Lowe v. Federal Deposit Insurance Corp.

TJOFLAT, Chief Judge:

On April 16, 1990, the Federal Deposit Insurance Corporation (FDIC) issued an order assessing civil money penalties against petitioners, pursuant to the Federal Deposit Insurance Act (FDIA), 12 U.S.C. § 1828(j)(4)(A), (B) (1988), for violating the statutory duties of bank directors in policing insider loans. The FDIC construed the statute as assigning liability to any director’s action violating its provisions without some further showing of culpability. Petitioners’ appeal contends, however, that bank directors only violate the FDIA if their actions both are proscribed…