NewAlliance Bancshares profiteers be warned: Connecticut's State Senate has passed legislation to stem future NewAlliance Bancshares-esque fiascos: Wednesday’s bill, which will now go to the House, will require the state banking commissioner to approve conversion proposals before a corporator vote, rather than afterwards. The bill also mandates that at least 60 percent of corporators are "independent" from the bank, and that a majority of those independent corporators must approve the conversion. It would also set a minimum number of overall corporators at 25. "It will strengthen the regulatory power of the banking commissioner," Looney said. "The commissioner will now have input at a very early stage to shape the bank’s proposal."


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