Stamford, Connecticut-based Patriot National Bank has agreed to take remedial steps after the Office of the Comptroller of the Currency found the bank in “troubled condition” and not an “eligible bank” for certain regulatory purposes, according to a Securities and Exchange Commission filing Tuesday.
The OCC has found “unsafe or unsound practices” and violations of regulations related to strategic and capital planning, Bank Secrecy Act/anti-money laundering risk management, payment activities oversight, credit administration and concentrations risk management, the agreement noted.
The OCC wants the bank to achieve and maintain a common equity tier 1 capital ratio of at least 10% by Feb. 25, according to the agreement.
Patriot also must submit a written strategic plan outlining the objectives of the bank’s overall risk profile, earnings performance, growth, and operational aspects that the bank wants to develop.
Earlier this month, Patriot appointed Steven Sugarman as president to help raise capital and lead the company’s restructuring process.
Patriot National reported a loss of nearly $27 million for the quarter ending Sept. 30. The company’s total assets declined to $974.1 million, from $1.09 billion, at the end of 2023.
https://www.bankingdive.com/news/patriot-bank-occ-ink-deal-over-troubled-unsafe-conditions/738019/
