St. Elmo bank closed, assets purchased

In announcing late last week that it had closed a long-time St. Elmo bank, a state agency also reported that the assets of that bank had been purchased.
The Illinois Department of Financial and Professional Regulation announced on Friday that it, in cooperation with the Federal Deposit Insurance Corp., “took possession and control” of Fayette County Bank, which had been in operation since 1915.
However, the agency said, United Fidelity Bank of Evansville, Ind., “had agreed to purchase the bank, ensuring an immediate and uninterrupted transition in service for customers.”
Kerri A. Doll, IDFPR director of banking, said, “Fayette County Bank was closed today (Friday) due to operations of an unsafe and unsound nature that resulted in inadequate capital to protect its depositors.”
“We want to stress that not one depositor will lose a penny as a result of this action,” she said.
“At the time of the closure, the bank had approximately $34 million in assets,” Doll said.
Upon its purchase, United Fidelity Bank immediately operated its Fayette County office as a branch of its own.
All in-transit checks were to be honored, with no interruption of ATM services, Doll said.

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