Feds Seize Florida Bank in $4.9B Bust

But it won't name names yet

(NEWSER) - The FDIC has launched criminal investigations targeting around 50 executives, directors, and employees from banks that failed during the financial crisis. Regulators won’t say which banks or executives are under investigation yet, but did tell the Wall Street Journal that banks of all sizes from across the country are involved, suspected of recklessness, fraud, and other criminal behavior. More»

Tally hits 26 this year; pace of closures expected to increase in coming months

(AP) - Regulators yesterday shuttered banks in Florida, Illinois, Maryland, and Utah, boosting to 26 the number of US bank failures so far this year following the 140 brought down in 2009 by mounting loan defaults. The pace of bank seizures this year is likely to accelerate , FDIC officials have said, as the number of banks on its confidential "problem" list jumped from 552 to 702 in the fourth quarter. More»

Regulator wants cash upfront through 2013 to avoid emergency credit line

(NEWSER) - The FDIC is set to ask banks to prepay three years of fees to replenish its coffers after a wave of bank failures, estimated to cost as much as $100 billion. Banks would be asked to prepay $45 billion of their quarterly assessments, but they wouldn't have to report the hit to their bottom line until the fees would normally be paid. The FDIC projects that its cash needs will outstrip liquid assets early next year. More»

(NEWSER) - Alabama's Colonial Bank has collapsed in the sixth-biggest bank failure in American history, the Wall Street Journal reports. The lender, which had assets of $25 billion and 346 branches in five southern states, was an aggressive mortgage lender in overheated markets like Florida, and its failure will cost the FDIC $2.2 billion. Colonial's branches, deposits and remaining assets have been sold to Rival BB&T, and customers have been told to expect business as usual. More»

Soros, Dell among the players in FDIC's damaged-goods sale

(NEWSER) - A team of high-profile investors has bought the remains of failed bank IndyMac from the FDIC for $13.9 billion, the Wall Street Journal reports. The investors, including George Soros and computer tycoon Michael Dell, have agreed to share the losses from IndyMac's portfolio of troubled mortgages in a deal expected to cost the FDIC around $9 billion. More»