Valencia Bank

Valencia National Bank said its net income for the fourth quarter ended Dec. 31 increased 35% to $113,070 from $83,932 a year earlier. The Valencia-based bank's total assets as of Dec. 31 were $50.9 million, up 47% from $34.6 million a year before. Net income for the bank, which is 2 years old, increased more than thirty-fold for the full year 1989, to $500,965 compared with $15,725 in 1988.

Valencia National Bank reported that its net income increased 301% for the third quarter that ended Sept. 30 to $125,044 from $31,207 a year earlier. The Valencia-based bank said its assets increased 38% to $45 million as of Sept. 30 from $32.5 million the year before.

Valencia National Bank reported that its net income for the second quarter, which ended June 30, was $139,339, up from a net loss of $12,893 for the same period a year ago. The Valencia-based bank reported that its deposits rose 71% from $20 million a year ago to $34.3 million, while its total assets increased 65% from $23.8 million to $39.4 million.

An Orange County judge has approved a $70.05-million payout as the first distribution of proceeds from the liquidation of defunct Valencia Bank. As previously reported, the payment amounts to 75% of the $93.4 million claimed by depositors and creditors of the Santa Ana bank, which regulators seized in February, 1986. The Federal Deposit Insurance Corp., which insures deposits up to $100,000 per account, received the entire amount as Valencia's largest creditor.

The receiver for defunct Valencia Bank plans to pay $70 million out of a total of $93.4 million claimed by creditors and holders of uninsured deposits, according to papers filed in Orange County Superior Court on Wednesday. The receiver, the Federal Deposit Insurance Corp., also plans to retain $8.1 million as a reserve against expenses and litigation. In addition, the FDIC proposed holding other liquidated assets appraised at $20 million. The FDIC took over Valencia on Feb.

A bank robber who makes his getaway on a bicycle struck for the fourth time in two weeks Friday, taking $7,000 to $9,000 at gunpoint from tellers in a Canyon Country bank, the Los Angeles County Sheriff's Department said. A man wearing a wig of long, curly, red hair robbed Valley Federal Savings at 19310 Soledad Canyon Road about 1:20 p.m., then sped away on an orange bicycle, Deputy John Baylis said.

The Federal Deposit Insurance Corp. filed a malpractice suit against Orange County attorney James B. Macdonald Thursday, asserting that the now-defunct Valencia Bank lost millions of dollars because of his poor legal advice. Macdonald served as general counsel to Valencia Bank between 1980 and 1985, according to the FDIC'S lawsuit, filed in Orange County Superior Court. Macdonald could not be reached for comment.

A federal regulatory agency has settled one of the largest claims against the failed Valencia Bank in Santa Ana by returning most of a $5.2-million deposit the bank had withheld from a Peruvian company in an aborted sale of the bank 21 months ago. The Federal Deposit Insurance Corp. kept $850,000 out of the deposit and returned the rest of the money, plus interest, to BCP International Holding Corp., formerly known as Credito del Peru Holding Corp.

Beneficiaries of 62 pension plans administered by the trust department at the failed Valencia Bank in Santa Ana will get all of their money back, plus 11% interest, under a settlement approved Thursday by an Orange County Superior Court judge. The settlement had been worked out between a lawyer for the pension plans and the Federal Deposit Insurance Corp., which is acting as a receiver for the bank and is liquidating its assets.