First Security Group, holding company for Chattanooga-based FSGBank, announced Tuesday that it had appointed Larry Mauldin as director and chairman of the board.
Mauldin formerly served as chairman, president and CEO of SunTrust Bank of East Tennessee, retiring in 2007 after a 40-year banking career.
With his appointment, the $1.1 billion-asset bank has separated the roles of CEO and Chairman, which is more in line with industry best practices, said First Security CEO Michael Kramer.
"The addition of Larry supports a cornerstone belief of our new corporate culture," Kramer said. "Accountability."
Since the bank accepted federal loans through the Troubled Asset Relief Program (TARP) at the height of the recession, it has taken on an entirely new executive team and has significantly bolstered its board, officials said.
"Over the past year, steady but significant progress has been achieved in securing the right talent at all levels of the organization," said Carol Jackson, director of First Security.
As part of its agreement with the U.S. Treasury under TARP, the board took on two additional members appointed by the government, and brought in a group of former SunTrust executives to run its wealth management team.
Mauldin could be a key hire for the bank in his new role as chairman.
During his tenure at the healm of SunTrust's East Tennessee division, he increased the assets of the bank from $400 million to $2.4 billion, leading Knoxville in market share.
"I believe FSG represents the best of both worlds in banking, having the size and diversity to provide a wide range of products and services, while nimble enough to make decisions and changes in an effective and efficient manner," Mauldin said in a news release.