SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

The Securities Exchange Act of 1934

~~February~~June 1621, ~~2005~~2006

Date of Report (Date of earliest event reported)

PSB BANCORP, INC.

(Exact name of registrant as specified in its charter)

Pennsylvania	000-24601	~~000~~23-~~24601~~293074		~~23-2930740~~
(State or other jurisdiction	(Commission	(~~Commission~~IRS Employer		~~(IRS Employer~~
of incorporation)	File Number)	~~File~~Ident. ~~Number~~No.)		~~Ident. No.)~~
1835 Market Street
Philadelphia, PA			19103
(Address of principal executive offices)			(Zip Code)
(215) 979-7900
Registrant’s telephone number, including area code
(Former name or former address, if changed since last report.)

1835 Market Street
Philadelphia, PA	19103
(Address of principal executive offices)	(Zip Code)

(215) 979-7900

Registrant’s telephone number, including area code


	(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01 Other Events.

On ~~February~~June 1521, ~~2005~~2006, PSB Bancorp, Inc. (“the ~~United~~Company”) ~~State~~purchased ~~Court~~all ofrights, ~~Appeals~~if ~~for~~any, ~~the~~to 342,800 ~~Third~~contested ~~Circuit~~options (the “~~Appeals Court~~Rights”) ~~affirmed~~to acquire the ~~granting~~Company’s ofcommon ~~summary~~stock in ~~judgment~~a insecured ~~favor~~creditor sale from “The Bank”, a New Jersey financial institution. The contested options were purportedly originally issued to Hal Shaffer, a former employee/director of a predecessor institution, and were the ~~plaintiffs~~subject byof on-going litigation regarding the ~~United~~validity ~~States~~of ~~District~~such ~~Court~~options ~~for~~by the ~~Eastern~~Company. ~~District~~The Bank ~~(“District~~acquired ~~Court”)~~these Rights in ~~the~~ ~~case~~a ofcourt ~~CARL~~proceeding ~~LINGLE;~~among ~~RAYMOND~~The ~~SILVERSTEIN~~Bank, ~~As Trustee Under~~Mr. Shaffer, anand ~~Irrevocable~~other ~~Trust~~creditors ~~Dated~~of ~~April~~Mr. Shaffer. The Company paid “The Bank” $1,.2 million ~~1993;~~for ~~CONWELL~~the ~~LTD~~Rights., ~~Partnership; GERALD~~The ~~LEHRFELD;~~Company ~~JOAN~~believes ~~LEHRFELD;~~that ~~JAY~~this ~~ROSEMAN;~~purchase ~~LYNN~~of ~~ROSEMAN~~the v.Rights extinguishes ~~PSB~~any ~~BANCORP~~remaining interest The Bank, ~~INC.;~~or any individual or entity ~~FIRST~~claiming ~~PENN~~through ~~BANK;~~or ~~DILWORTH~~under ~~PAXSON~~The ~~LLP~~Bank, may have in the Rights.

~~PSB Bancorp,~~Item ~~Inc~~9. ~~(“PSB”) had declared 895,240 options granted to the plaintiffs to be void~~01. ~~The~~ ~~District~~Financial ~~Court~~Statements ~~granted summary judgment in favor of the plaintiffs who had brought an action to have the options declared valid. Pending the appeal of the summary judgment by PSB, the plaintiffs~~ and ~~PSB entered into an agreement whereby the plaintiffs exercised the options however, the parties agreed to put the shares and proceeds of the exercise of the options into escrow~~Exhibits. ~~There are two additional legal actions pending in the District Court with respect to an additional 475,960 options declared void by PSB.~~

~~PSB intends to file a petition for rehearing with the Appeals Court.~~NONE

~~Item~~Pursuant ~~9.01 Financial~~to ~~Statements~~the requirements ~~and~~of ~~Exhibits~~the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

~~(a) Not applicable~~PSB Bancorp, Inc. By: /s/ Anthony DiSandro Anthony DiSandro, President, Chief Executive Officer

~~(b) Not applicable.~~Dated: June 23, 2006

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	PSB BANCORP, INC.
Dated: February 16, 2005	/s/Anthony DiSandro
	Anthony DiSandro
	President and
	Chief Executive Officer

EXHIBIT INDEX

Exhibit Number

Not applicable

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