Bank Fail Friday! First National Bank of Lindsay, Lindsay, Okla., was closed today by the Office of the Comptroller of the Currency (OCC), which then appointed the Federal Deposit Insurance Corporation (FDIC) as receiver.

The Office of the Comptroller of the Currency (OCC) closed The First National Bank of Lindsay today, appointing the Federal Deposit Insurance Corporation (FDIC) as receiver. To safeguard depositors, the FDIC has entered into an agreement with First Bank & Trust Co. of Duncan, Okla., to assume the insured deposits of the failed bank.

The OCC acted after identifying false and deceptive bank records and other information suggesting fraud that revealed depletion of the bank’s capital. The OCC also found that the bank was in an unsafe or unsound condition to transact business and that the bank’s assets were less than its obligations to its creditors and others.

The sole branch of The First National Bank of Lindsay will reopen as a First Bank & Trust Co. location on Monday, October 21, 2024, maintaining its regular business hours. Customers of the closed bank will automatically become First Bank & Trust Co. depositors, and their deposits will remain insured by the FDIC. Customers will not need to take any action to retain their insurance coverage.

During the transition, depositors will still have access to their insured funds, with ATM and debit card services, as well as check processing, continuing as normal throughout the weekend. Loan payments should also be made as usual.

For uninsured depositors, the FDIC will make 50% of uninsured funds available starting Monday, with potential increases as the FDIC sells the bank’s assets.

As of June 30, 2024, The First National Bank of Lindsay had reported total assets of $107.8 million and deposits of $97.5 million, of which approximately $7.1 million exceeded FDIC insurance limits. This figure may change as more information becomes available.

TLDRS:

• The First National Bank of Lindsay was closed by the OCC, and the FDIC was appointed as receiver, transferring insured deposits to First Bank & Trust Co. of Duncan, Okla.
• The bank will reopen as a First Bank & Trust Co. branch on October 21, 2024, with depositors automatically becoming customers of the new bank, retaining FDIC insurance.
• The OCC acted after identifying false and deceptive bank records and other information suggesting fraud that revealed depletion of the bank’s capital.
  • The OCC also found that the bank was in an unsafe or unsound condition to transact business and that the bank’s assets were less than its obligations to its creditors and others.
• Customers will continue to have access to their funds over the weekend via ATMs, debit cards, and check processing, with loan payments also proceeding as normal.
• The FDIC will provide 50% of uninsured deposits starting Monday, with potential increases as assets are sold.
• As of June 2024, the bank had $107.8 million in assets and $97.5 million in deposits, with approximately $7.1 million exceeding FDIC insurance limits.

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