Western United National Bank was warned.
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Federal bank regulators ordered the West Los Angeles bank to stop doing business with a group of borrowers to whom it had loaned more than $1.7 million. Acting bank President Joe Rotheram would not identify the borrowers nor the purpose of the loans but said the bank expects to recover at least $1.2 million of the funds. The bank lost $1.4 million in this year’s first quarter because of bad loans and recently underwent a management change.
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