Embattled lender Evolve Bank & Trust has named Bob Hartheimer CEO, effective immediately, following former CEO Scott Stafford’s retirement earlier this year
Hartheimer joins Evolve from financial regulatory consulting firm Klaros Group. He previously co-founded and served as chief regulatory and compliance officer at Jasper, a credit card originator; and served as a bank and fintech regulatory consultant on his own and at Promontory Financial Group from 2002 until 2008.
Earlier in his career, he created and ran the Federal Deposit Insurance Corp.’s Division of Resolutions, where he led a small team overseeing the sale of more than 200 banks with approximately $50 billion in assets and 10 large failing banks with $39 billion in assets, according to his LinkedIn profile.
“Bob was selected for his unmatched corporate experience in strategically navigating challenges at financial institutions and enabling banks to move past their regulatory challenges,” Evolve board Chairman Steve Valentine said in a prepared statement.
“He has the full backing of the Board to take decisive action, restore thoughtful innovation, and lead Evolve into a future defined by transparency and sustainable growth. This is a structural change, demonstrating our continued commitment to doing the hard work to earn back the trust of our customers, employees, regulators, and investors,” Valentine said.
Evolve has had a rocky couple of years. After it gained prominence as a fintech-friendly bank, several fintechs it partnered with – most notably Yotta, but also Juno and Casper – became unable to connect users to funds deposited in Evolve and a small handful of other banks.
Synapse, the middleware firm sitting between Evolve and the fintechs, had filed for bankruptcy. Millions in user funds were unaccounted for. Many users remain unable to access their funds more than a year later. Last week, the Consumer Financial Protection Bureau said it was preparing to file an adversary proceeding complaint against Synapse, alleging unfair acts or practices and failure to maintain adequate records of consumer funds.
Hartheimer said in a prepared statement Wednesday that he “believes” in Evolve’s potential and aims to grow Evolve “into something stronger and more resilient.”
“I have done this work before — restoring trust, working closely with regulators, and guiding institutions through periods of uncertainty,” he said. “We will confront our challenges head-on, operate with transparency, and prioritize the stability and security of our customers, employees, and partners. This is our opportunity to reset — and to rise.”
President and Chief Financial Officer Mark Mosteller, President of Open Banking Division Hank Word and General Counsel and Corporate Secretary Joelle Weltzin will report to Hartheimer, according to a press release.
