Report Indicates Record Pace for FDIC Suits Against Directors and Officers

FDIC Directors & Officers

On September 16, an economic and financial analysis and consulting firm issued a report that indicates the FDIC already has filed more suits against bank directors and officers in 2013 than it has in any year since the start of the financial crisis. The report states that through August 2013, the FDIC has seized 20 institutions and filed at least 32 lawsuits against officers and directors. Notably, the report finds that the pace of filings in the second and third quarters of 2013 has exceeded the rate of new filings in any equivalent period in the past three years. Over that three year period, the FDIC has filed a total of 76 suits against the directors and officers of failed institutions, 10 of which have settled, and one of which resulted in a jury verdict.