Overseas Trust Bank
| Company type | Public (formerly) |
|---|---|
| Industry | Banking and finance |
| Founded | 1955 |
| Founder | Chang Ming Thien |
| Defunct | 2003 |
| Fate | Acquired and consolidated into DBS Bank (Hong Kong) Limited |
| Headquarters | Hong Kong , Hong Kong |
Area served | Hong Kong |
| Owner | Guoco Group (1993–2001), then DBS Bank (2001–2003) |
Overseas Trust Bank Limited (OTB) () was a financial institution in Hong Kong established in 1955 by the Malaysian entrepreneur Chang Ming Thien. It became publicly traded on the Hong Kong Stock Exchange in 1972 and was recognized as the fourth largest banking entity in Hong Kong prior to its acquisition.
Collapse and government intervention
On June 6, 1985, OTB revealed it was on the brink of failure due to significant cash flow problems and substantial bad debt amounting to US$89.5 million. To maintain stability and trust in Hong Kong's banking sector, the Hong Kong Government assumed control of the bank the next day. From 1985 to 1986, inquiries conducted by the Royal Hong Kong Police and the ICAC culminated in the arrest of former chairman Patrick C.T. Chang in May 1986. Subsequently, in 1987, Chang along with other senior executives received prison sentences.
Transfer to Guoco Group
In 1993, ownership of OTB transferred to the Malaysian-owned Guoco Group through a government sale valued at US$571 million. Following this acquisition, OTB operated as a subsidiary under Dao Heng Bank.
DBS Bank acquisition and consolidation
In 2001, Singapore-based DBS Bank purchased and took private Dao Heng Bank and OTB from Guoco Group. By 2003, DBS consolidated DBS Kwong On Bank, Dao Heng Bank, and Overseas Trust Bank into a single entity known as DBS Bank (Hong Kong) Limited.