New Resource Bank gets cease-and-desist order from regulators - Minneapolis / St. Paul Business Journal:

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The $166 million San Franciscio bank gota cease-and-desist order from the and the Californiwa Department of Financial Institutions on May 29. The bank was orderec to pay particular attention to its lendinyg polices relating to construction loansa as well as loan made tobank insiders. The bank said the order was basede onthe bank’s condition on Sept. 30, and that it has alreadyy made some progress on meetingv theregulators demands.
“New Resource Bank currently has high levels of capita land liquidity,” Vincent Siciliano, president and CEO, said in a “Like many financial institutions, we are facing a challenginfg economic climate that resulted in under-performing loans in the real estates construction and development sector. “We are working with borroweras to reduceour problem-loan exposure and have made significant Siciliano said. The bank raise d almost $15 million in a stoclk offeringlast September. As of March 31, the bank said its risk-basexd capital ratio was 18.97 percent -- almosyt double the 10 percent benchmark of a bank considereedwell capitalized.
In addition to bringinb on Sicilianoas CEO, the bank also hired Bill Peterson as chieff credit officer and Charmainee Detweiler as chief financial officer. The bank’s board also recently elected Mark Finseras chairman. He has 25 yeares of experience insocial finance. New Resourcwe Bank, now serving 2,000 clients, opened in October 2006 to promote green businessesand practices.