February 22, 1987 |
A special force has mobilized in the basement of Downingtown Savings & Loan Association on Route 30. There, about 25 temporary employees are answering telephones, addressing envelopes and learning financial facts by heart - all in preparation for a landmark in the S&L's 65-year history. It is seeking to switch from mutual ownership to stock ownership. In the stock conversion, Downingtown will offer one million shares for $6.80 to $9.20 each, raising up to $9.2 million in capital earmarked for new branches and services.
October 23, 1990 |
Accusing him of "insatiable vanity and greed," thrift regulators yesterday ordered Miami businessman David Paul to repay $30 million they say he plundered from Florida's CenTrust Bank. Paul, ex-chairman of CenTrust, surrounded himself with a $29 million collection of rare paintings, 24-karat gold-leafed ceilings and even gold- plated plumbing fixtures - partly financed, regulators allege, from the vaults of the now-insolvent Miami savings and loan. Paul's extravagance "exceeds virtually anything this agency has encountered before," said Faith Hochberg, a top attorney for the Office of Thrift Supervision.
May 5, 1989 |
The company that controls a Northeast Philadelphia savings and loan filed suit this morning to force its own sale to a Wilmington banking company that has backed off from an earlier $28.8 million purchase agreement. Diversified Investment Group, which owns Fidelity Federal Savings & Loan Association, said it filed the lawsuit in U.S. District Court to force the Wilmington company, Star States, to go through with the deal on the terms reached in August. Diversified said in a prepared statement that Star States has told the bank it won't complete the deal.
May 10, 1990 |
Charles H. Keating Jr., whose lavish campaign donations and ownership of a now-bankrupt savings and loan have made his name synonymous with the national thrift crisis, yesterday said he was broke and in danger of losing his house. During an occasionally emotional appearance at the National Press Club, Keating predicted that the national S&L crisis would spread to commercial banks. "This is one of the most ridiculous, obscene situations in the history of America," said Keating, who is accused by the federal government in a $1.1 billion civil racketeering suit of looting the assets of Lincoln Savings & Loan Association in Orange County, Calif.
June 15, 1990 |
Political skirmishing broke out yesterday over who should be blamed for the mushrooming costs of the savings-and-loan bailout. Treasury Secretary Nicholas F. Brady teamed with Housing Secretary Jack Kemp to defend the Bush administration from assaults by Democrats on the House Banking Committee. Democrats sense a chance to profit from escalating public outrage, not least because Brady now concedes that the bailout will cost almost twice as much as the administration estimated last year.
June 20, 1986 |
Tri-County Savings & Loan Association of Maple Shade reported yesterday a preliminary, unaudited loss of $7 million for the year ended Dec. 31. The company, which had a profit of $352,000 in 1984, said the loss included a provision for loan losses of at least $9.5 million related to loans secured by second mortgages on condominium units across the nation. The company said these loans were nonperforming, which means interest payments have ceased or are being met at reduced levels.
July 7, 1986 |
Hatboro is a small town, and it is not easy to keep a secret. But for the last six weeks, the directors and employees of the Hatboro Federal Savings & Loan Association kept a very big secret. They were throwing a surprise party for Myron Thomas, president of Hatboro Federal Savings & Loan, in honor of his 40 years with the institution and his July 4 birthday. When Thomas walked into a Doylestown restaurant Tuesday night for what he thought was a private dinner, somebody called out "Happy Birthday," and Thomas saw 50 people - his directors and employees - looking at him and beaming.
September 24, 1991 |
In the underworld of Philadelphia banking yesterday, robbers enjoyed the thrill of victory and the agony of defeat. Mr. Victory hit the Constitution Bank at 11th and Walnut streets a little before 10:30 a.m. He handed a teller a note demanding 10s and 20s, collected $496 and fled. Mr. Defeat went calling at the Polonia Federal Savings and Loan Association branch on Allegheny Avenue near Edgemont Street in Port Richmond a little before 3 p.m. He didn't say anything; nor did he present a note.
September 9, 1990 |
Back in January, when his name was first becoming familiar to the American public as a central figure in the savings-and-loan scandals, Charles L. Keating Jr. mounted a public-relations campaign as expansive as his financial dealings. The boss of Lincoln Savings and Loan and its parent company, American Continental Corp. (ACC), the man who poured thousands of dollars into the campaign treasuries of the "Keating Five" senators, was all over TV. Far from being responsible for fraud that would cost the taxpayers $2 billion, as the government alleged, Keating insisted he was the innocent victim of overzealous, incompetent regulators who had illegally taken a profitable business operation away from him and run up record losses.
July 25, 1990 |
Convicted savings and loan executives whose fraudulent business practices are costing taxpayers billions of dollars have paid only a tiny fraction of their court-ordered restitutions, Attorney General Dick Thornburgh said yesterday. He told the Senate Judiciary Committee that convicted thrift executives in northern Texas, the center of the savings and loan scandal, have paid only about $24,000 of the $11.4 million in restitution imposed by judges since 1988. Thornburgh gave no figures on payments of the $56.6 million in restitution ordered nationwide, but he held out little hope that the money that is collected would go very far in paying for the savings and loan bailout.