Capital Briefs: Fulton Cleared to Buy Delaware National

WASHINGTON - The Federal Reserve Board on Monday gave Fulton Financial Corp. of Lancaster, Pa., permission to acquire Delaware National Bank of Georgetown, Del.

The acquisition will boost Fulton's asset size $100 million, to $3.1 billion.

Activists had protested the merger on Community Reinvestment Act grounds, charging that Fulton discriminates against Hispanics and fails to serve low-income areas.

The Fed rejected the protest, noting that all seven of Fulton's subsidiary banks received either "outstanding" or "satisfactory" ratings during their most recent exams.

Home Mortgage Disclosure Act data from Fulton's banks do indicate that the bank rejects more minority applicants, the Fed said. But the Fed said the bank solicits business from all the neighborhoods within its community.

Also, it said Fulton participates in programs that provide financing for affordable housing and small-business development.