Cecil Bank has agreed to pay a $21,945 civil penalty related to alleged violations of the Federal Reserve Board's regulations implementing the National Flood Insurance Act.
Under the content order announced Thursday, the Elkton bank does not admit to any allegations.
The Federal Reserve's regulations prohibit banks from making, increasing or renewing loans secured by real estate in a special flood hazard area unless the property securing the loan is covered by flood insurance.
Cecil Bank and its parent Cecil Bancorp Inc. reached an agreement with state and federal regulators late last month to take steps to ensure financial soundness.