A lot has been made of the most recent FDIC quarterly report, especially the large increase in problem banks to 550 – at least in the blogospehere; some media outlets seem to be burying this news. Underneath this news are the specific stories about troubled institutions, some of which the FDIC chronicles in its monthly list of orders of administrative enforcement actions.
Below is a partial list of October FDIC enforcement decisions and orders. I have only included cease-and-desist orders, prompt corrective action notices and termination of insurance orders as these are the areas where I am most interested as signs of banking system distress.
The legal language surrounding a termination of an insured depositary institution’s status is linked at the bottom. Also, have a look through the entire list of FDIC actions linked below. It may be helpful in getting a general sense of how regulation in the U.S. banking system functions and what types of administrative actions often precede seizure.
FINAL ORDERS ISSUED PURSUANT TO SECTION 8(b), 12 U.S.C. § 1818(b)
Cease-and-Desist
Advantage Bank, Loveland, CO; FDIC-09-427b; Issued 10/21/09 – PDF (PDF Help)
The Felton Bank, Felton, DE; FDIC-09-432b; Issued 10/27/09 – PDF (PDF Help)
First City Bank of Florida, Fort Walton Beach, FL; FDIC-09-356b; Issued 10/15/09 – PDF (PDF Help)
Montgomery Bank & Trust, Ailey, GA; FDIC-09-325b; Issued 10/6/09 – PDF (PDF Help)
Eastside Commercial Bank, Conyers, GA; FDIC-09-217b; Issued 10/9/09 – PDF (PDF Help)
American Trust Bank, Roswell, GA; FDIC-09-301b; Issued 10/9/09 – PDF (PDF Help)
Ohana Pacific Bank, Honolulu, HI; FDIC-09-517b; Issued 10/22/09 – PDF (PDF Help)
Benchmark Bank, Aurora, IL; FDIC-09-404b; Issued 10/15/09 – PDF
American Metro Bank, Chicago, IL; FDIC-09-394b; Issued 10/30/09 – PDF (PDF Help)
Edgebrook Bank, Chicago, IL; FDIC-09-092b; Issued 10/23/09 – PDF (PDF Help)
Lincoln Park Savings Bank, Chicago, IL; FDIC-09-250b; Issued 10/6/09 – PDF (PDF Help)
Palos Bank and Trust Company, Palos Heights, IL; FDIC-09-279b; Issued 10/2/09 – PDF (PDF Help)
Peotone Bank and Trust Company, Peotone, IL; FDIC-09-184b; Issued 10/9/09 – PDF (PDF Help)
American Heartland Bank and Trust, Sugar Grove, IL; FDIC-09-345b; Issued 10/30/09 – PDF (PDF Help)
Elkhart Community Bank, Elkhart, IN; FDIC-09-297b; Issued 10/2/09 – PDF (PDF Help)
Hillcrest Bank, Overland Park, KS; FDIC-09-390b; Issued 10/21/09 – PDF (PDF Help)
Peoples Bank and Trust Company of Clinton County, Albany, KY; FDIC-09-405b; Issued 10/22/09 – PDF(PDF Help)
Citizens Bank & Trust Company, Covington, LA; FDIC-09-503b; Issued 10/27/09 – PDF (PDF Help)
Bank of Greensburg, Greensburg, LA; FDIC-09-403b; Issued 10/20/09 – PDF (PDF Help)
Citizens State Bank, New Baltimore, MI; FDIC-09-391b; Issued 10/15/09 – PDF (PDF Help)
Access Bank, Champlin, MN; FDIC-09-440b; Issued 10/22/09 – PDF (PDF Help)
Frontenac Bank, Earth City, MO; FDIC-09-443b; Issued 10/21/09 – PDF (PDF Help)
Union Bank, Kansas City, MO; FDIC-09-441b; Issued 10/5/09 – PDF (PDF Help)
Thayer County Bank, Hebron, NE; FDIC-09-475b; Issued 10/21/09 – PDF (PDF Help)
First State Bank, Cranford, NJ; FDIC-08-166b; Issued 10/2/09 – PDF (PDF Help)
West Coast Bank, Lake Oswego, OR; FDIC-09-453b; Issued 10/22/09 – PDF (PDF Help)
Coatesville Savings Bank, Coatesville, PA; FDIC-09-447b; Issued 10/8/09 – PDF (PDF Help)
R-G Premier Bank of Puerto Rico, Hato Rey, PR; FDIC-06-045b; Issued 10/23/09 – PDF (PDF Help)
Eurobank, San Juan, PR; FDIC-09-317b; Issued 10/9/09 – PDF (PDF Help)
Jefferson Bank, Dallas, TX; FDIC-09-452b; Issued 10/27/09 – PDF (PDF Help)
First Bank, Farmersville, TX; FDIC-09-420b; Issued 10/21/09 – PDF (PDF Help)
North Houston Bank, Houston, TX; FDIC-09-471b; Issued 10/7/09 – PDF (PDF Help)
Oasis Bank, SSB, Houston, TX; FDIC-09-387b; Issued 10/9/09 – PDF (PDF Help)
Madisonville State Bank, Madisonville, TX; FDIC-09-470b; Issued 10/7/09 – PDF (PDF Help)
Bank of South Texas, McAllen, TX; FDIC-09-455b; Issued 10/27/09 – PDF (PDF Help)
Capmark Bank, Midvale, UT; FDIC-09-213b; Issued 10/2/09 – PDF (PDF Help)
SunFirst Bank, St. George, UT; FDIC-09-409b; Issued 10/8/09 – PDF (PDF Help)
Evergreen Bank, Seattle, WA; FDIC-09-451b; Issued 10/23/09 – PDF (PDF Help)
Sterling Savings Bank, Spokane, WA; FDIC-09-507b; Issued 10/9/09 – PDF (PDF Help)
Southport Bank, Kenosha, WI; FDIC-09-435b; Issued 10/2/09 – PDF (PDF Help)
FINAL ORDERS ISSUED PURSUANT TO SECTION 38, 12 U.S.C. § 1831o
Prompt Corrective Actions
Imperial Capital Bank, La Jolla, CA; FDIC-09-553PCAS; Supervisory Prompt Corrective Action Directive;Issued 10/13/09 – PDF (PDF Help)
Rockbridge Commercial Bank, Atlanta, GA; FDIC-09-530PCAP; Supervisory Prompt Corrective Action Directive; Issued 10/28/09 – PDF (PDF Help)
LibertyPointe Bank, New York, NY; FDIC-09-554PCAS; Supervisory Prompt Corrective Action Directive;Issued 10/20/09 – PDF (PDF Help)
FINAL ORDERS ISSUED PURSUANT TO SECTION 8(q), 12 U.S.C. § 1818(q)
Voluntary Termination of Insurance
Spirit of America National Bank, Milford, OH; FDIC-09-579q; Issued 10/30/09 – PDF (PDF Help)
FINAL ORDERS ISSUED PURSUANT TO SECTION 19, 12 U.S.C.§1829
Section Termination 19
Steve M. Leonard; FDIC-09-383L; Order Granting Permission to File Application and Approving Application for Consent to Participate in the Affairs of any Insured Depository Institution; Issued 10/5/09 – PDF (PDF Help)
John P. Murphy, FDIC-09-450L; Order Granting Permission to File Application and Approving Application for Consent to Participate in the Affairs of any Insured Depository Institution; Issued 10/5/09 – PDF (PDF Help)
ORDER TERMINATING TEMPORARY ORDER TO CEASE AND DESIST
Colonial Bank, Montgomery, AL; FDIC-09-402c&b; Issued 10/21/09 – PDF (PDF Help)
TERMINATIONS
Order Terminating an Order to Cease and Desist
Hillcrest Bank Florida, Naples, FL; FDIC-09-466b; Issued 10/30/09 – PDF (PDF Help)
Mainstreet Bank, Forest Lake, MN; FDIC-08-158b; Issued 10/30/09 – PDF (PDF Help)
First Independent Bank, Russell, MN; FDIC-07-155b; Issued 10/8/09 – PDF (PDF Help)
Jennings State Bank, Spring Grove, MN; FDIC-07-220b; Issued 10/21/09 – PDF (PDF Help)
Brickwell Community Bank, Woodbury, MN; FDIC-08-332b; Issued 10/30/09 – PDF (PDF Help)
Source
U.S. Code collection § 1818. Termination of status as insured depository institution – Cornell Law School Website
FDIC Enforcement Decisions and Orders – FDIC website