The Federal Reserve issued an enforcement action against a Montana bank holding company and lifted one from the parent of a recovering Texas bank. Both moves mirror actions by the Office of the Comptroller of the Currency toward the companies' banking units.
The Federal Reserve Bank of Minneapolis entered into a written agreement with Countricorp of White Sulphur Springs, Mo., parent of the $125 million Bank of the Rockies. The agreement, dated Jan. 29, prevents the company from paying dividends, taking on debt or repurchasing shares without the regulator's consent, and requires it to make periodic reports to the Fed.
The agreement also requires Countricorp to ensure that the Bank of the Rockies complies with a consent order with the OCC dated August 2012, which requires the lender to hold minimum Tier 1 capital of 9% and risk-based capital of 12%. The bank had Tier 1 capital of 9.08% and risk-based capital of 15.50% as of the end of 2012, according to data from the Federal Deposit Insurance Corp., but it is dealing with high levels of problem loans.
On Feb. 1, The Federal Reserve Bank of Dallas terminated its written agreement with JLL Associates and its subsidiaries, including F C Holdings, which owns the $604 million-asset First Community Bank of Sugar Land, Texas. The OCC terminated its enforcement action with the bank in December. The bank is well-capitalized, with a Tier 1 capital ratio of 10.79% and total risk-based capital of 15.60%.
The Treasury said this week that it is auctioning its stake in F C Holdings. The company received $21 million through the Troubled Asset Relief Program in June 2009.