The Federal Reserve Board has issued a prohibition order against James Burns, the former chief lending officer at Heritage State Bank.
The enforcement action, announced Thursday, marks the latest regulatory move targeting individual accountability within the regional banking sector.
The order prohibits Burns from participating in the affairs of any insured depository institution without prior approval from the Federal Reserve.
Such actions are typically taken when regulators determine that an individual's conduct poses a risk to the safety and soundness of a financial institution or violates federal banking laws.
This development follows a series of recent enforcement actions by the Federal Reserve against regional banks and their executives.
The regulator has intensified its oversight of smaller institutions, focusing on lending standards, risk management, and compliance failures.