HomeBanc Officer Bonuses Off-Limits: Trustee

Law360, New York (September 17, 2007, 12:00 AM EDT) -- U.S. Trustee Kelly Beaudin Stapleton has balked at HomeBanc Mortgage Corp.’s bid to dole out $532,000 among 15 vice presidents as part of its dismantling, saying that such payment to company insiders is unlawful.

On Aug. 31 HomeBanc put forth its motion to institute a bonus system that would hand out retention payments to 87 of the lender’s 184 remaining employees. Not long ago, the company had over 1,000.

According to the motion, the remaining employees were “absolutely essential” to the company’s remaining operations and were...
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