A New York State Supreme Court judge allowed Community Bank System Inc. to proceed with its purchase of 15 Chase Manhattan Corp. branches over the objection of three shareholders.

The three shareholders, who together own less than 1% of the bank's stock, are suing the bank and the board of directors to block the transaction and a stock offering to finance it. The shareholders argue that the Dewitt-based bank is paying too much for the branches and $455 million of deposits, sapping its capital.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.