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{{3-31-99 p.C-4681}}
   [11,589] In the Matter of Leopold H. Greif, Midland Bank of Kansas, Mission, Kansas and Midland Bank, Lee's Summit, Missouri, Docket No. 97-058b (1-28-99)

   An order for restitution was issued, based on findings by the FDIC that it had reason to believe that respondent had engaged in unsafe and unsound practices and been unjustly enriched in connection with such violations and practices.

   [.1] Restitution—Payment Required

In the Matter of
LEOPOLD H. GREIF
individually, as director, person participating in the conduct of the affairs, and as an institution-affiliated party of
MIDLAND BANK OF KANSAS
(f/k/a The Tower State Bank)
MISSION
, KANSAS
(In Receivership)and
MIDLAND BANK
LEE'S SUMMIT
, MISSOURI
(Insured State Nonmember Banks)
ORDER FOR RESTITUTION
FDIC-97-058b

   Leopold H. Greif ("Respondent") has received a FIRST AMENDED NOTICE OF CHARGES FOR AN ORDER OF RESTITUTION AND OTHER AFFIRMATIVE RELIEF AND NOTICE OF HEARING ("NOTICE") issued by the Federal Deposit Insurance Corporation ("FDIC") detailing the violations of laws and regulations and unsafe or unsound banking practices for which an ORDER FOR RESTITUTION may be issued, and has been further advised of his right to a hearing on the charges under section 8(b) of the Federal Deposit Insurance Act ("Act"), 12 U.S.C. §1818(b), and the FDIC's Rules of Practice and Procedure, 12 C.F.R. Part 308. Having waived those rights, Respondent entered into a STIPULATION AND CONSENT TO THE ISSUANCE OF AN ORDER FOR RESTITUTION ("CONSENT AGREEMENT") with a representative of the Legal Division of the FDIC, whereby solely for the purpose of this proceeding and without admitting or denying any violations of law or regulations or unsafe or unsound baking practices, Respondent consented to the issuance of an ORDER FOR RESTITUTION by the FDIC.
   The FDIC considered the matter and determined that it had reason to believe that:

       (a) Respondent has engaged or participated in violations of law and regulations and unsafe or unsound banking practices as an institution-affiliated party of Midland Bank of Kansas (f/k/a The Tower State Bank), Mission, Kansas (in receivership), and Midland Bank, Lee's Summit, Missouri ("Banks");
       (b) Respondent has been unjustly enriched in connection with such violations and practices;
       (c) Such violations and practices involved a reckless disregard for the law and applicable regulations; and
       (d) Respondent should be required to make restitution to the Banks to correct or remedy the conditions resulting from such violations and practices.
   The FDIC, therefore, accepted the CONSENT AGREEMENT and issued the following:

ORDER FOR RESTITUTION

   IT IS HEREBY ORDERED, pursuant to sections 8(b)(1) and 8(b)(6) of the Act, 12 U.S.C. §§ 1818(b)(1) and 1818(b)(6), that:

   [.1] 1. No later than thirty (30) days after the effective date of this ORDER, Respondent shall pay restitution to the FDIC as receiver of Midland Bank of Kansas (f/k/a The Tower State Bank), Mission, Kansas (in receivership), or its successor or assigns, in the sum of $1,000,000, with interest thereon from the effective date of this ORDER at the rate provided in 28 U.S.C. §1961, and to Midland Bank, Lee's Summit, Missouri, or its successors or assigns, in the sum of $3,529,026, with interest thereon from the effective date of this ORDER at the rate provided in 28 U.S.C. §1961.
   2. Respondent shall pay restitution by cashier's check or other certified funds made payable to the Federal Deposit Insurance Corporation and delivered to the Regional Director of the FDIC's Kansas City Regional Office, who shall distribute such funds to Midland Bank, or its successors or assigns, and to the FDIC as receiver of Midland Bank of Kansas, or its successors or assigns.
   3. This ORDER will become effective 10 days after its issuance. The provisions of this ORDER will remain effective and enforceable except to the extent that, and until such time as, any provision of this ORDER shall have been modified, terminated, suspended, or set aside by the FDIC.
   Pursuant to delegated authority.
   Dated this 28th day of January, 1999.

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