June 4, 2002

Office of the Chief Accountant
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549

Dear Sir/Madam:

We have read the first, second, third and fifth paragraphs of Item 4 included in the Form 8-K dated May 29, 2002 of ITLA Capital Corporation to be filed with the Securities and Exchange Commission and are in agreement with the statements contained therein.

Very truly yours,

/s/ Arthur Andersen LLP

cc: Mr. Timothy Doyle - Chief Financial Officer, ITLA Capital Corporation