The Office of Thrift Supervision will hold a rare public hearing to investigate a Community Reinvestment Act protest against Dime Savings Bank of Williamsburgh.
A date has not been set for the hearing, which will pit Inner City Press/Community on the Move against the Brooklyn-based savings bank, which is not affiliated with Dime Bancorp.
The OTS said in a Jan. 23 letter that the community activists' complaint was "substantial," a legal finding that permits the agency to hold the hearing.
Inner City Press executive director Matthew Lee said Dime Savings isn't making loans for new apartment buildings in inner city areas in which it collects deposits.
"This is old-school redlining," Mr. Lee said.
Dime Savings wants to acquire Pioneer Savings Bank, and then convert from a mutual thrift to a stockholder owned bank. Kenneth J. Mahon, senior vice president and community development officer at Dime, said the bank is proud of its CRA record. "We look forward to expressing our opinions to the OTS," he said.