Colonial Bank Raid by Federal Agents
Colonial Bank in Orlando, Florida was raid by Federal agents last Monday. Federal agents working with US Treasury’s (TARP) Troubled Asset Relief Program executed search warrants.
TARP or Troubled Asset Relief Program is a program that buys assets and equity from financial institutions or or insures troubled assets from financial institutions. TARP cannot provide further information while the investigation is going on.
Colonial Bank was issued a cease and desist order by the Board of Governors of the Federal Reserve System and the Alabama State Banking Department last month. According to reports Colonial Bank also loss $606 million last second quarter.
