Feds Level Sanctions On One Bank, Ozark Bank Of Mountain View

The October filings of the Office of Comptroller of the Currency (OCC) revealed actions taken against bankers at two Arkansas financial institutions.

The OCC leveled its third directive at One Bank & Trust of Little Rock effective Sept. 28, 2012. The OCC document said it is reclassifying the bank’s bank’s capital category from “adequately capitalized” to “undercapitalized.” It also called for a forensic auditor to review bank documents, books and records dating back to January 1, 2009.

In a rare and strong move, the OCC said the bank’s board “shall immediately dismiss” CEO and President Layton Stuart from his roles within the bank and ensure that he relinquishes all bank-owned or bank-issued property in his possession.

Items to be handed over include vehicles and keys; keys to all bank premises; credit cards; computers and disc drives; printers; fax machines; photocopiers; cell phones; audio-visual equipment; other electronic devices; supplies; and documents that are originals and/or copies of the bank’s books and records.

The OCC is requiring One Bank to appoint a new CEO/President by January 23, 2013.

OZARK NATIONAL BANK OF MOUNTAIN VIEW
The OCC also issued a cease and desist order and civil money penalty against Marvin Sutterfield for his role as President of Ozark National Bank of Mountain View. The order was completed in mid-August.

Sutterfield was sanctioned for his role in extending bank credit to himself, members of his family, and entities owned by members of his family, “through which he received a tangible economic benefit in excess of the $100,000 lending threshold for executive officers,” the OCC said.

He was also docked for improper documentation on some of the affairs and was reprimanded for making two “impermissible golden parachute” payments to former bank employees. Sutterfield agreed to a $20,000 civil penalty and must disclose the OCC order to future employers at financial institutions.