UPDATED: MID-WISCONSIN BANK MAKES DUBIOUS LIST
Friday, December 31st, 2010 -- 9:50 AM
An area bank is among five Wisconsin institutions that have been told to make improvements to their loan portfolios and take other steps to strengthen their financial condition.Medford-based Mid-Wisconsin Bank, with a location here in Neillsville, received a consent order from the Federal Deposit Insurance Corp. (FDIC). The FDIC alleges Mid-Wisconsin engaged in unsafe or unsound banking practices and violated the Federal Deposit Insurance Act.
The Consent Order will prohibit Mid-Wisconsin Bank from extending additional ?credit to, or for the benefit of,? borrowers who are already behind in their payments. The bank is also to reduce its ?risk position? in assets in excess of $500,000, which are more than 90 days delinquent and: ?collect, charge off, sell or improve the quality of such assets.?
Mid-Wisconsin, whose parent company accepted a $10 million Troubled Asset Relief Program, or TARP, investment by the U.S. Treasury in February of 2009, earned $941,000 through the first nine months of this year. In 2009, it lost $2 million.
Joining Mid-Wisconsin on the list were Integrity First Bank and Bank of Wausau, both of Wausau; and Fox River State Bank, of Burlington.
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