Leavy v. American Federal Savings Bank

ADKINS, Judge.

Harry L. Leavy (“Leavy”), appellant, appeals from the trial court’s judgment that he breached his fiduciary duties to American Federal Savings Bank (the “Bank”), appellee. While Leavy was the president and chairman of the Bank’s board of directors, he recruited some of the Bank’s board members and others to make a $6.5 million loan to a troubled borrower of the Bank, and secretly took a $650,000 loan brokerage fee for doing so. Later, Leavy fraudulently conveyed $450,000 to his son, Christopher Leavy (“Christopher”), placing those funds out of the Bank’s reach.

After a four day…