Article: STATE SEIZES COOLIDGE CORNER BANK

State banking regulators yesterday seized the insolvent Coolidge Corner Co-operative Bank of Brookline and said it will reopen today as a branch of the Brookline Savings Bank.

The one-office bank, with $86.3 million in deposits, fell victim to a depressed real estate market and lax loan underwriting standards under a chief executive who left a year ago, according to bank commissioner Thomas J. Curry. He said the bank had negative net worth of "upwards of a million dollars."

All Coolidge Corner depositors, including those with more than $100,000 in the bank, will be fully insured.

The bank suffered large losses from a high concentration of mortgage loans on investor-owned condominiums, and ...

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