SEC Closes Investigation of Suffolk in New York

The Securities and Exchange Commission has closed an investigation of Suffolk Bancorp (SUBK) in Riverhead, N.Y.

The $1.6 billion-asset company announced Tuesday that the SEC had completed the inquiry and would not take action against it. The SEC began the investigation after Suffolk restated its earnings for three quarters that spanned 2010 and 2011, Chief Executive Howard Bluver said.

"We're extremely pleased that the investigation has been closed," Bluver said in an interview. "It's another legacy issue that's now behind us."

Suffolk has been working to recover from the financial crisis. It took major hits on bad real estate loans in 2011. Bluver joined Suffolk in January 2012 and has focused on raising capital, hiring new executives and purging bad loans from its balance sheet.

In July Suffolk was freed from a 2010 written agreement with the Office of the Comptroller of the Currency, which required it to conduct a review of management and establish a three-year strategic plan and capital program.