The Federal Reserve announced enforcement actions Tuesday against Commerce Bancshares Inc. of Catoosa, Okla., and Merchants Bancorp of Gresham, Ore.

Under a written agreement, Commerce cannot declare or pay any dividends without prior approval from the Fed.

The bank holding company also cannot directly or indirectly take dividends or any other form of payment representing a reduction in capital from its state-chartered Bank of Commerce.

Similarly, Merchants cannot declare or pay any dividends without prior approval from the Fed, according to its agreement. Merchants Bancorp is also restricted from directly or indirectly taking dividends or any other form of payment representing a reduction in capital from any of its subsidiaries.

Neither bank holding company can incur, increase or guarantee any debt without prior written approval from the Fed.

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