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United Texas Bank’s headquarters at 13101 Preston Road in Dallas, Texas.<\/p>\n
Courtesy of United Texas Bank<\/p>\n
Dallas-based United Texas Bank received approval from federal regulators as it seeks to optimize for both traditional finance and the crypto era.\u00a0<\/p>\n
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Previously chartered in Texas, United Texas Bank announced it has received approval from the office of the Comptroller of the Currency, in a decision dated May 15, to convert to a nationally chartered bank. The bank, a subsidiary of United Texas Bank Financial Holding Co., is controlled by Dallas businessman Scott Beck, whose Beck Ventures is behind redevelopment plans at the old Valley View mall site<\/a>.<\/p>\n Article continues below this ad<\/p>\n The conversion changes United Texas Bank\u2019s primary regulator from the Texas Department of Banking to the federal OCC. The bank, which has about $1 billion in assets, is still under an enforcement order from the Texas Department of Banking and the Federal Reserve Board, which complicated the the conversion. Regulators issued a cease-and-desist order in 2024 for \u201csignificant deficiencies\u201d identified in United Texas Bank\u2019s corporate governance and oversight related to risk management and compliance with anti-money laundering regulations, including the Bank Secrecy Act. The order came with a compliance plan overhauling the bank\u2019s governance and compliance processes.<\/p>\n Converting a bank charter while under an enforcement action was made more difficult with\u00a02010’s Dodd-Frank Act, passed in response to the 2008 financial crisis to prevent a repeat of the situation and promote stability on Wall Street.<\/p>\n Michael\u00a0Barr, one of the seven-member Federal Reserve board of governors, was the lone objection to United Texas Bank\u2019s request to convert. Barr cited a passage in the Dodd-Frank Act that says the OCC, \u201cmay not approve the conversion of a State bank\u2026\u00a0to a national bank association\u2026 during any period in which [the bank] is subject to a cease and desist order\u2026 with respect to a significant supervisory matter.\u201d\u00a0The section is designed to limit so-called \u201ccharter shopping\u201d to avoid robust supervision, he said in a statement.<\/p>\n Make Dallas News a preferred source so your search results prioritize writing by actual people, not AI.<\/p>\n