FDIC issues consent orders against WEX Bank, Luana Savings Bank

The Federal Deposit Insurance Corp. on June 24 released a list of orders of administrative enforcement actions taken against banks and individuals in May. No administrative hearings are scheduled for July.

The following list excludes actions that do not meet criteria for S&P Global Market Intelligence's news coverage.

Consent orders

The FDIC on May 6 issued a consent order against Sandy, Utah-based WEX Bank, a subsidiary of WEX Inc.

The bank consented to the issuance of the order without admitting or denying any charges of unsafe or unsound banking practices relating to the Bank Secrecy Act.

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On May 26, the FDIC and the Iowa Superintendent of Banking issued a consent order against Luana, Iowa-based Luana Savings Bank, a unit of Luana Bancorp.

The bank consented to the issuance of the order without admitting or denying any charges of unsafe or unsound banking practices or violations of law or regulations.

Termination of prompt corrective action directive

The FDIC on May 4 issued an order terminating the amended supervisory prompt corrective action directive issued to LaGrange, Ga.-based Community Bank & Trust - West Georgia, a subsidiary of Community Bankshares Inc.

The amended directive was issued Nov. 4, 2021,, and took effect Oct. 20, 2021.

Termination of insurance

On May 27, the FDIC issued an order of termination of insurance to Jasper, Ala.-based Security Federal Savings Bank as the regulator found the bank is not engaged in the business of receiving deposits other than trust funds.

Under the order, Security Federal Savings Bank's status as an insured federal savings bank will be terminated at the expiration of Sept. 30. The bank was also ordered to notify any depositors of the termination of its insured status no later than Aug. 31.

Alabama CU completed its acquisition of Security Federal Savings Bank on March 1, according to S&P Global Market Intelligence data.