Word: fdic
(lookup in dictionary)
(lookup stats)
Dates: all
Sort By: most recent first
(reverse)
...insolvent University Bank of Wichita, bringing to 76 the number of insured banks that have folded this year. That is the largest crop of bank failures since the Depression year of 1938 but far short of the 4,000 bank collapses in 1933, when Congress set up the FDIC to restore confidence in the financial system...
...While FDIC officials were shuttering the failed Kansas bank, regulators from the Federal Savings and Loan Insurance Corporation, the thrift-industry counterpart to the FDIC, were in California to liquidate the San Marino Savings and Loan Association, whose failure the previous week threatened to cost the FSLIC $193 million, a record loss. So far this year, nine S and Ls have failed, and an additional 17 have been merged with stronger competitors. FDIC Chairman William M. Isaac, who has told the White House that he would like to leave office early next year, warns that if interest rates head back...
...FDIC, which staged a $4.5 billion bailout of the failing institution last September, made the sweeping ouster at Continental partly to remind bank directors across the U.S. of their supervisory responsibilities. The FDIC dismissed all the directors elected to Continental's board before 1980 because it was during the late 1970s that the bank made most of the $3 billion in reckless loans that led to its near collapse. The agency contends that the directors should have monitored more carefully what was going on at Continental. Ideally, corporate directors are wise and prudent overseers of an institution...
While the FDIC thinks a fresh group of directors will be helpful to Continental, the sudden turnover could leave the bank with a leadership gap. Said ousted Director Bere: "A mass exodus of board members only complicates the problems the bank is facing." The FDIC originally wanted the directors to leave immediately, but Continental Chairman John Swearingen persuaded the agency to allow them to serve until April, when replacements can be elected at the company's annual meeting. Given Continental's troubles, the new slate of directors may have full-time jobs on their hands...
...plans to offer insurance by mail from offices located in South Dakota, the only state that allows banks to enter that field. BankAmerica and others also sell stocks through discount brokers, which is legal as long as they offer no investment advice directly in connection with the trade. The FDIC last week set rules so that 9,300 state-chartered banks can buy and sell corporate securities for their customers...