Illinois regulator closes Pulaski Savings Bank
The FDIC announced on Friday that the Pulaski Savings Bank of Chicago, Illinois, was closed by the Illinois Department of Financial and Professional Regulation (IDFPR) due its unsafe and unsound condition and an impaired capital position. The IDFPR appointed the FDIC as receiver. To protect depositors, the FDIC entered into a purchase and assumption agreement with Millennium Bank of Des Plaines, Illinois, to assume all deposits of Pulaski Savings Bank.
The FDIC preliminarily estimates that the failure will cost its Deposit Insurance Fund (DIF) about $28.5 million. The estimate will change over time as assets are sold. Suspected fraud caused the higher estimated cost to the DIF.