Rulings On S&Ls And Civil Rights
Savings and loan regulators dodged a bullet on Mar. 26 when the U. S. Supreme Court ruled unanimously that they can't be sued for damages resulting from their management of insolvent thrifts. The court reversed an appeals court ruling that gave the go-ahead to a $25 million suit brought by Thomas Gaubert, former chairman of Independent American Savings in Irving, Tex. Gaubert claimed regulators who took over his S&L dissipated $25 million in capital he injected at the government's direction.
In another decision, the high court ruled 6-3 that antidiscrimination laws don't protect American employees of U. S. companies working overseas. Senator Edward Kennedy (D-Mass.) pledged to overturn the ruling in civil rights legislation working its way through Congress. But prospects for enactment of a civil rights measure are dim.