- OCC Closes Omni National Bank
- April 21, 2009
- Law Firm: Alston & Bird LLP - Atlanta Office
Today, the OCC closed Omni National Bank, headquartered in Atlanta, Georgia and appointed the FDIC as receiver. The FDIC entered into an agreement with SunTrust Bank, also headquartered in Atlanta, Georgia, to act as paying agent for the failed bank’s insured deposits. SunTrust Bank will operate Omni National’s six former branches on behalf of the FDIC until April 27, 2009. Omni National Bank branches were located in Atlanta, Georgia; Dalton, Georgia; Tampa, Florida; Chicago, Illinois; Dallas, Texas; and Houston, Texas.
As of March 9, 2009, Omni National Bank had total assets of $956 million and total deposits of $796.8 million. SunTrust Bank will not act as paying agent for the $320.1 million in brokered deposits held by Omni National Bank. The FDIC will pay brokers directly for the amount of their insured funds. The FDIC will also retain all of the failed bank’s assets for later disposition, except for cash, correspondent accounts, and loans fully secured by deposits.
The FDIC estimates the cost to the Deposit Insurance Fund will be $290 million. Omni National Bank is the twenty-first bank to fail this year and the fourth in Georgia.