Resolution Trust Corporation

FIRREA Signed: $160 Billion Taxpayer Bailout of S&L Industry Fraud

| Importance: 9/10

President George H.W. Bush signs the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA), authorizing a $160.1 billion taxpayer bailout of the savings and loan industry—with $132 billion coming directly from taxpayers through higher taxes and fees. The legislation creates the …

George H.W. Bush Congress Resolution Trust Corporation Federal Deposit Insurance Corporation s&l-crisis firrea bailout taxpayers deregulation-failure +1 more
Read more →

Lincoln Savings Seized: $2.3 Billion Loss Exposes Keating Fraud Network

| Importance: 9/10

Federal regulators seize Lincoln Savings and Loan, ending Charles Keating’s systematic fraud scheme that ultimately costs taxpayers $2.3 billion—one of the costliest S&L failures in American history. The seizure comes after years of regulatory delays caused by political interference from …

Charles Keating Federal Home Loan Bank Board Resolution Trust Corporation Lincoln Savings and Loan Keating Five Senators charles-keating lincoln-savings s&l-crisis fraud seizure +1 more
Read more →

Lincoln Savings Collapse: $3.4 Billion Taxpayer Bailout

| Importance: 9/10

Lincoln Savings and Loan collapses the day after its parent company American Continental Corporation files bankruptcy, requiring a $3.4 billion federal bailout and leaving 23,000 mostly elderly investors with worthless bonds. The failure represents the largest single cost in the S&L crisis and …

Lincoln Savings and Loan American Continental Corporation Charles Keating Federal Deposit Insurance Corporation Resolution Trust Corporation +1 more lincoln-savings-collapse s&l-crisis keating-five taxpayer-bailout systematic-corruption +1 more
Read more →

S&L Industry Collapse: Over 1,000 Institutions Failed by 1989

| Importance: 9/10

By 1989, over 1,000 savings and loan institutions have failed, representing approximately one-third of the entire S&L industry and marking one of the worst financial industry collapses in American history. The systemic failure stems directly from 1980s deregulation that eliminated prudential …

Savings and Loan institutions Federal Home Loan Bank Board Federal Savings and Loan Insurance Corporation Resolution Trust Corporation s&l-crisis financial-crisis deregulation-failure systemic-collapse regulatory-failure
Read more →