Safety and Soundness: Reviews of Failed National Banks Owned by First Bank of Oak Park Corporation.

摘要

The four FBOP banks that were the subject of our material loss reviews failed primarily due to significant losses associated with their concentrations in (1) investment securities, including government sponsored enterprise (GSE) securities and corporate bonds, and (2) high-risk commercial real estate (CRE) loans. In addition, the FBOP banks did not maintain adequate capital levels to mitigate their increasing levels of risk, and were unsuccessful in efforts to obtain funds from either Treasury’s Troubled Asset Relief Program (TARP) or private sources to make up for the losses sustained by the banks.