American Premier Bank to Bolster Management, Raise Capital

Regulators have ordered American Premier Bank of Arcadia to strengthen its management and board of directors, raise additional capital and increase its reserves for loan losses, the Federal Deposit Insurance Corp. said.

In a case disclosed this week, the FDIC said American Premier had agreed to a cease-and-desist order without admitting or denying the allegations of unsafe banking practices. The accusations included “operating with management whose policies and practices are detrimental to the bank and jeopardize the safety of its deposits.”

Among other things, the order requires American Premier to raise its so-called Tier 1, or core, capital to $10.3 million by early July, up from the $6.9 million it reported as of Dec. 31.

The bank, which operates from an office on East Huntington Drive, was established two years ago to cater to Chinese Americans. It had $40.8 million in deposits and $47.8 million in assets as of Dec. 31.

Company President Andrew Tjia didn’t return a call for comment.