The Real Deal Miami

Feds clamp down on Ocean Bank

July 15, 2008 10:42AM

Federal bank regulators signed a May 7 cease and desist order against Miami-based Ocean Bank, and the move has stepped up the pace of foreclosures on major commercial and multifamily loans. The Federal Deposit Insurance Corporation and state financial regulators set a schedule and tough procedures for removing troubled loans from its books. Ocean Bank has since filed 11 foreclosure lawsuits against commercial and multifamily residential projects in South Florida that had been granted mortgages totaling $81.2 million. Between January 1st and May 1st, Ocean Bank filed just four foreclosures against such projects in South Florida. With $5.1 billion in assets and $3.6 million in loans as of March 31, Ocean Bank is the fifth-largest South Florida-chartered bank.