UNITED

STATES BEFORE

OF AMERICA THE RESERVE SYSTEM

BOARD

OF GOVERNORS

OF THE FEDERAL D.C.

WASHINGTON,

In the Matter Daniel

of

j
; ) ) 1 ) ) 1 I 1 1

K. Walker

Docket

No.

98-025-CMP-12

An Institution-Affiliated Party of FARMERS AND MERCHANTS BANK of Long Beach Long Beach, California A State Member Bank

Consent

Order

WHEREAS, Deposit Insurance

pursuant Act,

to Section

8(i)

of the Federal 1818(i)) Reserve the a

as amended

(12 U.S.C.

(the ‘FDI Act"), System consent director, Section

the Board

of Governors issues

of the Federal this Order senior party, 1813(u)), Beach,

(the "Board of Daniel

of Governors") K. Walker

upon

("Walker"),

vice-president, as defined in

and an institution-affiliated 3(u) of the FDI Act Bank of Long (12 U.S.C. Beach, Long

of the Farmers (the

and Merchants "Bank"), extensions alleged

California

a State

member

bank,

in connection to a Bank

with

the Bank's that resulted in

of credit

in 1996

affiliate

violations

by the Bank other Act

of the prior requirements (12 U.S.C.

approval,

collateral, 23A and

documentation

and certain Reserve

of Sections and

23B of the Federal

371~

371c-11,

Regulation a Written

0 of the Board Agreement and between

of Governors the Federal dated

(12 C.F.R. Reserve

Part of

215),

and

Bank

San Francisco

the Bank,

November

10, 1993;

WHEREAS, has consented

by affixing

his

signature

hereunder, by the Board and every he might 263,

Walker of

to the issuance

of this Order with each

Governors

and consented and waived

to comply

provision have

of this Order, pursuant

any and all rights Part

to 12 U.S.C.

1818 or 12 C.F.R.

or otherwise with respect

(a) to a hearing to any matter judicial challenge

for the purpose

of taking in this

evidence Order;

implied

or set forth

(b) to obtain and (c) to

review

of this Order

or any provision the basis,

hereof; issuance,

or contest

in any matter

validity, or

effectiveness, any provision

collectibility hereof.

or enforceability

of this Order

NOW, adjudication and without allegation connection settlement hearings

THEREFORE,

prior

to the taking issue

of any

testimony

or

of or finding this made with Order

on any

of fact

or law herein, of any in of

constituting

an admission

or implied

by the Board and

of Governors

this proceeding,

solely

for the purpose or extended

of this proceeding or testimony:

without

protracted

2

IT IS HEREBY FDI Act, that:

ORDERED,

pursuant

to section

8(i)

of the

1. Walker money penalty

shall

pay

as hereinafter

provided

a civil

in the sum of $12,500.

2. The shall be remitted

funds

agreed

to be paid

pursuant

to this Order execution of of

in full, made

at the time payable and

of Walker's "Board with

this Order, the Federal copy

by check Reserve

to the forwarded

of Governors Walker's

System"

executed of the

of this Order, Board

to Jennifer

J. Johnson,

Secretary

Board,

of Governors D.C. 20551.

of the Federal The Board

Reserve

System, shall remit by the

Washington, payment statute.

of Governors States

to the Treasury

of the United

as required

3. All sent to:

communications

regarding

this

Order

shall

be

(a) Harold H. Blum Director Federal Reserve Bank of San Francisco 101 Market Street San Francisco, CA 94105 (b) Daniel K. Walker Senior Vice President Farmers and Merchants 302 Pine Street Long Beach, CA 90802 3

and Director Bank of Long

Beach

4. No portion Order by Walker shall

of the funds

to be paid

pursuant paid,

to this advanced,

be, directly funded

or indirectly,

reimbursed

or otherwise

by the Bank.

5. The provisions or otherwise State Walker, take any agency prevent

of this

Order

shall

not bar,

estop, or

the Board from that

of Governors, taking

or any Federal action

or department however, action

any other

affecting shall not

provided, further known

the Board Walker

of Governors upon

against

based

information to the matters

presently addressed

by the Board

of Governors

relating

by this Order.

By order

of the Board

of Governors,

this

BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM

Daniel

K. Walker

Secretary

of the Board

4