OTS Charges 4 Directors of Thrift
WASHINGTON -- The Office of Thrift Supervision said it has filed insider-loan and related charges against four directors of Delta Savings Bank, a failed thrift in Westminster, Calif. The thrift has $64 million in assets.
The OTS said its orders -- which include a move to freeze directors' assets -- require the directors to repay improper loans within 10 days, bar the directors from the banking industry, and seek to obtain restitution of $1.5 million.
Death Threats Cited
The orders were prompted by death threats delivered to an OTS examiner in December 1990 by Delta president Young Il Kim, the agency said.
The OTS said that unlawful activities were likely to continue had there been no cease-and-desist order and other filings.
Pending the outcome of a hearing before an administrative law judge in the Los Angeles area, the Delta officials must establish a $1.5 million escrow account or obtain a letter of credit or fidelity bond to secure that amount, the regulatory agency said.
Delta is in government conservatorship and managed by the Resolution Trust Corp.