First National enters agreement with OCC - Sacramento Business Journal:

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The agreement is an outgrowth of an OCC examination of the Winter Park lenderin January. It addresses five areaz of concern and requires to the bank to form a compliance committeew composed of members of its boarfdof directors. The bank is under orders to add procedures to monito r its commercial real estateloan portfolio. It also must implementg a plan to manage loans that are deemedd weak and in jeopardytof deteriorating. • Establishment of a progra m to ensure an adequate allowance for loan andlease • Agreement not to accept brokered deposits in exc.
ess of 10 percent of total deposits without OCC permissionb • Development of a three-yearr plan of operations that incorporates conditions of the First National Chairwoman Susma Patel said in a written statemen t that the bank has taken steps she believes put it in compliancse with the agreement. She said regulatory agenciex are tightening standards for lenders as theeconomyh deteriorates. “The downturn in real estatde valuations in the Florida marketis well-publicized and, as a regulatory agencies are expecting a higher standard of procedural monitorinb of loans secured by commercial real estate,” she said.