An Illinois bank and its holding company have been served with an enforcement action by the Federal Reserve to address “deficiencies” uncovered during recent examinations.
The Fed, and the Federal Reserve Bank of St. Louis, said Perry County Bancorp Inc. and Du Quoin State Bank were served with the action. The agencies, in the written agreement made with the bank and holding company, offered few details as to why the enforcement action was required.
However, the regulators said the firm’s board is required to develop and submit to them a written plan designed to strengthen board oversight of the management and operations of the bank. Among other things, the plan is required to include:
- actions to improve the bank’s condition and maintain control and supervision over the bank’s major operations and activities, including capital, liquidity, interest rate risk management, and investment policy;
- measures to safeguard adequate resources to ensure for compliance with the agreement, including sufficient staffing levels based on present and future staffing needs and succession planning;
- steps to ensure that officers and staff have the requisite qualifications, skills, and training to competently perform present and anticipated duties;
- monitoring of management’s adherence to approved policies and procedures, and applicable laws and regulations, and monitoring of exceptions to approved policies and procedures;
- improvement in the quality, comprehensiveness, and granularity of information and reports provided to the bank’s board, including information on capital, liquidity, interest rate risk management, investment policy, and the status of measures taken to address supervisory findings;
- maintenance and retention of adequate and complete minutes of all board and committee meetings, and approval of such minutes.