In the Matter of
MARSHA YESSICK Individually and as an Institution-affiliated party of
CORNESTONE COMMUNITY BANK CHATTANOOGA, TENNESSE (Insured State Nonmember Bank)
DECISION AND ORDER DENYING REQUEST FOR STAY
Before the Executive Secretary of the Federal Deposit
Insurance Corporation ("FDIC"), pursuant to authority delegated
by the FDIC Board of Directors ("Board") under 12 C.F.R.
§308.102(b)(2)(ii), is a request by Marsha Yessick
("Petitioner") for a stay of the Board's final Decision and
Order of Assessment of Civil Money Penalty ("CMP") dated June 3,
2003 ("Order"), issued pursuant to section 8(i) of the
Federal Deposit Insurance Act ("FDI Act"), 12 U.S.C. §1818(i).
The Order directed that Petitioner pay a $5,000 CMP in connection with
her role as a director of Cornerstone Community Bank, Chattanooga,
Tennessee. On July 23, 2003, the FDIC's Executive Secretary received
from Petitioner a letter seeking information about how to appeal the
Order and requesting a stay of the Order.
[.1] At this point, it appears that Petitioner has not commenced proceedings
for judicial review in either the 6th Circuit Court of Appeals or the
U.S. Court of Appeals for the District of Columbia Circuit as is
required under 12 U.S.C. §1818(h)(2). Moreover, it would appear that
any appeal filed by Petitioner would by now be untimely inasmuch as
there is a 30-day appeal period under section 1818(h)(2), and the
Executive Secretary sent notice to Petitioner (by certified mail) on
June 18, 2003.
In addition, even if an appellate court accepted a petition for review
on Petitioner's behalf, a stay is not warranted here. A stay pending
judicial review is an extraordinary action committed to the discretion
of the FDIC. Section 8(h)(3) of the FDI Act, 12 U.S.C. §1818(h)(3),
provides that the commencement of proceedings for judicial review shall
not, unless specifically ordered by the court, operate as a stay of any
order issued by the appropriate federal banking agency. See
12 C.F.R. §308.41; In the Matter of Stanley R.
Hendrickson, FDIC Enforcement Decisions and Orders ¶5238,
A-27972998 (1996), 1996 WL 627770, at *1. The Board also has
authority to grant a stay pending judicial review under 12 C.F.R.