The failure of Peoples First Community Bank has cost tax payers and the Deposit Insurance Fund an estimated 726.3 million dollars.
According to Federal Deposit Insurance Corporation Spokesperson David Barr, "Every time a bank fails the FDIC does an investigation into why it fails and if we uncover any evidence that professionals such as officers and directors of an institutions actions were negligible in some manner we may decide to sue them in civil court to recoup the losses."
Investigators believe people's first's 8-board members were responsible for approving some of the loans that caused the bank's failure. They include chairman Joe Chapman, People's former President Raymond Powell, Henry Futrell, former Panama City Beach Mayor Phillip Griffitts, businessman John Robert Middlemas, Dr. Rodney Morris, John Wilson and Panama City Mayor Greg Brudnicki.
According to the groups attorney Charlie Strutts, "The actions of the board seemed appropriate to us. It seemed they took all the actions to insure the bank was operated safely and during very difficult economic times."
Since the 2008 market crash, 465 banks have failed. Of those, the FDIC have pursued legal action against 89 of them.