Introduction to Problem Banks eBook

Internal Use Only

The Pandemic Effect and Beyond

Liquidity

Internal Use Only

Pulaski Savings Bank fails, Millennium Bank assumes deposits The Office of the Comptroller of the Currency closed the First National Bank of Lindsay due to what the regulator said were false and deceptive bank records suggesting fraud, which depleted the bank's capital reserves. "The FDIC preliminarily estimates that the failure will cost its Deposit Insurance Fund (DIF) about $28.5 million," the FDIC said in a release. "The estimate will change over time as assets are sold. Suspected fraud caused the higher estimated cost to the DIF.“