July 23, 1996 |
If the world of savings and loans has a phoenix, its name is American Savings. Once a proud financial company that helped make home ownership possible for hundreds of thousands Southern Californians by offering low-cost mortgages, American Savings grew to become the nation's largest thrift. Then a slumping real estate market and new owners in the early 1980s transformed it into a toxic waste dump of financial assets. A $5.
February 11, 1995 |
William J. Popejoy knows about working inside a pressure cooker. In August, 1984, as the nation was just beginning to understand the impending savings and loan debacle, he was called in to run the nation's largest and most troubled S&L amid huge loses and intense public scrutiny. For four years atop American Savings & Loan, he rode out a series of crises that strained his nerves to the point that he blew up at times, prompting comments about him having a volcanic temper.
May 20, 1994 |
American Savings & Loan, once the nation's largest thrift before its 1988 collapse, now ranks as the nation's most expensive S&L failure, costing taxpayers $5.4 billion, or more than triple the previous official estimate, regulators said Thursday. The Federal Deposit Insurance Corp. said the increase was caused mostly by a more detailed evaluation of loans, securities and other holdings after a complicated and controversial sale of the failed institution in December, 1988.
May 1, 1991 |
During the four years before its sale in late 1988, American Savings & Loan was a shareholder-owned company under tight control by federal thrift regulators as it hemorrhaged more than $900 million in red ink. Yet, from its Irvine corporate headquarters, the nation's biggest thrift at the time still managed to contribute to the political campaigns of more than three dozen local and state legislators.
February 21, 1991 |
A federal grand jury in Philadelphia on Wednesday indicted Miami investor Leonard A. Pelullo on 55 criminal counts stemming from a scheme to defraud American Savings & Loan of Stockton and Royale Group Ltd. of $1.6 million. The indictment also charges that Pelullo, 40, separately defrauded Miami-based Royale Group of an additional $600,000. According to the indictment, Pelullo--as chairman of Royale Group--borrowed $13.5 million from American Savings to renovate several hotels owned by Royale.
January 19, 1991 |
The federal Resolution Trust Corp., as part of a new Bush Administration initiative to cut the cost of the thrift bailout, said Friday that it will seek to renegotiate the government-assisted sale of American Savings & Loan in 1988. The Robert M. Bass Group of Ft. Worth purchased insolvent American Savings in late 1988 with an estimated $2.7 billion in federal assistance.