A federal appeals court in California dealt the Office of Thrift Supervision its second defeat this year, overturning a 1993 order banning a former thrift executive from the banking industry.

The Ninth U.S. Circuit Court of Appeals agreed with regulators that Young Il Kim was careless in his management of failed Delta Savings Bank in Los Angeles. But characterizing his actions as minor violations, it ruled that his conduct, "certainly does not justify the imposition of such a draconian measure as a permanent prohibition order."

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