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...auditing. Over five months, the Gearys say, they spent $130,000 for services, plus $50,000 for "gold-embossed, investment-grade" books signed by Hubbard. Geary contends that Scientologists not only called his bank to increase his credit-card limit but also forged his signature on a $20,000 loan application. "It was insane," he recalls. "I couldn't even get an accounting from them of what I was paying for." At one point, the Gearys claim, Scientologists held Dorothy hostage for two weeks in a mountain cabin, after which she was hospitalized for a nervous breakdown...

Author: /time Magazine | Title: The Thriving Cult of Greed and Power | 5/6/1991 | See Source »

...collapse of Denver's Silverado Banking, Savings & Loan Association will cost taxpayers more than $1 billion. Last week a major figure in that disaster, presidential son Neil Bush, was judged to have engaged in "unsafe or unsound practices and breaches of his fiduciary duties involving multiple conflicts of interest." In making that pronouncement, Timothy Ryan, director of the Office of Thrift Supervision, ruled that if Bush again serves as director of a financial institution, he must seek legal advice on his responsibilities, disclose potential conflicts of interest and abstain from voting on matters in which he has a personal stake...

Author: /time Magazine | Title: Banking Unsound Practices | 4/29/1991 | See Source »

Nothing unusual about taking a building condo to help pay the mortgage. But Donald Trump raised eyebrows last week when he announced plans to convert most of New York City's 84-year-old Plaza Hotel into condominiums to pay off his $300 million loan on the place. He plans to charge an average of $1,600 per sq. ft. for the luxury apartments, or about three times the price of other prime residential buildings in Manhattan -- and most of the apartments won't have kitchens...

Author: /time Magazine | Title: REAL ESTATE: Trump Tries Tokyo Prices | 4/22/1991 | See Source »

...thought the judge was very fair," remarked former Dallas thrift owner Don R. Dixon last week. Fair and then some. Dixon was convicted last December on federal charges that he used funds from his Vernon Savings & Loan $2 million to pay for a California beach house and $10,000 for prostitutes for board members. Though Vernon's former chairman, Woody Lemons, had been sentenced to 30 years, U.S. district court Judge A. Joe Fish gave Dixon only five years, pointing out that the jury had not found him responsible for Vernon's $1.3 billion failure. Dixon could be paroled after...

Author: /time Magazine | Title: SAVINGS AND LOANS: The Follies Go On | 4/15/1991 | See Source »

...filed a claim in federal court against the giant Cleveland-based law firm Jones, Day, Reavis & Pogue. The RTC seeks more than $50 million in damages, citing Jones Day's alleged "endorsement of and/or acquiescence in" the actions of Charles Keating and his associates at California's Lincoln Savings & Loan, the nation's most spectacularly failed thrift. Jones Day denies all charges...

Author: /time Magazine | Title: SAVINGS AND LOANS: The Follies Go On | 4/15/1991 | See Source »

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