The Federal Reserve prohibited a former Missouri bank chairman from involvement in any bank management after he admitted to using federal bailout money to buy a luxury condominium.
Darryl Layne Woods, former president and chairman of Calvert Financial Corp. of Ashland, Mo., consented to the sanctions “based on his participation in unsafe and unsound practices, breaches of fiduciary duty and violations of law and regulation” in his use of funds under the Troubled Asset Relief Program, the Fed said Thursday.
Woods pleaded guilty in August to misleading federal investigators after using TARP money to buy a condominium in Fort Myers, Florida.
While serving as chairman of Mainstreet Bank and its holding company, Calvert Financial Corp., Woods arranged for Calvert to obtain $1 million in TARP money, more than $381,000 of which he used for the condo in 2009, according to a plea agreement filed in August.
Woods failed to disclose that expenditure in response to a use-of-funds inquiry from the relief program’s inspector general, according to the plea agreement.
Woods was sentenced to a prison term on March 27.