Regulators slam officials of failed South Texas bank
Bank regulators recently slammed former officials of First National Bank of Edinburg over “unsafe and unsound practices” that contributed to its closure in 2013.
The Office of the Comptroller of the Currency last month imposed $250,000 in civil penalties against both Saul Ortega, FNB’s former chairman, CEO, president and CFO, and David Rogers Jr., who preceded Ortega as chairman.
The OCC also took the extraordinary step of barring Ortega and Rogers from any involvement with banks and credit unions. That’s noteworthy because Ortega is chairman and CEO of both Mercedes-based Texas National Bank and its holding company. He also owned 30.6 percent of the holding company’s stock at the end of 2015, the latest annual report filed with the Federal Reserve Bank of Dallas shows.
Ortega and Rogers had 20 days to essentially appeal the OCC’s action, but it couldn’t immediately be determined if they asked for a hearing before an administrative law judge. Ortega didn’t respond to a request for comment and Rogers declined to comment when reached by phone Monday. OCC spokesman William Grassano said a freedom of information request would have to be filed with the agency.
Read more: http://www.mysanantonio.com/business/local/article/Regulators-slam-officials-of-failed-South-Texas-12300345.php
