Blumenthal Asks for Info on Bank Merger
Attorney General Richard Blumenthal is calling for more information from First Niagara Financial Group, about the plan it announced in August to buy NewAlliance Bancshares of Connecticut for about $1.5 billion in cash and stock.
Blumenthal says he wants to know how the acquisition by the Buffalo-based company will affect employment and community lending in Connecticut. He’s also asking for state and federal regulators to hold public hearings in New Haven, to make sure that local individuals and groups have an opportunity to ask questions and express their opinions.
In his letter to First Niagara, Blumenthal asks how many and what categories of jobs would be lost in Connecticut due to the merger, He’s asking for details on credit and lending by the institution, its procedures on overdraft fees, and its policies regarding sale of loans to the secondary market.