Former IndyMac trustee files lawsuit against bank’s parent

Posted by Lisa on November 26, 2009 · View Comments 

FROM: http://www.sgvtribune.com/news/ci_13816317

Former IndyMac trustee files lawsuit against bank’s parent
Ryan Carter
Posted: 11/18/2009 03:12:08 PM PST

A former trustee of defunct IndyMac Bank’s parent company has sued the bank’s former CEO and members of its board, claiming they “recklessly” mismanaged it even when they had chances to save it from one of the largest bank failures in U.S. history.
Alfried H. Seigel, formerly the trustee of IndyMac Bancorp Inc., filed the lawsuit Friday in U.S. Bankruptcy Court in Los Angeles.

He claimed that the bank’s former CEO, Michael E. Perry, repeatedly ignored red flags about the bank’s financial problems. He squandered the bank’s assets, failed to supervise management and rejected investors’ offers that could have saved the bank. But a rubber-stamping board deferred actions to Perry, “utterly failing” to stop the actions that led to the bank’s collapse, Seigel alleged.

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About Lisa

  • Shu-Fen
    Should we follow him and gather a group action against the former CEO of Indymac?
  • indymac
    Shu-Fen,

    Michael Stein is an attorney you may want to use in LA.

    I cannot sue, I do not have the money to sue.

    Cheers,

    Lisa

    Lisa Marshall
    web: www.IndyMacDepositors.com
    email: indymacdepositors@gmail.com
    voicemail: (641) 715-3900 ext: 48229 #
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