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7/25/24, 10:21 AM FRB: Press Release -- Settlement of enforcement proceeding against Incus Co. and Carlos Hank Rhon -- May 31, 2001 Release Date: May 31, 2001 (Note - Attachment was updated August 7, 2001) For immediate release The Federal Reserve Board today announced the settlement of its administrative enforcement proceeding against Incus Co., Ltd. and Carlos Hank Rhon of Mexico City, Mexico, Incus's registered owner. Incus, a bank holding company chartered in the British Virgin Islands, owns a majority of Laredo National Bancshares, the parent of Laredo National Bank and South Texas National Bank, all of which are in Laredo, Texas. Incus and Hank Rhon have agreed that: 1. they will pay to the U.S. Treasury $10.75 million now and an additional $29.25 million within the next seven years; 2. Incus's shares of Laredo National Bancshares will be placed into a voting trust. Independent trustees, proposed by Incus and Hank Rhon and approved by the Board, will vote the shares; 3. Hank Rhon will resign as chairman of the board and a director of Laredo National Bancshares and will not be otherwise involved in its management or operation. He also has agreed not to serve in those capacities or as a controlling shareholder with other banking organizations in the United States, without the Board's prior approval. The settlement is enforceable under the Board's cease-and-desist and civil money penalty authority. The Board's Notice of Charges, issued in December 1998, alleged that Incus and Hank Rhon had committed various violations of the Bank Holding Company Act, the Change in Bank Control Act, and other laws involving the ownership of Incus and Laredo National Bancshares, and involving lending transactions at Laredo National Bank. Incus and Hank Rhon have denied that they committed the violations alleged in the Notice of Charges. The settlement does not relate in any manner to the condition of Laredo National Bank or South Texas National Bank. A copy of the settlement is attached. Attachment (1,105 KB PDF) 2001 Enforcement actions Home | News and events Accessibility Last update: August 7, 2001 https://www.federalreserve.gov/boarddocs/press/enforcement/2001/20010531/default.htm 1/1