|For immediate release|
The Federal Reserve Board today announced the issuance of a Notice of Intent to Prohibit against Bruce Jeffrey Kingdon, Kenneth Goglia, and Harvey Plante, former officers of the Bankers Trust Company, New York, New York. The Notice seeks the issuance of orders permanently barring Messrs. Kingdon, Goglia and Plante from participating in the banking industry.
The Notice alleges that Messrs. Kingdon, Goglia, and Plante engaged in violations of law, unsafe and unsound banking practices, and acts that constitute breaches of their fiduciary duties in connection with Bankers Trust’s Client Processing Services Business between late 1993 and March 1996. It is further alleged that Messrs. Kingdon, Goglia, and Plante transferred funds to Bankers Trust that were the property of the bank’s customers or their beneficiaries, or that were subject to escheatment to state authorities, to fraudulently enhance revenues and offset expenses incurred by Bankers Trust’s Client Processing Services Business. The Notice alleges that in carrying out these activities, Messrs. Kingdon, Goglia, and Plante caused false entries to be made in the books and records of the bank.
The Board’s actions against Messrs. Kingdon, Goglia, and Plante have been coordinated with the U.S. Attorney’s Office for the Southern District of New York, which is today announcing criminal indictments against the three individuals.
In March 1999, Bankers Trust pled guilty to three felony counts and agreed to pay a $60 million fine to the United States in connection with the operations of the bank’s Client Processing Services Business.
A copy of the Board’s Notice of Intent to Prohibit is attached.
|Notice (1.4 MB PDF)|
1999 Enforcement actions