by Calculated Risk on 4/02/2011 08:17:00 AM
Saturday, April 02, 2011
Note: this is an unofficial list of Problem Banks compiled only from public sources.
Here is the unofficial problem bank list for Apr 1, 2011.
Changes and comments from surferdude808:
All enforcement actions against the banks on the Unofficial Problem Bank List were terminated this week leaving us nothing to publish. April Fools! In reality, however, it was a fairly safe & sound week as no new banks were added to the list nor were there any failures. The only change was the OTS issuing a Cease & Desist Order against Brooklyn Federal Savings Bank, Brooklyn, NY ($489 million Ticker: BFSB), which was already operating under a Supervisory Agreement.
The only thing left to do this week is to issue an apology to Capitol Bancorp for an inaccurate comment last week stating they had a failed subsidiary. The confusion come from the similar name of the Capitol Bancorp subsidiary High Desert Bank and the failed High Desert State Bank coupled with the FDIC issuing cross-guarantee waivers to former or current subsidiaries of Capitol Bancorp. A closer inspection of their complex structure history finds they have reduced their subsidiary count from 64 in 2008 to 24 currently. The reduction in 40 charters results from 13 sales and 27 affiliate mergers. As can be determined, the FDIC has issued cross-guaranty waivers to at least 11 former or current subsidiaries of Capitol Bancorp, which is unusual given that there has not been a loss to the insurance fund yet.
Posted by Calculated Risk on 4/02/2011 08:17:00 AM