Canadian Commercial Bank

Canadian Commercial Bank (CCB) was a bank based in Edmonton, Alberta, Canada, which failed in 1985. It received its parliamentary charter in 1975 and established its head office in Edmonton.<ref>Template:Cite web</ref> The bank was privately owned and operated as a wholesale commercial bank.

History

File:Bell Tower, Edmonton.jpg

The CCB headquarters, now known as Bell Tower in Edmonton

The Canadian Commercial Bank officially began operations in July 1976, with CDN$22 million of capital. From 1976 to 1982, it operated profitably—usually in the top quartile of Canadian banking. It built a new headquarters in Edmonton, the Canadian Commercial Bank Tower in 1982.

In early 1985, after investing heavily in real estate and energy sector companies, the bank became insolvent during a period of rising interest rates and a falling Canadian dollar.<ref name="HSBCwon't">Template:Cite news</ref> The federal government arranged a $255 million bailout ($Template:Inflation billion today) in an effort to keep the failing institution afloat.<ref>Template:Cite news</ref> In spite of this, the bank ceased operations on September 3, 1985.<ref name="Murphy1993">Template:Cite book</ref> It was the largest bank failure in Canadian history and the first in Canada in 60 years, though followed shortly that year by the failure of the Northland Bank.

Following the failures, the government weathered calls for the resignation of the governor of the Central Bank, Gerald Bouey.<ref>Template:Cite news</ref> The failures of both banks were the subject of a Commission of Inquiry headed by Supreme Court of Canada Justice Willard Estey, who issued his report in 1986.<ref>Template:Cite report</ref><ref>Template:Cite news</ref>

See also

• List of banks in Canada
• Canada Deposit Insurance Corporation

Further reading

• Canadian Commercial Bank Financial Assistance Act [1985, c. 9]
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