Posted 10/9/2017 12:00 am
Updated 1 week ago
The Office of the Comptroller of the Currency in August tied up a loose end left dangling for years at Little Rock’s One Bank & Trust.
Daniels Bynum, president of mortgage banking at the lender, consented to not engage in unsafe or unsound practices in a cease-and-desist order from the OCC.
The most significant finding was linked with One Bank providing home loans for the son and daughter of the late Layton “Scooter” Stuart, former owner of the bank.
Those loans of $360,000 in 2009 and $212,000 in 2011 were supported by phantom jobs for Hunter and Kirby Stuart at One Bank.
The OCC said Bynum “failed to follow the bank’s ordinary loan origination process and independently verify income and employment information.”
Current One Bank management, in a statement issued after Bynum agreed to the order, said:
“There were no laws, regulations or policies broken by Bynum or his staff in the processing of these loans.”