FDIC Targets Execs Of Failed Bank In $193M Loan Suit

Law360, New York (August 24, 2011, 6:25 PM EDT) -- Two former First National Bank of Arizona officers "sacrificed safety and soundness" when they marketed risky mortgage loans that returned record profits but ultimately caused the bank to fail, the Federal Deposit Insurance Corp. said Tuesday in a $193 million lawsuit.

The FDIC, as the receiver for the failed bank's sister in Nevada, hit former FNB Arizona CEO Gary A. Dorris and Vice President Philip A. Lamb with a suit in Arizona federal court seeking $193 million in damages for their alleged promotion of nontraditional so-called...
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