By the end of December 2007, nearly one of every four loans had been issued to an officer or director.
Though not illegal, experts say, loans to insiders can raise questions about conflicts of interest.
Companies controlled by builder Robert D. Thompson received at least four loans totaling $3.5 million. A company belonging to Randy L. Sheive received $2.3 million, while Dale Parsons, another director, received at least four loans for $1.7 million.
Thompson and Sheive have satisfied or are still paying on their loans. But court records show that Parsons defaulted on $1.5 million. None of the three directors returned calls seeking comment.
In September 2006, examiners found that the bank broke the law when it made two loans to directors without documenting the collateral or stating when the loans were due to be repaid.
Insider deals were not the only issue flagged by regulators, who said AmericanFirst sometimes failed to oversee mortgages by not getting proper appraisals and conducted sloppy borrower background checks.
In one case, a building company received a $1 million loan to build a "spec" home - a house that goes up before a buyer has been lined up.
Regulatory reports show the bank failed to get an updated appraisal, telling regulators that if it had, it would have shown that the value of the collateral did not support a loan of that size.
The builder later defaulted.