Regulators are threatening to seize the critically undercapitalized Community National Bank of Sarasota County in Venice, Fla.

The $99 million-asset bank had until Friday to sign an agreement to sell itself or to submit a plan for achieving elevated capital levels, according to the Office of the Comptroller of the Currency.

The bank received the prompt corrective action directive June 3, but the OCC did not make it public until Friday.

Neither the bank nor the OCC has said whether a sale agreement or an acceptable capital plan had been submitted by the deadline.

The directive said the bank's plan would have to get its leverage ratio to 9% and its Tier 1 risk-weighted capital ratio to 12% by July 17.

In recent months the bank amended its first-quarter call report, lowering its leverage ratio to 1.91%, from a previously reported 5.29%. Its Tier 1 risk-weighted capital ratio dropped to 2.62%, from 8.19%.

Typically a bank must have a leverage ratio of 5% and a Tier 1 risk-based ratio of 6% to be considered well capitalized. But a formal agreement with the OCC in March of last year required Community National to maintain capital ratios above the typical minimums.

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