Waccamaw Bank subject to Fed action

Long-struggling Whiteville-based Waccamaw Bank has been declared "critically undercapitalized" and must now either increase its equity through new shares or find a buyer, according to a Federal Reserve enforcement action made public Tuesday.

The bank has until Jan. 6 to become adequately capitalized, the action states. It's subject to a host of regulatory restrictions until then.

The bank also received a Fed enforcment action in June 2010, the StarNews in Wilmington reports, which directed the bank to strengthen mangagement and operations. Since then, the bank has sold branches to raise money.

The bank was recently delisted from Nasdaq after failing to file timely financial reports.

The bank does not have a presence in the Charlotte area, but has several locations in Southeastern North Carolina and in South Carolina.