Your article, "S&L Industry Tensions Remain as State's Top Regulator Steps Down" (Dec. 31)was interesting in an unusual way. It quoted the president of Home Federal Savings. First, Home Federal Savings is not even regulated by the State S&L Commissioner and second, Home Federal, with its non-real estate oriented commercial loan department, has taken full advantage of the "non-traditional" area it criticizes.
Having been in and around the savings and loan industry for many years, I have watched the large, old-line S&Ls seemingly do whatever they can to stop innovation at the smaller and newer institutions that are more capable of dealing with the market place. They will probably get their way again, but it will not help the future of the industry. JEROME H. CHARLUP Mission Viejo