Federal Deposit
Insurance Corporation

{{9-30-94 p.C-3732}}
   [¶11,020] In the Matter of John Christo Jr. and John Christo III, Bay Bank & Trust Co., Panama City, Florida, Docket No. FDIC-93-221e (7-29-94).

   Respondents removed from office and prohibited from participating in the conduct of affairs of, or exercising voting rights in, any insured institution without the prior consent of the FDIC.

[.1] Removal—Service as Officer or Director
[.2] Prohibition—Participation in Conduct of Affairs
[.3] Prohibition—Exercise of Voting Rights

In the Matter of
JOHN CHRISTO, JR., individually,
and as an institution-affiliated
party, and JOHN CHRISTO, III,
individually, and as an
institution-affiliated party of
BAY BANK & TRUST CO.
PANAMA CITY, FLORIDA
(Insured State Nonmember Bank)
ORDER OF REMOVAL FROM
OFFICE AND PROHIBITION FROM
FURTHER PARTICIPATION
FDIC-93-221e
   JOHN CHRISTO, JR. and JOHN CHRISTO, III ("Respondents") have each received a NOTICE OF INTENTION TO REMOVE FROM OFFICE AND TO PROHIBIT FROM FURTHER PARTICIPATION ("NOTICE") issued by the Federal Deposit Insurance Corporation ("FDIC") detailing the violations of law, unsafe or unsound banking practices, and/or breaches of fiduciary duty for which an ORDER OF REMOVAL FROM OFFICE AND PROHIBITION FROM FURTHER PARTICIPATION ("ORDER") may issue, and have been advised of their right to a hearing on the alleged charges under section 8(e) of the Federal Deposit Insurance Act ("Act"), 12 U.S.C. § 1818(e), and the FDIC's Rules of Practice and Procedure, 12 C.F.R. Part 308. Having waived that right, the Respondents entered into a STIPULATION AND CONSENT TO THE ISSUANCE OF AN ORDER OF REMOVAL FROM OFFICE AND PROHIBITION FROM FURTHER PARTICIPATION ("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, unsafe or unsound banking practices, and/or breaches of fiduciary {{9-30-94 p.C-3733}}duty, Respondents each consented to the issuance of an ORDER by the FDIC.
   The FDIC considered the matter and determined it had reason to believe that:
   (a) The Respondents have each engaged or participated in violations, unsafe or unsound banking practices, and/or breaches of fiduciary duty as institution-affiliated parties of Bay Bank & Trust Co., Panama City, Florida ("Bank");
   (b) By reason of such violations, practices, and/or breaches of fiduciary duty, the Bank has suffered or will probably suffer financial loss or other damage, the interests of the Bank's depositors have been or could be prejudiced, and/or the Respondents have each received financial gain or other benefit; and
   (c) Such violations, practices, and/or breaches of fiduciary duty involve personal dishonesty on the part of the Respondents or demonstrate the Respondents' willful and/or continuing disregard for the safety or soundness of the Bank.
   The FDIC further determined that such violations, practices, and/or breaches of fiduciary duty demonstrate the Respondents' unfitness to serve as directors, officers, persons participating in the conduct of the affairs or as an institution-affiliated parties of the Bank, any other insured depository institution, or any other agency or organization enumerated in section 8(e)(7)(A) of the Act, 12 U.S.C. § 1818(e)(7)(A).
   The FDIC, therefore, accepted the CONSENT AGREEMENT and issued the following:

   [.1] 1. John Christo, Jr. and John Christo, III are each hereby removed from office as institution-affiliated parties of the Bank and prohibited, without the prior written approval of the FDIC and the appropriate Federal financial institutions regulatory agency, as that term is defined in section 8(e)(7)(D) of the Act, 12 U.S.C. § 1818(e)(7)(D), from:

   [.2] (a) participating in any manner in the conduct of the affairs of any financial institution or organization enumerated in section 8(e)(7)(A) of the Act, 12 U.S.C. § 1818(e)(7)(A);
   [.3] (b) soliciting, procuring, transferring, attempting to transfer, voting, or attempting to vote any proxy, consent or authorization with respect to any voting rights in any financial institution enumerated in section 8(e)(7)(A) of the Act, 12 U.S.C. § 1818(e)(7)(A);
   (c) violating any voting agreement previously approved by the appropriate Federal banking agency; or
   (d) voting for a director, or serving or acting as an institution-affiliated party.