Appeal from the Order of the Department of Banking in case of In Re: Application of Concord-Liberty Savings and Loan Association, 313 Sixth Avenue, Pittsburgh, Allegheny County, Pennsylvania, for a Letter of Authority to Establish a Branch within Robert Cattaneo's Shop 'N' Save Supermarket, 115 East McMurray Road, Donaldson Crossroads, Peters Township, Washington County, Pennsylvania, dated November 4, 1976.
Stephen W. Graffam, with him Grogan, Graffam, McGinley & Solomon, for petitioner.
Melvin R. Shuster, with him Bonnie Jean McRobbie, Assistant Attorney General, John E. Nanorta, Assistant Attorney General, and Robert P. Kane, Attorney General, for respondent.
William H. Markus, with him Edmond B. Smith, Jr., and Markus, Riethmuller & Smith, for intervening respondent.
President Judge Bowman and Judges Crumlish, Jr., Wilkinson, Jr., Rogers and Blatt. Opinion by Judge Crumlish, Jr.
[ 33 Pa. Commw. Page 606]
This appeal by South Pittsburgh Savings and Loan Association (South Pittsburgh) is from a decision and order of the Department of Banking (Department) approving the application of Concord-Liberty Savings and Loan Association (Concord) for a letter of authority to establish a branch office within Cattaneo's
[ 33 Pa. Commw. Page 607]
Shop 'N' Save Supermarket in Donaldson Crossroads, Washington County. The Department's action was taken pursuant to Section 404 of the Savings Association Code of 1967 (Code), Act of December 14, 1967, P.L. 746, as amended, 7 P.S. § 6020-54.
In January, 1974, South Pittsburgh, which to that time had no branch office in the Donaldson Crossroads area, sought approval from the Department to open a branch office there. The department approved an application for a branch on the site adjacent to the Cattaneo Supermarket, but that plan was thwarted by zoning difficulties. South Pittsburgh then sought and received approval for a branch office located 600 feet, or two blocks, from the supermarket. That office was opened on February 28, 1975, and has been in operation ever since.
Subsequently, in the fall of 1975, South Pittsburgh contacted the Department concerning the opening of an "in-store" branch within the supermarket. However, the association's officials, who had exchanged written and telephonic communications with the Assistant Director of the Department's Savings Association Bureau, never culminated their discussions by the submission of a formal application. On February 24, 1976, Concord applied for a letter of authority for an in-store branch at Cattaneo's. Following South Pittsburgh's objection to the application, a hearing was held before a Department hearing examiner on July 19, 1976. On November 4, 1976, the Department issued its decision approving Concord's application; this appeal followed.
South Pittsburgh argues that Concord failed to show need within the subject primary service area for this particular branch office and, hence, that approval by the Department was erroneous. It further ...