Georgia Department of Banking and Finance Takes Possession of First Coweta Bank, Newnan, Georgia

August 21, 2009

The Georgia Department of Banking and Finance (“Department”) took possession of First Coweta Bank, Newnan, Georgia on August 21, 2009.   The Superior Court of Coweta County issued an Order appointing the Federal Deposit Insurance Corporation (“FDIC”) as Receiver of the Bank effective upon the Department taking possession of First Coweta Bank.

The Department took possession of First Coweta Bank pursuant to the Official Code of Georgia, Section 7-1-150(a) which authorizes the Department in its discretion to take possession of the business and property of any state chartered financial institution whenever such financial institution is either insolvent or operating in an unsafe or unsound condition to transact its business, is operating in violation of any court order, statute, rule or regulation, or requests the Department to take possession of its business and property. 

Through an agreement with the FDIC, First Coweta Bank will be acquired by United Bank, Zebulon, Georgia.

All deposit accounts of First Coweta Bank have been transferred to United Bank and will be available immediately.  On Saturday, August 22, 2009, depositors will be able to access their accounts at the former main office and branch locations of First Coweta Bank.  Customers of both banks should continue to use their existing branches until United Bank can fully integrate the deposit records of First Coweta Bank.   Additionally, the former depositors of First Coweta Bank can continue to access their accounts through automated teller machine transactions, checks and debit transactions.

All deposits will be transferred to United Bank and, therefore, it is not anticipated that there will be any loss exposure to former First Coweta Bank depositors that have deposits exceeding the FDIC Deposit Insurance amounts. 

The Department’s Commissioner, Robert M. Braswell, reminds depositors that deposits of all Georgia banks are insured by the FDIC up to $250,000. Special rules are in place for accounts held in trust status and joint accounts that may further expand deposit insurance coverage.  You can find additional information on FDIC Deposit Insurance at

The FDIC has established a website and a toll-free phone number to answer questions from depositors, creditors and other interested parties regarding the receivership of First Coweta Bank. Please refer to the FDIC’s website for further information regarding the details of the purchase and assumption transaction. The website is and the toll-free phone number is 1-800-405-8028.   The phone number is operational this evening until 9 p.m. Eastern Standard Time, on Saturday from 9 a.m. until 6 p.m. on Sunday from noon to 6 p.m. and thereafter from 8 a.m. to 8 p.m.