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CITY OF KING CITY v. COMMUNITY BANK

Nos. H026888, H027166.

32 Cal.Rptr.3d 384 (2005)

131 Cal.App.4th 913

CITY OF KING CITY, Plaintiff and Respondent, v. COMMUNITY BANK OF CENTRAL CALIFORNIA, Defendant and Appellant.

Court of Appeals of California, Sixth District.

August 2, 2005.

Attorney(s) appearing for the Case

Sinsheimer, Schiebelhut & Baggett, David Alan Juhnke, San Luis Obispo, for Plaintiff and Respondent City of King City.

Miller, Starr & Regalia, Richard G. Carlston, Basil S. Shiber, Sunny J. Knight, Walnut Creek, Noland Hamerly Etienne Hoss, James D. Schwefel, Stephen W. Pearson, Anne K. Secker, Law Offices of Joel Franklin, Joel Franklin, Monterey, for Defendant and Appellant Community Bank of Central California.

RUSHING, P.J.

Officials of the City of King City (City) deposited some $4.4 million of funds under their control into the Community Bank of Central California (Bank), and then pledged the funds to the bank as collateral for a loan to a developer engaged in a redevelopment project under the supervision of the local redevelopment agency, Community Development Agency (Agency). The developer apparently defaulted on the...

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