Monday, June 22, 2009

Headlines for June 22, 2009

Convicted Perry physician, Spurgeon Green is being sentenced this week. According to the Telegraph, he faces up to 20 years in prison. Back in November a federal jury convicted him of wrongfully prescribing medications that led to the death of a patient. He was also convicted for postdating prescriptions. Prosecutors referred to his medical practice as a "pill mill". Green also dismissed his first attorney and was assigned court-appointed counsel. He later asked the judge to remove that lawyer. The judge denied his request and told him to either accept that counsel or represent himself.

A judge has sided with Macon-based Security Bank in a lawsuit. Former CEO Rhett Walker filed the suit alleging breach of contract after the bank failed to pay him more than 800-thousand dollars in severance pay. The bank claimed they could not pay him because the Federal Reserve deemed the money a "Golden Parachute" payment. The term is used to describe payments to executives of troubled banks. Walker claims the money was supposed to be paid months before the bank was deemed to be in troubled condition. Security Bank is currently under a cease and desist order from the FDIC and under federal regulation.

Federal regulators have shut down another Georgia bank. Southern Community Bank in Fayetteville will now be run by United Community Bank of Blairsville. The Federal deposit Insurance Corporation estimates that Southern Community bank's failure will cost the insurance fund 114-million dollars.