WASHINGTON - The Office of Thrift Supervision has banned Lawrence B. Seidman from banking. He is former chairman of Crestmont Savings and Loan Association in Edison, N.J.
Mr. Seidman was also fined $930,000 in civil penalties at the recommendation of an administrative law judge, Walter J. Alprin.
The agency originally sought $1.78 million in penalties against Mr. Seidman, who was suspended from his post in October 1991 when the OTS began an administrative law action.
Accused of Self-Dealing
The OTS accused Mr. Seidman of self-dealing and using his position at Crestmont to obtain release of personal guarantees on a $4.5 million loan made by another financial institution to a partnership in which he had an interest.
He also was accused of failing to disclose these matters to Crestmont's directors.
The OTS said that Mr. Seidman tried to hinder the agency's investigation by giving misleading evidence, destroying material evidence, and soliciting another witness to give false testimony and destroy evidence."
