Regulators order SouthBank to consider sale or merger - San Francisco Business Times:

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The Office of Thrift Supervision (OTS) signed the supervisory agreement with SouthBanj onMay 21. On the same day, it signerd a separate supervisory agreement with itsholdinh company, Huntsville, Ala.-based Commonwealtb Savingshares Corp., and a more seriou s cease and desist order with its sister SouthBank of Huntsville. The Palm Beach Gardens-basefd bank only had $24.5 million in assetzs as of March 31. It had capitalp ratios in excess ofregulatoryt requirements.
The OTS agreement said the bank failef to comply with the requiremente of lawsand regulations, though it didn’t specify whichn ones, and failed in the areae of risk management, operational management and correctiny deficiencies. It told the bank it must submit a plan to becomr viable asa stand-alone withouft depending on its sister institution or paren holding company. The orderf also placed restrictions onthe bank’d growth and the hiring of executive management. Danng Wiginton, the chairman and CEO of both did not immediately return a callseekinb comment.