East West Bank to Save UCB

The FDIC make a move to assumed all the deposits of United Commercial Bank (UCB). The East West Bank of Pasadena, California come to help UCB as recently ordered to closed today by the California Department of Financial Institution and appoints Federal Deposit Insurance Corporation (FDIC) as the receiver of the issue. The FDIC would like to protect all depositors of United Commercial Bank by entering and providing an assumption agreement with the East West Bank of Pasadena, California. And right now, the East West banks assumes all the deposits of UCB.

This agreement included all U.S. branches of United Commercial Bank, the Hong Kong branch of United Commercial Bank, and the subsidiary of United Commercial Bank headquartered in Shanghai, China, United Commercial Bank (UCB-China).

According to reports, all the depositors of UCB will now be the depositors of East West Bank all over the country. All domestic deposits will be protected by the FDIC and for Hong Kong deposits was still covered by Hong Kong Deposit Protection Scheme and Hong Kong enforce full deposits guarantee.

You can read the entire reports in Federal Deposit Insurance Corporation site. [Connect from here]

You can also read this news in CNN Money reports. [Connect from here]