February 17, 1990 |
The Federal Deposit Insurance Corp., the agency that insures deposits at banks, said Friday that it brought a $516-million lawsuit against Drexel Burnham Lambert, E. F. Hutton and others over the failure of a Texas thrift. The suit, filed in federal court, stems from an alleged fraud scheme that the FDIC claims led to the demise of the Guaranty Federal Savings & Loan Assn. in Dallas, the sixth-largest thrift in Texas.
June 29, 1988 |
E. F. Hutton & Co. has been fined $400,000 and censured by the New York Stock Exchange in connection with the firm's 1985 check overdraft scandal, the NYSE announced Tuesday. Two former Hutton officers, President George L. Ball and Executive Vice President Thomas P. Lynch, the company's chief financial officer, also were censured, the NYSE said in a statement. A censure is one of the mildest forms of sanctions the exchange can impose on members.
June 21, 1988 |
A jury on Monday cleared former Atty. Gen. Griffin B. Bell in a civil suit that charged him with libeling a former E. F. Hutton brokerage manager in a 1985 report about the company's check-kiting practices. The U.S. District Court panel found that Bell, who had been hired by Hutton to investigate the scheme after the company pleaded guilty to mail and wire fraud charges, had not defamed John Pearce. Pearce, who managed Hutton branches in Bethesda, Md., and in St.