The Office of the Comptroller of the Currency on Jan. 16 announced a number of enforcement actions in the banking sector.
The following list excludes actions previously covered by S&P Global Market Intelligence and those that do not meet criteria for news coverage. Click here to view SNL's full database of enforcement actions against U.S. banks and thrifts.
Formal agreements
The OCC entered into a formal agreement with Palos Heights, Ill.-based United Trust Bank dated Dec. 18, 2019, which replaces the consent order issued against the bank in August 2012. Consequently, the continued existence of the order is no longer required.
The formal agreement requires the bank to take certain steps within specified time periods to address "unsafe or unsound" practices, including those relating to earnings, liquidity risk management, credit administration, information technology and consumer compliance.
Among other things, United Trust Bank's board must appoint a compliance committee of at least three members; submit a revised strategic plan covering at least a three-year period; and develop and implement an effective internal capital planning process to assess the bank's capital adequacy in relation to its overall risks. Additionally, the bank must develop, implement and adhere to a comprehensive, written information technology risk assessment and IT governance strategy.
----------------------------------------------
The OCC on Dec. 18, 2019, also entered into a formal agreement with Texas Citizens Bank NA to address "unsafe or unsound" practices, including those relating to strategic planning, capital planning, credit risk management, allowance for loan and lease losses methodology and liquidity risk management.
Among the provisions in the agreement is that within specified time periods, Texas Citizens Bank must appoint a compliance committee of at least three members, submit a revised strategic plan covering at least a three-year period and develop an effective internal capital planning process. The Pasadena, Texas-based bank is also required to develop a program to ensure that risk associated with loans and other assets is properly reflected and accounted for on its books and records.
Termination of enforcement action
The OCC terminated the formal agreement that it entered into in January 2016 with Cuba, Mo.-based First Community National Bank.