FORM 3

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person* Kelley Lee (Last) (First) (Middle) 9800 RICHMOND AVENUE SUITE 680 (Street) HOUSTON TX 77042 (City) (State) (Zip)	2. Date of Event Requiring Statement (Month/Day/Year) 06/19/2007	3. Issuer Name and Ticker or Trading Symbol FRANKLIN BANK CORP [ FBTX ]
		4. Relationship of Reporting Person(s) to Issuer (Check all applicable) Director 10% Owner Officer (give title below) X Other (specify below) see remarks	5. If Amendment, Date of Original Filed (Month/Day/Year)
			6. Individual or Joint/Group Filing (Check Applicable Line) X Form filed by One Reporting Person Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Beneficially Owned
1. Title of Security (Instr. 4)	2. Amount of Securities Beneficially Owned (Instr. 4)	3. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	4. Nature of Indirect Beneficial Ownership (Instr. 5)
Common Stock	4,013	D
Restricted Common Stock(1)	4,875	D

Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 4)	2. Date Exercisable and Expiration Date (Month/Day/Year)		3. Title and Amount of Securities Underlying Derivative Security (Instr. 4)		4. Conversion or Exercise Price of Derivative Security	5. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Stock Option (right to buy)	12/14/2005	12/14/2010	Common Stock	1,500	18.6	D
Stock Option (right to buy)	12/14/2010	12/14/2010	Common Stock	1,000	18.6	D

Explanation of Responses:

1. Represents unvested shares of restricted stock granted pursuant to the registrant's 2006 Long-Term Incentive Plan. The restrictions on the restricted stock lapse and shall vest on June 30, 2011 as to 1,875 shares and May 31, 2017 as to 3,000 shares.

Remarks:

Managing Director, East Texas Banking of Franklin Bank, S.S.B. (a Texas state savings bank and wholly owned subsidiary of Franklin Bank Corp.)

	/s/Darlene Tregre	06/21/2007
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 5 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
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