Former S&L Exec Gets Jail, Fine for Flouting OTS Order
WASHINGTON - A federal district judge has issued a contempt citation against a former thrift executive who defied orders from the Office of Thrift Supervision.
Judge Neal B. Biggers Jr. of the U.S. District Court for Northern Mississippi ruled that Tommy M. Parker failed to obey a temporary cease-and-desist order that froze his assets.
Judge Biggers sentenced the former executive vice president of Mississippi Savings Bank, Batesville, to 60 days in jail and fined him $15,000. However, the judge said he would suspend the jail term and $10,000 of the fine if Mr. Parker complies with the OTS orders.
The agency issued the cease-and-desist order last Nov. 16. At that time, it brought sweeping charges against 10 former officers and directors of Mississippi Savings, which was seized by federal regulators in May 1990 and liquidated in December.
The OTS said the ruling was "precedent setting" in that it unequivocally supported the agency's authority to take administrative action against individuals. The OTS has been criticized for its policy of freezing the assets of thrift directors and officers.