Nano Banc in Calif. adds new CEO, chairman

Nano Banc in Irvine, Calif., made changes to several high-profile posts. 

The $1.1 billion-asset business bank said in a press release that it had named R. Scott Racusin as its CEO and Mary Lynn Lenz as its chairman. Steven Buster was named vice chairman.

Racusin previously served as president and CEO of Merchants Bank of California. He was also set to become president and CEO of Robinhood Bank when the startup was looking to obtain a charter.

Lenz was CEO of Foothills Bank, which was sold to Glacier Bancorp in Kalispell, Mont. Buster is a former president and CEO of Pacific Mercantile Bank. 

“I believe in Nano Banc’s potential to deliver a premier community banking experience for customers and shareholders alike,” Racusin said in the release. “The past is behind us, and the future looks bright as the new board and I aggressively focus on forging a new future.”

Nano Banc has been looking to bounce back from several regulatory orders. 

The Federal Reserve hit Nano with a cease-and-desist order in January tied to the bank’s inability to comply with previous enforcement actions. The Fed ordered the bank to change its compliance policies and procedures with a focus on oversight of loans to bank executives and gaps in its leadership team.

The California Department of Financial Protection issued the bank a order in early 2021 instructing it to bolster capital and reduce its concentration of commercial real estate loans. 

Nano ran afoul of the state’s order late last year, when it replaced several directors and appointed new leadership without notifying the state. That led to a C&D order on Dec. 15.