Continental Bank of Canada
The Continental Bank of Canada, with head offices in Toronto, began operations as a subsidiary of a finance company, IAC Limited (founded in 1925 as Industrial Acceptance Corp Ltd). In 1981 it absorbed IAC and was chartered as a bank. In 1986 the company had revenues of over $650 million and assets of $5.5 billion (ranking 15th among financial institutions in Canada). In November of that year Lloyds Bank of Canada took over ownership of the Continental Bank, prompting a parliamentary debate because according to the Bank Act a Schedule A bank cannot be sold to a Schedule B bank. Lloyds finally purchased 90%; the remaining 10% included $18 million in loans to the energy sector, Continental's Latin American loan portfolio and its leasing operations. Lloyds was eventually purchased by the Hongkong Bank of Canada in 1990. The remaining organization was renamed CBOC Continental Inc in 1996, and after it won a Supreme Court case against Revenue Canada in 1998, began its final wind-up.