Regulators tapped former Fifth Third CEO Greg Carmichael to take over the operations of Signature Bank, which closed by authorities on Sunday to protect depositors.

Signature Bank of New York was shuttered and all deposits and most assets were transferred to a regulator-created bank called Signature Bridge Bank, according to the Federal Deposit Insurance Corporation. The regulator, which oversees deposits, is soliciting bidders to acquire the failed institution.

A bridge bank is a chartered national bank that operates under a board appointed by the FDIC. It assumes the deposits and certain other liabilities and purchases certain assets of a failed bank. The bridge bank structure is designed to “bridge” the gap between the failure of a bank and the time when the FDIC can stabilize the institution and implement an orderly resolution.

Carmichael was Fifth Third's CEO from 2015 to 2022 before Tim Spence succeeded him last summer.

Signature Bank had 40 branches across the country in New York, California, Connecticut, North Carolina, and Nevada. Banking activities was slated to resume Monday. Depositors and borrowers automatically became customers of Signature Bridge Bank as regulators promised uninterrupted customer service and access to their funds by ATM, debit cards, and writing checks. in the same manner as before. Signature Bank’s official checks will continue to clear. Loan customers should continue making loan payments as usual.

Signature Bank had total assets of $110.4 billion and total deposits of $88.6 billion as of December 31, 2022.

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This article originally appeared on Cincinnati Enquirer: Regulators tap former Fifth Third CEO to run collapsed Signature Bank