First Repay TARP Money

4 smaller regional banks, on Tuesday became the first financial institution to return the federal money received under the government’s bank bailout, leaving a program that placed restrictions on executive compensation and other expenses. Banks - Signature Bank of New York, Old National Bancorp of Evansville, Ind.; Iberiabank of Lafayette, La, and Bank of Marin Bancorp of Novato, Calif. - Said they had bought back a total of 338 million dollars in their preferred shares, which were sold to the government in the fall as U.S. dollars 700 billion Troubled Asset Relief Program, tarp, or in exchange of capital. A number of banks have been chafing under restrictions imposed by Tarp. Northern Trust of Chicago said in February that it would pay more than 1.5 billion U.S. dollars, as soon as prudently possible “after a hail of criticism from Capitol Hill from his lavish entertainment spending in a golf tournament in suburban Los Angeles. Goldman Sachs, Wells Fargo, JPMorgan Chase and Bank of America are among the largest banks that have said they are aiming to return to the government bailout money. (more…)