Mr Cooper Group Inc fka COOP

[Junk Yard Dog]

U.S. Is Told To Return Big S.& L. (precedent)

By STEPHEN LABATON, SPECIAL TO THE NEW YORK TIMES Published: September 6, 1990 - LEAD: In a stinging rebuke to the management of the savings and loan bailout, a Federal judge in Topeka, Kan., today ordered Federal regulators to return a $9 billion savings institution to its owners by Thursday morning.

The decision today, the first in which a judge has ordered the return of such an institution, is the most significant courtroom defeat for regulators since the savings and loan bailout legislation was adopted last year.

Recognizing that the ruling could set a difficult precedent, the Office of Thrift Supervision said in a statement late this afternoon that it would seek an immediate stay of Judge Saffels's order as well as a review by an appeals court.

Giving WaMu Back?

JYD