OCC Announces Enforcement Actions for August 2024

The Office of the Comptroller of the Currency (OCC) has released its monthly report on enforcement actions taken against national banks, federal savings associations, and individuals affiliated with OCC-supervised institutions.

The OCC recently issued formal agreements to four banks for unsafe or unsound practices. These institutions include 1st National Bank in Lebanon, Ohio; Generations Bank in Seneca Falls, New York; Maple City Savings Bank, FSB in Hornell, New York; and Slovenian S&LA of Franklin-Conemaugh in Conemaugh, Pennsylvania. The agreements address issues ranging from strategic planning and board oversight to liquidity risk management and Bank Secrecy Act compliance.

The OCC also took action against several institution-affiliated parties (IAPs) for various misconduct. Notably, Roberto A. Garcia, a former personal banker at JPMorgan Chase Bank, N.A., faces charges for allegedly stealing over $12,000 and engaging in unauthorized account activities. James Gomes, previously with TD Bank, N.A., received a prohibition order for misappropriating over $200,000 from an elderly customer's accounts.

Other significant actions include prohibition orders against former bank employees for misappropriation of funds, ranging from approximately $10,200 to $42,500. The OCC also issued a notice of charges against Lexus Inez Lewis, formerly of Citibank, N.A., for alleged fraudulent activities totaling at least $389,000.

In positive developments, the OCC terminated formal agreements with two banks: Beauregard Federal Savings Bank in DeRidder, Louisiana, and West Valley National Bank in Goodyear, Arizona. These terminations reflect the banks' compliance with previous enforcement actions and improved practices.

These enforcement actions underscore the OCC's ongoing commitment to maintaining the integrity of the national banking system and protecting consumers from financial misconduct. The regulator continues to hold both institutions and individuals accountable for violations of banking laws and regulations.

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