The Federal Reserve Board said Thursday that it had banned two former Orion Bank executives from returning to the banking industry.
The former executives pled guilty to conspiracy charges earlier this year. Orion, which was based on Naples, Fla., failed in November 2009.
Angel Guerzon, a former senior vice president, and Thomas Hebble, a former executive vice president, were banned due to their participation in "unsafe and unsound practices, breaches of fiduciary duty, and violations of law and regulation," the Fed said in a press release.
The Fed said that the executives made it appear as though bad loans had been reduced and that the bank had raised $15 million in new capital. Those actions influenced the "integrity of the bank's financial statements, regulatory reports, and books and records," the release said.
The Federal Reserve said that Guerzon and Hebble consented to the prohibition orders, which were signed Monday. Hebble and Guerzon each pled guilty to criminal conspiracy charges in connection with the fraudulent loans and were sentenced to prison terms last month.