Provident Bank

A former Provident Bankshares Corp. executive has taken over as chairman of Bay Bank, a newly created thrift that assumed the deposits of Bay National Bank when federal regulators closed the Lutherville institution last week. Kevin Byrnes was Provident's president and chief operating officer. Joining Byrnes is Bay Bank president and chief executive Kevin Cashen, a former executive with Chevy Chase Bank. Bay Bank is a subsidiary of Jefferson Bancorp, a thrift holding company created by Financial Services Partners Fund, which is managed by Washington-based Hovde Private Equity Advisors.

The Federal Reserve Board has approved M&T Bank Corp.'s application to acquire Wilmington Trust Corp. The Delaware-based Wilmington Trust Corp., struggling with bad real estate loans, agreed in November to sell itself to Buffalo, N.Y.-based M&T for $351 million. A Baltimore-based unit of the corporation, Wilmington Trust Federal Savings Bank, entered into an agreement with federal regulators to boost capital levels and reduce bad loans on its books in February. The savings bank provides commercial banking and wealth management.

Gov. William Donald Schaefer sat before 15 South Shore Elementary School students yesterday and told them the basics of his education as a youth."When I was young, we had what was known as the three R's," the governor said. "Does anyone know what the three R's are?"There was a long pause.Then, 9-year-old Tracy Johnson raised her hand and said, "Recycle, reuse and reduce."Well, Tracy's answer wasn't wrong. It just wasn't quite the answer the governor was searching for. He was referring to reading, 'riting and 'rithmetic, with the emphasis being 'rithmetic.

The 2011 strategic plan for downtown Baltimore released last week by the Downtown Partnership is chock full of ideas. A few of them leave us scratching our heads, but most of the plan is solid and worthy of support. The central concept of the plan is that more old office buildings should be converted into apartments. This builds on a strength of downtown Baltimore: its residential density. The area within a 1-mile radius of Pratt and Light streets now sports the eighth-highest downtown density in the nation.

Provident Bankshares Corp., the second-largest independent bank in Maryland, said yesterday that it would restate financial statements after reviewing its accounting for derivatives, complex financial instruments used to hedge risk. Baltimore-based Provident joins a number of companies that have run afoul of the accounting rules for derivatives, including General Electric Co., the global conglomerate, and American International Group, one of the world's largest insurers. Banks, too, have recently acknowledged mistakes, including South Financial Group of Greenville, S.C. Provident, which plans to revise several quarters of financial reports, didn't say what time period would be covered.

A $2,000 reward is being offered for information leading to the arrest of a man in his early 20s who robbed Provident Bank in the 10400 block of Little Patuxent Parkway on Oct. 16.About 9: 20 a.m., a man entered the bank and handed a teller a note demanding money and saying he had a gun. The teller turned over an undisclosed amount of cash to the suspect, who fled on foot. No one was injured.The man is described as black, 5 feet 5 inches to 5 feet 6 inches tall and wearing a baseball cap, blue jeans and a tan jacket.

While many banks have been taking a hit from the slowing housing market, Provident Bankshares Corp. reported yesterday that its third-quarter profit increased 12 percent, partly because the Baltimore institution had outsourced its residential-mortgage business years ago. The second-largest independent bank in Maryland - it's set to become the largest after Mercantile Bankshares Corp.'s sale to PNC Financial Services Group of Pittsburgh - said net income rose to $20.4 million, or 62 cents per share, from $18.3 million, or 54 cents per share, a year ago. The earnings report was 1 cent shy of Wall Street expectations, according to a consensus of analysts polled by Thomson Financial.

An Essex man has sued Baltimore-based Provident Bank, claiming it illegally charged him a prepayment fee when he refinanced a second mortgage last year. Andrew Bednar's suit was filed last month in Baltimore Circuit Court. The case seeks class action status, saying other customers of Provident Bank of Maryland have been similarly affected. According to the lawsuit, Bednar took out a $17,000 second mortgage from Provident in August 2003. Provident agreed to waive $681 in closing costs provided that Bednar kept the loan for three years.

A man with a threatening note robbed a Provident Bank of an undisclosed amount of cash yesterday morning, county police said.The man walked into the bank in the 7400 block of Ritchie Highway about 11 a.m. and handed the teller a note, police said. The note said that the man had a gun and that he wanted the bank's money in a brown paper bag. No dollar bills or dye packs were to be put in the bag, the note said.The note also informed the teller that if she did as she was told, no one would be hurt.

A ruling yesterday from the state's highest court over prepayment mortgage charges could make it more expensive for some to obtain home equity loans, the banking industry's trade association warned. The Maryland Court of Appeals found that state-chartered Provident Bank assessed a "prepayment charge" that's not allowed under state law. The bank had waived $680 in closing costs on a $17,000 loan to Andrew Bednar in 2003 but collected the money after the loan was paid off early when he refinanced with another lender two years later.

A former Provident Bankshares Corp. executive has taken over as chairman of Bay Bank, a newly created thrift that assumed the deposits of Bay National Bank when federal regulators closed the Lutherville institution last week. Kevin Byrnes was Provident's president and chief operating officer. Joining Byrnes is Bay Bank president and chief executive Kevin Cashen, a former executive with Chevy Chase Bank. Bay Bank is a subsidiary of Jefferson Bancorp, a thrift holding company created by Financial Services Partners Fund, which is managed by Washington-based Hovde Private Equity Advisors.

Fifteen men, ages 22 to 51, have been indicted by a federal grand jury in Baltimore on charges that they laundered $20 million in proceeds from stolen goods, many of them shoplifted from pharmacies and stores such as Walmart and Target. More than 100 officers from six agencies raided 32 locations in Baltimore and elsewhere in Maryland this week to arrest the defendants and seize evidence. The indictment demands the forfeiture of $20 million in cash and the assets of 10 businesses in Baltimore, Brooklyn, Catonsville and Annapolis, along with 58 bank accounts.

Legg Mason cuts 20 Baltimore jobs Baltimore money manager Legg Mason Inc. has eliminated 20 workers in mutual fund administration roles at its Light Street headquarters. Two more workers were affected at Legg's New York office as the company consolidates those functions, Legg spokeswoman Mary Athridge said Friday.Legg's work force, which includes its headquarters in Baltimore and its subsidiaries, has lost 565 people, or 13 percent, since September. Hanah Cho MassMutual aims to hire 30 agents MassMutual is looking to hire 30 people to sell its insurance, annuity and retirement products in the Baltimore region, the insurance company said Friday.

The bank robber didn't even try to conceal his identity. He leaned across the counter of the Chevy Chase Bank in Gaithersburg and practically shoved his face into the surveillance camera, giving authorities one of the clearest pictures of a robber they had ever seen. Newspapers published the shot, and television stations flashed it on the air. FBI Special Agent Jeff Cisar was sure that authorities would have him quickly locked up. But no tips came in. And Cisar was left thinking. "Most of these aren't going to make the front page, especially if it's a note-job bank robbery," Cisar said.

A security breach at a major credit card payment processor has prompted more than two dozen banks nationwide - including Baltimore-based Provident Bank - to notify customers that their credit and debit card numbers might have been compromised. Provident sent new cards to customers last week with a letter stating that it has "been advised of a very large data breach impacting millions of credit and debit card numbers." Only those customers who received letters and replacement cards sent last week were affected, said Dana Jung, Provident's manager of business continuity and customer information security.

Man believed responsible for eight bank robberies Baltimore County police are asking the public's help in identifying a suspect they think is responsible for eight bank robberies since June. The most recent robbery was at 11 a.m. Jan 17 at Provident Bank in a Shoppers food store in the 11100 block of Reisterstown Road. The man is a suspect in these robberies: June 14 and Nov. 15, Chevy Chase Bank in the 4600 block of Edmondson Ave.; June 21, Provident Bank in the 5400 block of Baltimore National Pike; Aug. 12, Provident Bank in the 3800 block of E. Lombard St.; Aug. 21, Provident Bank inside the Reisterstown Road Shoppers food store that was also robbed last week; Nov. 30, Provident Bank inside the Shoppers food store in the 800 block of Goucher Blvd.

The president of a ballistics research and development laboratory in Street has sued two companies and their owner and a bank for $7.8 million, charging that they defrauded him of $95,000 three years ago.Donald R. Dunn, president of H. P. White Laboratory Inc., filed suit in Harford Circuit Court Dec. 9, alleging civil conspiracy, fraud and deceit against Provident Bank of Maryland, Luby Ltd. of Havre de Grace, A&A Auto Rental of Perryville and Michael P....

Baltimore County police were searching for a trio of bank robbers who cut their way through the roof of a Randallstown bank yesterday morning, robbed it and escaped on top of a truck with an undetermined amount of money.Police said the men, each armed with handguns and disguised by bandannas, entered Carrollton Bank in Liberty Plaza Mall about 9 a.m. through a hole they cut in the roof.They demanded money from the bank staff and fled through the hole. They climbed on top of a tractor-trailer parked next to the bank, which then drove away.

Two more banks join U.S. 1 loan program Provident Bank and Susquehanna Bank have joined the Route 1 Revitalization Loan Program. "As the second bank to join the program this year, Provident Bank's involvement will help enhance U.S. Route 1 and make it a thriving economic corridor of Howard County," County Executive Ken Ulman said in a news release. "Susquehanna Bank is the third bank to join the program this year, and its commitment will help greatly enhance U.S. Route 1 and make it a thriving business community," Ulman said.

When Jan Darrah chose a place to do her banking about 10 years ago, she picked Provident Bank because it was small and was based right here in town. "I like to do my business locally as much as possible," the Butchers Hill art teacher said, "because I like to give my money to local business people." Yesterday, however, she learned that her bank is no longer as small or as local, after Buffalo, N.Y.-based M&T Bank Corp. agreed to purchase Provident Bankshares Corp., the largest remaining Baltimore-based banking company, in a deal worth $401 million.