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TRANSOHIO SAV. BANK v. DIRECTOR, OTS

No. 91-5246.

967 F.2d 598 (1992)

TRANSOHIO SAVINGS BANK, et al., Appellants, v. DIRECTOR, OFFICE OF THRIFT SUPERVISION, et al., Appellees.

United States Court of Appeals, District of Columbia Circuit.

Reargued January 6, 1992.

Decided June 12, 1992.

Attorney(s) appearing for the Case

Charles J. Cooper, with whom Michael A. Carvin and Robert J. Cynkar were on the brief, for appellants. Michael W. Kirk also entered an appearance for appellants.

Douglas Letter, Attorney, U.S. Dept. of Justice, with whom Stuart M. Gerson, Asst. Atty. Gen., Jay B. Stephens, U.S. Atty., Dorothy L. Nichols, Associate General Counsel, Federal Deposit Ins. Corp., and Jeanette E. Roach, Counsel, Federal Deposit Ins. Corp., were on the brief, for appellee, F.D.I.C.

Aaron B. Kahn, Asst. Chief Counsel, Office of Thrift Supervision, with whom Harris Weinstein, Chief Counsel, Thomas J. Segal, Deputy Chief Counsel, and Robert J. Lesnick, Sr. Trial Atty., were on the brief, for appellee, Director, Office of Thrift Supervision. Harvey A. Levin, Attorney, Office of Thrift Supervision, also entered an appearance for appellees.

Before MIKVA, Chief Judge, WALD and BUCKLEY, Circuit Judges.

Opinion for the court filed by Chief Judge MIKVA.

MIKVA, Chief Judge:

In the mid-1980s, as the savings and loan industry deteriorated, the Federal Savings and Loan Insurance Corporation (FSLIC) and the Federal Home Loan Bank Board encouraged a number of healthy thrifts to acquire failing ones. The government agencies provided financial assistance to the acquiring thrifts, and they promised favorable accounting treatment. Granting capital or accounting forbearances...

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