WASHINGTON - Monument National Bank of Ridgecrest, Calif., was closed by the Office of the Comptroller of the Currency last week after examiners determined it was critically undercapitalized.
Monument, a $10 million-asset bank with two offices, "never fully recovered from the poor credit administration practices and high volume of classified assets [it] experienced in 1998," the OCC said in a press release. The Federal Deposit Insurance Corp. was appointed receiver of the failed institution.
The announcement of the bank's closure was made at the same time that the FDIC reported an agreement with Israel Discount Bank of New York to assume all of Monument's deposits and to buy $3.7 million worth of its assets. Israel Discount Bank paid a premium of $400,000 for these assets. The FDIC retained the remainder for disposition.