Five former directors of United Savings Association of Texas agreed Wednesday to pay $1.03 million to settle charges arising from the thrift's failure in 1988.
Barry A. Munitz, Jenard M. Gross, Arthur S. Berner, Ronald Huebsch, and Michael Crow did not admit violating the law, but agreed to the penalty and a permanent ban from working in the banking industry.
The failure of United Savings cost the deposit insurance fund $1.6 billion.
The Office of Thrift Supervision charged the directors with unsafe and unsound practices in real estate lending, securities trading, and compensation. It also accused them of making false statements and violating rules on minimum capital requirements and on transactions with affiliates.
A related administrative hearing resumed Wednesday against Texas financier Charles Hurwitz and two companies he controls, Maxxam Inc. and Federal Development Co. The OTS, claiming Mr. Hurwitz controlled the thrift, brought the charges in 1995.