ST. LOUIS, March 24 (UPI) -- Federal regulators said officers of the Gateway Bank of St. Louis were foot-dragging rather than cooperating with requests for information.
In court papers filed this week, the Federal Deposit Insurance Corp., has requested the U.S. District Court of St. Louis assess fines for non-compliance with subpoenas to force Gateway board member Young Chul Rho and branch manager Lisa Gates-Norwood to hand in documents that were requested in August, the St. Louis Post-Dispatch reported Thursday.
Gateway, which opened in 1965 to serve minority customers in St. Louis, was seized by regulators in November 2009 with the FDIC citing "aggressive risk selection by management."
Regulators are also concerned with the transfer of bank assets to Harriet Gates, widow of bank co-founder Clifton Gates, who was Lisa Gates-Norwood's father.
Harriet Gates has also failed to produce documents requested from her, the FDIC said.
The FDIC is asking the court to fine the parties $1,000 for failure to turn in documents, the newspaper said.