Pennsylvania dropping fair-lending case against bank being acquired by Integra.

Pennsylvania investigators say they won't prosecute Lincoln Savings Bank's Pittsburgh affiliate for allegedly violating fair-lending laws because the $250 million-asset Carnegie-based parent is set to be acquired by a competitor with a good reputation on the issue.

While Lincoln will have to pay a $30,000 fine, Attorney General Ernie Preate Jr. said last Friday he would merely require the bank to comply with standards set by its planned acquirer, $14 billion-asset Integra Financial Group of Pittsburgh.

Lincoln hasn't officially been acquired by Integra. Both banks await regulatory approval. The deal is scheduled to close in January.

What makes Integra's standards unique is that it is the only bank in Pennsylvania to agree to a written memorandum of understanding with a coalition of neighborhood redevelopment organizations.

The memorandum sets specific marketing and lending goals totaling $1.4 million.

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