A survey published last week by the Independent Community Bankers of America said 52% of community banks increased their budgets for payments projects from 2007 to 2009, while only 11% cut spending.

A year after the Troubled Asset Relief Program came along, a growing number of community banks the government spurned are on the brink of failure.

These institutions did not cause the current financial crisis; their woes are the product of failures triggered by the activities of under- and unregulated entities and entities with more leverage and capital markets expertise.

MIDDLE ATLANTIC

As the tally of failed banks continues to grow, so does the list of institutions with similar names that have had to calm down confused customers and business partners.

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Community Trust Financial Corp. in Ruston, La., is expanding into Mississippi. The $1.2 billion-asset company has a deal to buy the $65 million-asset Madison Financial Corp., which would add three branches in the neighboring state.

Michael E. Kelly, the billionaire who built FBOP Corp. by snapping up ailing banks around the country in the 1980s and 1990s, now may have to give up some control of this far-flung empire — or lose all of it.

MB Financial Inc. picked up the pieces of Corus Bank after its seizure Friday and now plans to spend the rest of the year integrating what was a sizable hometown acquisition.

Washington Federal Inc. in Seattle is raising $300 million of capital to support its growth and possibly make acquisitions.

FBOP Corp. of Oak Park, Ill., which is low on capital at five of its nine banks, has a written agreement with regulators requiring it to improve quickly.

The Fed issued a "written agreement" between its Chicago Reserve Bank and FBOP Corp., the nation's largest privately held bank, ordering FBOP to submit a risk-management plan ...

Credit unions may be hard-pressed to fend off new efforts to bring them under the Community Reinvestment Act, in light of another study questioning their commitment to serving the underserved.

Time ran out on Corus Bank late Friday as regulators closed the once-high-flying Chicago condominium lender and sold its operations to another institution.

Wilshire Bancorp Inc. in Los Angeles has filed a shelf registration to raise up to $100 million of capital.

Premier Members Federal Credit Union in Boulder, Colo., which has an agreement to absorb Colorado United Credit Union in Denver, said it expects to pursue more deals.

The struggling Park View Federal Savings Bank of Solon, Ohio, must boost its capital levels by yearend, and it has a new chief executive officer on board to help.

WEST

Global Consumer Acquisition Corp.'s grand plan to build one of the largest community banking operations is back on track with a deal to buy Service1st Bank of Nevada in Las Vegas.

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