Regulators have ordered Hanmi Bank in Los Angeles to strengthen its capital base, board oversight, and underwriting practices as it works through rising credit costs.

Hanmi, a unit of the $3.85 billion-asset Hanmi Financial Corp., said Tuesday that on Oct. 8 it signed a memorandum of understanding with the Federal Reserve Bank of San Francisco and the California Department of Financial Institutions. Among other things, the agreement requires it to beef up its senior management ranks, improve oversight of both its board and its lending and fund management policies, and maintain minimum ratios to be considered well capitalized.

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