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[¶5201] In the Matter of Robert C. Wilkins, New River Bank, Oakland Park, Florida, Docket No. FDIC-93-9jj (8-24-93).
FDIC Board dismisses a Section 32 proceeding to determine applicant's fitness to serve as an officer or director of a new or troubled institution, because the proceeding became moot when the bank severed its relationship with the applicant.
[.1] FDI Act Section 32 — Proceedings Moot
Bank's termination of its relationship with the individual it had earlier sought to hire renders moot the proceeding to determine the individual's fitness to serve at that bank; the FDIC Board rescinds notice disapproving the individual's application.
In the Matter of
ROBERT C. WILKINS
NEW RIVER BANK
OAKLAND PARK, FLORIDA
(Insured State Nonmember Bank)
DECISION AND ORDER
FDIC-93-9jj
BACKGROUND
On December 15, 1992, New River Bank, Oakland Park, Florida ("Bank"), and Robert C. Wilkins submitted a Notification of Addition of a Director or Employment of a Senior Executive Officer ("Notification") under section 32 of the Federal Deposit Insurance Act, 12 U.S.C. § 1831i. After consideration of the Notification, the Regional Director (Supervision) of the Federal Deposit Insurance Corporation's ("FDIC") Atlanta Regional Office, pursuant to delegated authority, issued a Notice of Disapproval of Notification of Addition of a Director and/or Employment of a Senior Executive Officer ("Notice of Disapproval") based on statutory factors enumerated in 12 U.S.C. § 1831i(e). Thereafter, the Bank and Mr. Wilkins requested reconsideration of the disapproval, and on February 19, 1993, the Associate Director of the FDIC's Division of Supervision, pursuant to delegated authority, issued a Notice of Denial of Appeal From Notice of Disapproval and Notice of Hearing ("Notice of Denial") denying the request for reconsideration.
On March 5, 1993, the Bank and Mr. Wilkins filed a request for a hearing pursuant to 12 U.S.C. § 1831i and 12 C.F.R. § 308.154. In the Board of Directors' ("Board") Decision and Order on Request for Hearing ("Decision and Order") dated May 11, 1993, the Board granted that request. However, on May 5, 1993, the Bank terminated its relationship with Mr. Wilkins, and has informed the FDIC that it no longer wishes to participate in the hearing. Mr. Wilkins, by letter dated June 10, 1993, has
{{11-30-93 p.A-2291}}informed the FDIC that he wishes the hearing to proceed.
DISCUSSION
[.1] The issue before the Board is whether a hearing on the Notification can proceed where the Bank has terminated its relationship with the individual it is proposing for approval. In In the Matter of Donald E. Thompson, Bank of Bellevue, Bellevue, Nebraska, FDIC-91-246jj, 1 P-H FDIC Enforcement Dec. & Ord. ¶5183 (Sept. 15, 1992), the Board concluded that such a proceeding was moot and that the appropriate course of action was to terminate the proceeding and rescind the Notice of Disapproval. Id. at A-2081. The procedural posture of this matter is indistinguishable from the Thompson case and the Board sees no reason that a different result should obtain here. Accordingly, the Board will follow the precedent set in the Thompson case and issue an appropriate order vacating the earlier Decision and Order granting a hearing and rescinding the Notice of Disapproval and the Notice of Denial.
ORDER
For the reasons set forth above, it is hereby ORDERED that the Board's Decision and Order of May 11, 1993, is vacated and the Notice of Disapproval and Notice of Denial are rescinded.
By direction of the Board of Directors.
Dated at Washington, D.C., this 24th day of August, 1993.
/s/ Robert E. Feldman
Deputy Executive Secretary
