FDIC loses face as well as case; NBW suit called frivolous
Article Abstract:
A government loss in Washington Bancorporation v Said has put at greater risk the effort to recover for taxpayers some of the losses sustained in the Savings and Loan Crisis. A federal district judge ordered sanctions against the Federal Deposit Insurance Corp for filing a frivolous suit against the National Bank of Washington and dismissed most of the counts of a negligence suit against the bank's former officials. The judge introduced a sliding scale standard for deciding whether bank officials were guilty of simple or gross negligence.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1993
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FDIC wants cut of Winstar win; S&Ls are livid that agency is seeking to muscle in
Article Abstract:
The Federal Deposit Insurance Corp (FDIC) is arguing in United States v. Winstar that the agency deserves a cut of any damages certain investors win because it should go back to the taxpayers. According to the FDIC, in perhaps a third of the cases arising from the savings and loan bailout crisis, the savings and loan assn failures have cost the government more than the loss to their owners. The FDIC must make this claim to the US Department of Justice.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1996
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... But wide net is OK'd for some FDIC claims
Article Abstract:
The 10th Circuit Court ruled on Feb 24, 1992 that the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA) does allow the Federal Deposit Insurance Corp (FDIC) to sue thrift directors and officers for simple negligence. FIRREA explicitly allows gross negligence suits, but several thrifts have challenged the FDIC's right to sue for simple negligence. The majority of the cases have been decided in favor of the government.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1992
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- Abstracts: FDIC's powers face growing challenge. Repudiation powers are at issue again. Marketplace discipline is reintroduced
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