Regulators seize Illinois bank

Regulators took over the Bank of Lincolnwood in Illinois, selling its deposits and most of its assets to Republic Bank.

The Illinois Department of Financial and Professional Regulation shut down the bank on Friday and appointed the Federal Deposit Insurance Corp. as receiver. The FDIC arranged for Republic to assume the failed bank's $202 million in deposits.

Republic, based in Oak Brook, Ill., agreed to buy $162 million of Bank of Lincolnwood's $214 million in assets. 

The FDIC said in its announcement on the closing that it would hold the remaining assets for later sale or disposition.

Bank of Lincolnwood was the 37^th bank to fail this year. Six of those were in Illinois. The FDIC estimated that the bank's collapse would cost its insurance fund around $83 million.

Republic Bank also took over the deposits of the failed National Bank of Commerce in Berkeley, Ill. It was seized by regulators in January.