ShoreBank Shuttered, to Open as Urban Partnership

ShoreBank Corp., the Chicago lender operating under a Federal Deposit Insurance Corp. cease-and-desist order for 13 months, was shut by regulators and most of its assets were sold to Urban Partnership Bank.

Urban Partnership, created to make the acquisition, will keep ShoreBank’s 15 branches, including those in Cleveland and Detroit, according to the FDIC. Its chief executive officer will be William Farrow, a former executive at the Chicago Board of Trade and Bank One Corp., said two people familiar with the matter, who declined to be identified because talks were private. The closure will cost the FDIC’s deposit-insurance fund $367.7 million.