Ten former directors and officers of Bainbridge Island's defunct American Marine Bank are being sued over allegations of allowing $18 million in irresponsible loans.
The Federal Deposit Insurance Corporation took over responsibility of American Marine Bank's finances in the wake of its closure on Jan. 29, 2010. The FDIC is now suing four officers and six directors of the bank for breach of fiduciary duty, gross negligence and negligence, according to documents filed in the United States District Court in Tacoma on Jan. 25.
Allegations range from high-risk growth strategies using poorly collateralized loans, to directors ignoring regulatory criticisms regarding the institution's loans.
The defendants also allegedly ignored their own policies on 11 loans and are accused of being negligent in the approval of the loans.
Rex Townsend, the former president and CEO of American Marine Bank, as well as former Chief Credit Officer Barbara Kaye and former Executive Vice-President Renzo Luciono were cited in the lawsuit.
Gary Winter was also named as a defendant in the case as a former executive vice-president. Winter also worked as a chief credit officer and a member of the bank's Officer's Credit Committee and Senior Loan Committee at American Marine Bank.
Bess Alpaugh, Carl Berg, Jeffrey Goller, Thomas Kilbane, Andrew Mueller and Alice Tawresey are all cited as directors of the bank and were also named in the lawsuit. They also all served on the bank's various loan committees.
A jury trial has been demanded by the FDIC.
Tawresey is a former mayor of Winslow from 1978 to 1990.