The Federal Reserve Board this week announced enforcement actions against three banks.
On Thursday, the Fed said it had entered into a written agreement with Leaders Group Inc. in Oak Brook, Ill. The company agreed to serve as a source of strength to its $630 million-asset Leaders Bank, which has been operating under a consent order with the Federal Deposit Insurance Corp. and its state banking regulator since November. The company is barred from paying dividends or incurring debt without regulatory approval. The company also has 60 days to provide the Fed with a plan to "maintain sufficient capital."
On Tuesday, the Fed announced written agreements with Community Bankers Trust Corp. in Glen Allen, Va., and First Southern Bancorp in Statesboro, Ga. Community Bankers agreed to provide a plan to improve management at its $1.11 billion-asset Essex Bank. First Southern agreed to serve as a source of strength for the $173.6 million-asset First Southern National Bank, which has been operating under a consent order from the Office of the Comptroller of the Currency since November.
