Fed terminates enforcement order with IL bank holding company

An enforcement action entered into in September 2010 between the Federal Reserve Board and Homestar Financial Group, Inc. (Manteno, Ill.) was terminated Sept. 3, the Fed said Tuesday.

The 2010 agreement directed the board of Homestar, which owns and controls HomeStar Bank and Financial Services and other subsidiaries, to fully utilize the company’s financial and managerial resources to serve as a “source of strength” for the bank. That included ensuring that the bank complied with a consent order it entered into in May 2010 with the Federal Deposit Insurance Corp. (FDIC) and the Illinois Department of Financial and Professional Regulation Division of Banking.

Federal Reserve Board announces termination of enforcement action with Homestar Financial Group