Fed lifts its order on United Texas Bank, but a new regulator's order remains
Sept. 4, 2026 — The Federal Reserve has ended its 2024 cease-and-desist order against United Texas Bank of Dallas, but the bank remains under an order from its new regulator. The Fed's order followed findings of significant deficiencies tied to foreign correspondent banking and virtual currency customers.
In May, the Comptroller of the Currency approved the bank's switch to a national charter on condition that it accept an order substantively similar to the Fed's. That order, issued June 16, requires quarterly progress reports and a rebuilt anti-money-laundering program. The Fed did not object to the switch.
Sen. Elizabeth Warren, D-Mass., said the approval undercut a Dodd-Frank provision that generally bars banks from changing federal regulators while under a formal enforcement order, warned of banks moving to the most lenient regulator, and asked the OCC to revoke the charter. The Fed also ended a 2023 agreement with Quontic Bank's parent companies.
The wall: No response from the OCC or the Fed to Sen. Warren's questions, due Aug. 20, was found; the bank has not commented; the OCC order's terms are from a law-firm summary.
Tier: Confirmed (OCC order terms via law firm)
Sources
- Federal Reserve release, Sept. 4, 2026
- OCC consent order AA-ENF-2026-29
- Orrick summary of the OCC order
- Sen. Warren letter release, Aug. 7, 2026
- American Banker
- Banking Dive
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