Associated Press, Published July 18 2009
Regulators shut down S.D. bank; N.D. bank assumes depositsWASHINGTON -- Regulators have shut down small banks in Georgia and South Dakota, boosting to 55 the number of federally insured banks to fail this year.
The Federal Deposit Insurance Corp. was appointed receiver of the two banks: First Piedmont Bank, based in Winder, Ga., which had about $115 million in assets and $109 million in deposits as of July 6; and BankFirst, based in Sioux Falls, S.D., with around $275 million in assets and $254 million in deposits as of April 30.
The FDIC says all of First Piedmont's deposits will be assumed by First American Bank and Trust Co. of Athens, Ga., which also agreed to buy about $111 million of its assets. Alerus Financial, based in Grand Forks, N.D., agreed to assume all of the deposits of BankFirst as well as $72 million in assets.