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A failing bank in Iowa is taken over by the federal government


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    SAC CITY, Iowa (KCRG) - For the first time since 2011, the Federal Government took over a failing Iowa bank.

    The FDIC shut down Citizens Bank of Sac City on Friday, which is separate from Citizens bank in Anamosa and Tipton.

    Its two branches reopened Monday under Iowa Trust and Savings Bank, which took over Citizens’ assets.

    Examiners reported “significant losses” tied to out-of-state loans tied to a specific industry.

    It did not identify the industry, but a consent order from August noted the FDIC was focused on its commercial trucking loans.

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