Fed Closes Silver State Bank. McCain's Son Andrew Resigns.

by djermano | September 6, 2008 at 06:38 am | 965 views | 15 comments | 18 recommendations

by djermano

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The International Institute of Nonviolence

News&Opinion

By, Rev. Jermano

Like father like son? Andrew although not a Senator but a member of the bank's audit committee, responsible for oversight of the company's accounting, resigns, and said to be personal reasons, as the bank flounders because of poor-quality loans. John McCain his father was involved with 2 failed banking Institutions during the 1980's when Lincoln Savings and Loan went under...known as the Keating Five Scandal...and McCains close relationship with Neil Bush when http://en.wikipedia.org/wiki/Savings_and_loan_crisis he was director of Silverado Savings and Loan.

Andrew K. McCain, a son of Republican presidential nominee John McCain, sat on the boards of Silver State Bank and of its parent, Silver State Bancorp, starting in February but resigned in July citing "personal reasons," corporate filings with the Securities and Exchange Commission show. Andrew McCain also was a member of the bank's audit committee, responsible for oversight of the company's accounting.

http://news.yahoo.com/story/ap/bank_closure_silver_state

Regulators on Friday shut down Silver State Bank, saying the Nevada bank failed because of losses on soured loans, mainly in commercial real estate and land development.

Why do banks fail during the Republican watch? Why is Bush and McCain have their fingerprints all over the counters? And now with this Housing Mortgage Crisis we think it will get better under a McCain Palin Administration?

Think clearly folks.

Rev. Jermano God Bless

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Emilio Lizardo

flagged this story as Good Stuff

at 06:49 on September 6th, 2008

Rotten to the core - all of 'em ...

Sputnic

at 07:59 on September 6th, 2008

Good stuff

bill hicks

at 08:14 on September 6th, 2008

His son was brought in just before they went under. He helped with the audit and his job was done. He did not cause the problems. The bank they bought had more liabilities than they knew about. McCains son was not involved in any of the stupidity. He just helped them determine how bad it was. He did his job.

René

at 08:27 on September 6th, 2008

Thanks, bill. give us some links to refute this story.

Dave Bowman (not verified)

at 10:34 on September 6th, 2008

bill's version is not accurate. Andrew McCain was on the board of the bank 'they' bought, Choice Bank. Here's the real story and link:

Mr. McCain's ties to Silver State date to 2006, when he became a director of Choice Bank, a small Scottsdale, Ariz., lender that Silver State acquired that year. Mr. McCain's family was an early investor in Choice, according to people familiar with the matter.

Choice was smaller than Silver State, but its finances deteriorated just as quickly and hurt the parent company. As of March 31, 2008, Choice was facing $7.9 million worth of delinquent loans, up from $1.6 million three months earlier. Silver State recently logged an $18.8 million write-down, representing the full remaining value of its investment in Choice, to reflect the "continued deterioration" of the franchise's credit quality, according to securities filings.

If Mr. McCain had remained on Silver State's board another four days, his position on the audit committee would have required him to sign off on the company's second-quarter financial statements.

http://forum.globalhousepricecrash.com/index.php?showtopic=40239

Simply put, bill's version is whitewash.

helene Kahn (not verified)

at 15:06 on October 10th, 2008

right.......and maybe cows quack. let's have some links, Bill.

dunkelberg

at 08:59 on September 6th, 2008

Keating 5 - McCain -1

SOLARLIFE

flagged this story as Good Stuff

at 14:05 on September 6th, 2008

djermano, I like this story. It's good stuff. Andrew K. McCain has a new chance in Georgia $ 1bn from US tax payers, plus $ 750 million from IMF Strauss-Kahn waiting for Riders. Americas bankruptcy is no problem for cheney-oil, he creates just a "offshore country" Georgia-Caymanislands. New game, new luck. The stupid ones stay at home, buying chenys home before he leaves, paying tax.

Tina Kells

flagged this story as Good Stuff

at 14:45 on September 6th, 2008

djermano, I like this story. It's good stuff.

DrMarty

flagged this story as Good Stuff

at 15:37 on September 6th, 2008

djermano, I like this story. It's good stuff. I read the story Dave Bowman posted and the link and conclude that McClain's son is either liable for the poor decisions made by the Bank or the Choice Bank, OR he is incompetent for not being able to turn around the fortunes of the company he was charged to save. It seems now both candidates have banking scandals and both need to do some explaining. McCain's is the Keating 5 scandal and now his son's scandal and Obama has Rezko.

djermano

at 17:42 on September 6th, 2008

http://forum.globalhousepricecrash.com/index.php?showtopic=40239

Thanks Mr. Bowman....

Rev. Jermano

duo

flagged this story as Good Stuff

at 19:06 on September 6th, 2008

djermano, I like this story. It's good stuff.

You asked "Why do banks fail during the Republican watch?" I don't know, but I am inclined to believe that if you see yourself falling, it's best to land while the landing may be easier on you. You think?

Mary

djermano

at 19:25 on September 6th, 2008

got me Mary? While the elite claim they control the purse; the banks and economy slide dismally downward, and people who have nothing to do with their mistakes are left cleaning up and paying for it. Landing is subjective to their crash when the cleanup crews arrive....And yet they continue on the same revolving poor managing cycle....Too much debt is not a good thing, but banks think they can get a lot of profit from the interest from loans, faliing to realize people who have those loans expect to profit too. When they don't pan out....because of the excessively large loans that never will get a return to the borrower, they may as well be shoveling cash in trash can.....because they will never get their interest or the loan money back........Then they have to change the name of the bank to Crashville No-Savings and Loan.

Emilio Lizardo

at 21:10 on September 6th, 2008

Silver State became the sixth bank to fail in Nevada since the Great Depression and the 11th bank failure in the country this year.

News of bank failures is causing concern for depositors at [Arizona] community banks, said Timothy Coffey, vice president of research at FIG Partners, a broker dealer specializing in financial institutions.

In 2006, SNL Financial, a research firm in Charlottesville, Va., reported that Silver State was the second most profitable publicly owned bank in the country as measured by return on equity, which is profit divided by shareholder equity. Silver State had been the top Small Business Administration lender in dollar terms for seven consecutive years.

The banking company gave $1.4 million in bonuses for 2007 to five senior executives who also received increases in base pay.

The company failure comes a little more than a year after the bank completed an initial public offering of stock at $20 a share. Shares closed on Friday at 56 cents, unchanged from the prior day, on the Nasdaq National Market.

dunkelberg

at 21:23 on September 6th, 2008

The banking company gave $1.4 million in bonuses for 2007 to five senior executives who also received increases in base pay.

Wonder if they'll split that up with the folks who lose their jobs?

It's ok, folks. Don't worry. Young McCain won't be hurting. He and his buddies will be fine. It's just the "little people" who trusted them will lose the ranch.