WEST CHICAGO – West Chicago-based lender DuPage National Bank is the first U.S. bank insured by the Federal Deposit Insurance Corporation (FDIC) to fail in 2014, after it was closed by the Office of the Comptroller of the Currency on Jan. 17, according to an FDIC news release.
The last FDIC-insured institution in Illinois to close was Chicago's Covenant Bank on Feb. 15, 2013, the release said.
DuPage National operated three branches – two in West Chicago and a third in Hinsdale – and had about $61.7 million in assets and $59.6 million in deposits as of Sept. 30, according to the news release.
Republic Bank of Chicago, based in Oak Brook, has agreed to buy DuPage National's assets and pay regulators a premium of 1.2 percent to assume its deposits, the release said.
"For the past 50 years, we have proudly offered our growing communities dedicated services and exceptional products," said Republic Bank of Chicago Chairman Aristotle Halikias in a news release from the bank. "We are looking forward to providing the same level of support to our new communities of West Chicago and Hinsdale.”
The failure of DuPage National is expected to cost the FDIC $1.6 million, according to the FDIC release.