Federal Reserve Bars Former Wyoming Banker Kendall Hickman Over Embezzlement

The Federal Reserve has taken decisive action against Kendall Hickman, a former employee of Jonah Bank of Wyoming, barring her from the financial services industry due to embezzlement of over $33,000 from a nonprofit organization. This decision, announced on July 7, 2025, comes after an investigation revealed that Hickman misappropriated funds while serving as a part-time bookkeeper for the charity from March 2018 to June 2023.

Hickman, who worked at Jonah Bank from July 2021 until her termination in June 2023, committed violations of regulations that the Federal Reserve deemed involved "personal dishonesty". According to the consent order issued by the Fed, Hickman has repaid the embezzled amount in full. The specific nonprofit organization involved has not been disclosed in the order, but Hickman’s LinkedIn profile indicates that she was associated with the Two Fly Foundation, where she served as a part-time executive assistant for 11 years.

The Two Fly Foundation is known for organizing an annual fly fishing tournament aimed at raising funds for various charities in Wyoming. Since its inception in 2005, the organization has reportedly contributed over $3.2 million to 28 different charities across the state.

In a statement, the Federal Reserve emphasized that Hickman's actions warranted this enforcement action, which prohibits her from participating in any banking-related activities. The ban will remain in effect until further notice and requires the central bank's written approval for her to return to the banking sector.

Despite a lack of admission to wrongdoing on Hickman’s part, the consent order reflects a significant response to misconduct within the financial services industry, which has been under scrutiny for regulatory compliance and ethical standards. This incident not only raises questions about internal controls within financial institutions but also highlights the regulatory framework designed to protect public interests and maintain trust in financial systems.

Dr. Sarah Johnson, Professor of Economics at Harvard University, commented on the implications of such enforcement actions. "The Federal Reserve's decision underscores the importance of maintaining high ethical standards in the banking sector, which is vital for consumer confidence and the overall integrity of financial institutions," she stated.

Hickman's career trajectory prior to her termination included roles as a mortgage loan processor and a commercial banking assistant at Jonah Bank, which is a community bank with assets of approximately $531 million. The institution, based in Casper, Wyoming, focuses on supporting local businesses through commercial lending.

As the landscape of banking continues to evolve amid increasing regulatory scrutiny, cases like that of Kendall Hickman serve as critical reminders of the need for vigilant oversight and accountability. The Federal Reserve’s actions may reflect a broader trend towards strict enforcement of ethical conduct in the financial services industry, aiming to prevent future violations and protect the interests of stakeholders.

Looking ahead, the financial industry must grapple with the challenge of ensuring compliance and fostering a culture of integrity among its workforce. As financial institutions implement more rigorous internal controls and compliance measures, the focus will likely shift towards enhancing transparency and accountability across the sector, ensuring that such incidents do not recur in the future.