The Federal Reserve Board on Sept. 4 announced it has terminated enforcement actions against United Texas Bank of Dallas and the two holding companies of Quontic Bank.
The Board said the actions ended Sept. 2. No new penalties were announced.
United Texas Bank had been operating under a cease-and-desist order dated Aug. 29, 2024, issued with the Federal Reserve Bank of Dallas and the Texas Department of Banking. That order followed a May 2023 examination and required stronger board oversight, corporate governance and Bank Secrecy Act and anti-money laundering controls, including programs covering customer due diligence, suspicious activity monitoring and OFAC compliance. The 2024 order imposed no fine.
Quontic Bank Acquisition Corp. and Quontic Bank Holdings Corp., both of Astoria, New York, had been under a written agreement dated July 5, 2023, with the Federal Reserve Bank of Philadelphia. That agreement required the companies to serve as a source of strength to Quontic Bank and restricted dividends, share repurchases, capital distributions and new debt without prior Federal Reserve approval. It also required capital planning and quarterly progress reports. Quontic Bank itself had been under a separate October 2022 consent order with the Office of the Comptroller of the Currency.
The Federal Reserve’s Friday notice listed the two terminations without further comment on current conditions at either institution. Additional enforcement records remain searchable on the Board’s website.