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BUSINESS
May 29, 1989
Two Houston S&Ls in Receivership: The Federal Home Loan Bank Board placed Commonwealth Savings Assn. and University Savings Assn., both of Houston, in receivership and transferred all deposits, offices and substantially all assets and certain liabilities to two newly created federal mutual institutions. Depositors are not affected in any way by the transaction and can continue to conduct business as usual. The Bank Board said the action was taken to conserve the associations' assets and to minimize the eventual cost to the Federal Savings and Loan Insurance Corp.
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NEWS
July 11, 1990 | From Times Staff and Wire Service Reports
Former Sunbelt Savings Assn. President Edwin T. McBirney III has been indicted on charges of defrauding the government in connection with a $700-million real estate scheme, the FBI announced today. His indictment comes one month after the indictment of Donald R. Dixon, who along with other former high-profile thrift executives has been much sought after by regulators cleaning up after the failures of savings and loans. McBirney acquired Sunbelt Savings in 1982 with five associates.
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BUSINESS
January 14, 1987
Eric Noda, 44, of Novato, Calif., a former senior vice president and loan officer for Columbus Marin Savings & Loan in San Rafael, Calif., was arrested and accused of stealing $1.3 million from the institution in a loan funneled through his ex-wife's company, federal officials said. He was charged with bank fraud punishable by up to five years in prison and a $250,000 fine, the FBI said. Columbus, founded in 1978, was taken over by the Federal Savings and Loan Insurance Corp.
BUSINESS
June 24, 1989 | JOHN FAIRHALL, The Baltimore Evening Sun
Downtown is a brash mix of glass, steel and concrete, a sky-scraping tribute to rapid growth. Construction in and around the city boomed in the early 1980s, fed by a rich diet of easy money from such institutions as Sunbelt Savings Assn. Once-tiny Sunbelt became a big lender under Edwin T. McBirney III, who bought it in 1982, merged it with five other thrifts and in three years made Sunbelt the fifth largest S&L in Texas. "Fast Eddie," as people began to call him, enjoyed increasing perks as Sunbelt grew.
BUSINESS
May 24, 1989
Great Western Sues Government: Great Western Financial Corp. sued the government, claiming that federal regulators unfairly thwarted the savings and loan company's plan to leave the thrift industry's federal insurance fund. The lawsuit, filed in U.S. District Court in Los Angeles, comes one day after the Federal Home Loan Bank Board rejected Great Western's proposal to merge two of its subsidiaries in a deal that would, in effect, take the company's big California operation out of the Federal Savings and Loan Insurance Corp.
BUSINESS
February 21, 1986
Less than a week after seizing American Diversified Savings Bank of Costa Mesa, federal regulators filed a $76.6-million lawsuit against Ranbir Sahni, American Diversified's controversial majority owner and former chairman, and Lester Day, the S&L's former president, alleging the two committed various acts of fraud and racketeering while officers of the failed S&L. The Federal Savings and Loan Insurance Corp.
BUSINESS
August 11, 1986
In addition, the Federal Home Loan Bank Board appointed the Federal Savings and Loan Insurance Corp. as receiver of the Porterville, Calif., S&L and directed the FSLIC to transfer insured deposits to branches of Beverly Hills-based Gibraltar Savings. Presidio's three offices will reopen today, giving depositors with insured funds immediate access and the ability to transact business as usual.
BUSINESS
October 20, 1986
Federal Home Loan Bank Board Chairman Edwin J. Gray said he is "deeply disappointed" that Congress failed to approve the bill that would have raised $15 billion for the Federal Savings and Loan Insurance Corp. and expanded the powers of federal bank regulators to merge weak institutions with stronger ones. Gray said the bank board "will do its level best" to deal with mounting problems in the S&L industry.
NEWS
July 11, 1990 | From Times Staff and Wire Service Reports
Former Sunbelt Savings Assn. President Edwin T. McBirney III has been indicted on charges of defrauding the government in connection with a $700-million real estate scheme, the FBI announced today. His indictment comes one month after the indictment of Donald R. Dixon, who along with other former high-profile thrift executives has been much sought after by regulators cleaning up after the failures of savings and loans. McBirney acquired Sunbelt Savings in 1982 with five associates.
BUSINESS
September 24, 1986 | From Times Wire Services
The House Banking Committee passed an emergency banking bill Tuesday to give federal regulators more power to deal with failing banks and savings associations. The bill would refinance the Federal Savings and Loan Insurance Corp. (FSLIC), which insures savings accounts at federal savings and loan associations, and give banking agencies more power to arrange out-of-state acquisitions for failing financial institutions. The legislation, approved 47 to 1, now goes to the full House.
BUSINESS
May 29, 1989
Two Houston S&Ls in Receivership: The Federal Home Loan Bank Board placed Commonwealth Savings Assn. and University Savings Assn., both of Houston, in receivership and transferred all deposits, offices and substantially all assets and certain liabilities to two newly created federal mutual institutions. Depositors are not affected in any way by the transaction and can continue to conduct business as usual. The Bank Board said the action was taken to conserve the associations' assets and to minimize the eventual cost to the Federal Savings and Loan Insurance Corp.
BUSINESS
May 24, 1989
Great Western Sues Government: Great Western Financial Corp. sued the government, claiming that federal regulators unfairly thwarted the savings and loan company's plan to leave the thrift industry's federal insurance fund. The lawsuit, filed in U.S. District Court in Los Angeles, comes one day after the Federal Home Loan Bank Board rejected Great Western's proposal to merge two of its subsidiaries in a deal that would, in effect, take the company's big California operation out of the Federal Savings and Loan Insurance Corp.
BUSINESS
May 23, 1989 | GREG JOHNSON, Times Staff Writer
Even in an era when savings and loans were failing at a fast clip, regulators were amazed at how quickly Seapointe Savings & Loan of Carlsbad was forced to close. The S&L opened for business in a Carlsbad shopping center April 17, 1985, and, in little over a year, lost more than $24 million. On May 30, 1986, the Federal Home Loan Bank Board found Seapointe to be insolvent, its assets and capital dissipated by what federal regulators have described as a risky and fraudulent commodities and futures trading strategy set in motion by Strategic Investment Services, a Riverside-based financial adviser.
CALIFORNIA | LOCAL
June 24, 1988
The lead story on the front page (June 7) was about the closure of two Orange County insolvent savings firms by federal regulators, and the immediate payoff of all depositors with balances under $100,000. The article goes on to say that while the Federal Savings and Loan Insurance Corp. was able to handle this occurance, there are many more savings and loans that are failing and that the FSLIC does not have nearly enough money to cover the depositors in all of them. The conclusion is that the good old U.S. taxpayer will naturally be stuck with the bill, which will be in the neighborhood of $20 billion!
BUSINESS
October 27, 1987 | JAMES S. GRANELLI and JOHN SPANO, Times Staff Writers
American Diversified Savings Bank's ousted chairman, Ranbir S. Sahni, was handed a setback in his battle with federal regulators Monday when an Orange County judge ruled that he had no right to take operational control of $171 million worth of real estate partnerships in which the S&L had an interest. The Federal Home Loan Bank Board seized the Costa Mesa-based S&L 20 months ago after declaring it insolvent.
BUSINESS
May 17, 1987 | JOHN F. LAWRENCE
Amid all the publicity about the need for more federal insurance to bail out ailing savings and loans, there has been far too little discussion about how to avoid needing it. It must be obvious by now that the problems of this industry aren't just the result of factors outside its control--gyrating interest rates and chaos created by deregulation of the financial industry generally. The problems stem as much as anything from poor and reckless management and inadequate regulatory supervision.
BUSINESS
May 31, 1986 | BILL RITTER, San Diego County Business Editor
One-year-old Seapointe Savings & Loan Assn., declared insolvent in February after it lost $21 million in highly speculative financial options trades in only a two-week period, was seized Friday night by federal regulators. Seapointe's insured accounts were transferred to Monterey Savings Bank of Monterey Park, which will take over Seapointe's only branch in Carlsbad on Monday. The Federal Savings and Loan Insurance Corp. took control of Seapointe shortly before 5 p.m. Friday.
BUSINESS
January 21, 1987 | KATHLEEN DAY, The Washington Post
The Federal Home Loan Bank Board is worried that the 12 regional Federal Home Loan banks soon will refuse to lend money to the sickest U.S. savings and loan institutions, the bank board and the U.S. Treasury have told Congress. A refusal to make new loans could leave 272 ailing S&Ls--which are losing $6 million a day--without enough cash to meet day-to-day expenses, according to a Nov. 26 memo made available Tuesday.
BUSINESS
April 24, 1987 | ROBERT A. ROSENBLATT, Times Staff Writer
Some leaders of the troubled savings and loan industry want a "taxpayer bailout" costing billions of dollars, the chairman of the Federal Home Loan Bank Board charged Thursday in a bitter exchange with the business he regulates. Chairman Edwin J. Gray's assertion "is absolutely false," the U.S. League of Savings Institutions said in a statement circulated at the congressional hearings where Gray made his charges.
BUSINESS
February 28, 1987 | JAMES S. GRANELLI and JOHN SPANO, Times Staff Writers
Lawyers, investigators and FBI agents queuing up to question Janet F. McKinzie, a central figure in the collapse of North America Savings & Loan Assn. in Santa Ana, may have a long wait. Her doctor said she is too ill to testify for the "foreseeable future." Dr. George A. Gross, a Sacramento psychiatrist, wrote in a letter submitted in an Orange County Superior Court case that McKinzie was hospitalized earlier this month with a "life-threatening condition."
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