 2013.

Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2013-09229 Filed 4-18-13; 8:45 am]
BILLING CODE 6714-01-P