Bank of British Columbia

There have been two Canadian banks with the name Bank of British Columbia.

The first was established by Royal Charter in 1862 and merged with the Canadian Bank of Commerce in 1901. For a number of years before that it ran a branch in San Francisco.

The second was the 1970s creation of W.A.C. Bennett, the Premier of the Province of British Columbia. Mr. Bennett, a businessman, wanted to end Central Canada's absolute control over the banking industry which obliged all but the smaller loans for companies in British Columbia to receive authorization from Head Offices in either Montreal or Toronto. In 1978, financed by the provincial government, Mr. Bennett, in his capacity as the provincial premier, proceeded to distribute the shares freely to the citizens of British Columbia.

Following financial difficulties arising from poor management, most notably by the flamboyant American Edgar F. Kaiser, Jr., in 1986 the Canadian government permitted the Hongkong Bank of Canada (HSBC) to rescue it. By stepping in, HSBC acquired $2.6 billion CAD in assets, a large base of stable retail deposits, and 41 branches in British Columbia and Alberta. The acquisition immediately jumped HSBC's rank amongst Canadian banks from the 20th to the 9th largest.

ee also

*List of Canadian banks