Order No. 2007-012
In The Matter Of:
Pamela K. Blaylock
Before The Banking Commissioner of Texas
Austin, Travis County, Texas
Order Prohibiting Further Participation
On this day, the matter of PAMELA K. BLAYLOCK, of Louise, Texas (“Respondent”) was submitted to me, Randall S. James, Banking Commissioner of the State of Texas (“Commissioner”), for consideration and action.
Respondent worked as a bookkeeper at The First State Bank, Louise, Texas (“Bank”). The Texas Department of Banking (“Department”) is the appropriate state banking agency to bring this enforcement action pursuant to Texas Finance Code, § 35.003, and the Commissioner has jurisdiction over Respondent and the subject matter of this proceeding.
During the time period dating from September 10, 2001 to August 11, 2005, the Respondent was an employee of the Bank and acted with intent to injure and defraud the Bank by knowingly embezzling and willfully misapplying the moneys and funds and other things of value belonging to and otherwise entrusted to the care, custody, and control of the Bank in the amount of approximately $81,300.
On February 6, 2006, Respondent plead guilty to embezzlement and Respondent was sentenced to serve five (5) months in the custody of a federal Bureau of Prisons facility and five (5) months home confinement; followed by three (3) years Supervised Release. The Respondent was ordered to pay criminal monetary penalties in the amount of $80,790.94 for restitution.
The Federal Deposit Insurance Corporation (FDIC) adopted and approved a Stipulation and Consent to the Issuance of an Order of Prohibition from Further Participation entered into on May 22, 2006, by the Respondent.
On June 23, 2006, the FDIC issued an Order of Prohibition from Further Participation against Respondent.
Respondent intentionally conducted Bank business in an unsafe and unsound manner within the meaning of Texas Finance Code, § 35.002(a)(4) by acting with intent to injure and defraud the Bank and did knowingly embezzle and willfully misapply the moneys and funds and other things of value belonging to and otherwise entrusted to the care, custody, and control of the Bank in the amount of approximately $81,300.
Respondent's actions exposed the Bank to financial loss and reputational damage by prejudicing the interests of the Bank’s Demand Deposit Account (DDA Charge-off account) and the Bank’s Demand Deposit Account Non-Sufficient Fund (DDA NSF Fund) Charges account which resulted in financial gain to Respondent. The Respondent’s actions involved personal dishonesty and demonstrated a wilful disregard for the safety and soundness of the Bank.
Respondent's actions constitute sufficient grounds for the Commissioner to issue this Order, under the authority of Texas Finance Code, § 35.003, prohibiting Respondent from further participation in the affairs of a state bank, as defined by Texas Finance Code, § 31.002(50) (“state bank”).
Based on the foregoing Findings and Conclusions, it is hereby ORDERED, ADJUDGED and DECREED that, with respect to a state bank, trust company, or other entity chartered, registered or licensed by the Commissioner under the laws of this state, including an interstate branch, trust office, or representative office in this state of an out-of-state state bank, trust company, or foreign bank, and further including a perpetual care cemetery, prepaid funeral business, money services business, or private child support enforcement agency, PAMELA K. BLAYLOCK is prohibited from:
serving as a director, officer, or employee;
directly or indirectly participating in any manner in the conduct of its affairs;
soliciting, procuring, transferring, attempting to transfer, voting, or attempting to vote any proxy, consent, or authorization with respect to any voting rights; or
directly or indirectly voting for a director, or serving or acting as a state bank-affiliated party.
IV. Effective Date
Pursuant to Texas Finance Code, § 35.003(c), Respondent may appeal this Order by requesting a hearing before March 22, 2007. If the Respondent does not timely request a hearing, this Order is effective and becomes final and nonappealable on March 22, 2007 in accordance with Texas Finance Code, § 35.003(b)(3).
This Order Prohibiting Participation in the Affairs of a State Bank is served on PAMELA K. BLAYLOCK by mailing it certified mail, return receipt requested, and by first-class mail, to Rt. 1 Box 1, Louise, Texas 77455 on February 28, 2007.
Signed on this 28th day of February, 2007.
Questions regarding this Order should be directed to:
Assistant General Counsel
Texas Department of Banking
2601 North Lamar Boulevard, Suite 300
Austin, Texas 78705
Telephone: (512) 475-1305
Facsimile: (512) 475-1313