Evolve Board Terminates CEO After Inappropriate Content Charge

Evolve Bank & Trust CEO Bob Hartheimer was arrested Thursday in Memphis on felony charges tied to the sexual exploitation of a minor, according to several local reports and court records.

The development lands as Evolve continues to face industry scrutiny over its sponsor‑bank role in the Synapse bankruptcy and a 2024 Federal Reserve cease‑and‑desist order. However, local authorities and the bank say the criminal matter is personal and not connected to Evolve’s banking operations.

WREG reported that Hartheimer, 68, was taken into custody by U.S. marshals and charged with sexual exploitation of minor‑material‑photograph and obscene material‑distribution, both felonies. The arrest occurred as federal agents executed a search warrant at Evolve’s headquarters on Poplar Avenue in East Memphis, the FBI said.

Evolve’s board terminated Hartheimer “effective immediately” and said it is cooperating with authorities.

The bank added the case “does not relate to the Bank or its operations,” and said President and CFO Mark Mosteller and EVP and General Counsel Joelle Weltzin will oversee operations and strategy “as they did prior to August,” when Hartheimer became CEO. WREG also noted Evolve has been under federal oversight for more than a year due to weaknesses regulators identified in some programs, including its relationship with Synapse.

PYMNTS has covered the prolonged Synapse unwind and Evolve’s responses. After a proposed asset sale collapsed in May 2024, bankruptcy trustee Jelena McWilliams later sought conversion to Chapter 7 or dismissal amid unresolved ledger discrepancies that froze end‑user funds.

Evolve said the “vast majority” of Synapse‑related end‑user funds were held at other banks, and subsequently detailed steps to return funds attributable to balances at Evolve.

In June 2024 PYMNTS analyzed the Federal Reserve’s cease‑and‑desist order against Evolve and its potential chilling effect on bank‑FinTech partnerships; the Fed’s order remains a key regulatory backdrop as the industry reassesses banking-as-a-service risk management.

In March and August 2025, PYMNTS reported further on fund‑reconciliation gaps and Evolve’s efforts to disburse additional Synapse‑tied funds, even as the bank said it lacked complete data from Synapse.