While the FDIC provides protection for the assets of bank customers affected by intervention and/or closure, bank investors and shareholders suffering financial loss must seek legal action to recover for losses, including stock loss.

If members of the Board of Directors engaged in action(s) leading investors to suffer financial loss and/or failed to take action leading stockholders to suffer financial loss, you may have a claim to recover your stock loss. Investors in the following South Carolina banks may have suffered resulting stock losses:

• Bank of Anderson
• Bank of Westminster
• Bank of Meridian
• Community South Bank and Trust
• First Federal of South Carolina
• Independence National Bank
• Plantation Federal Savings Bank
• Williamsburg First National Bank
• First South Bank Corp
• South Carolina Community Bank
• Congaree State Bank
• Carolina First, Greenville
• Tideland Bancshares
• Palmetto Bancshares
• Southern First Bancshares, Inc./Greenville First
• Woodlands Bank
• Beach First Bank
• First National Bank of the South

While the circumstances leading up to federal intervention and/or closure are specific to each bank, the various allegations are serious and include:

• Engaging in certain practices felt to jeopardize the interest of depositors, customers, and shareholders of the bank;
• Practicing unsafe and/or unsound banking practices relating to asset quality, capital adequacy, earnings, management effectiveness and liquidity;
• Dissipation of assets and earnings due to unsafe and unsound practices;
• Business practices which violate applicable law and regulation;
• Operating without effective Board of Directors oversight and effective management supervision to prevent unsafe or unsound banking practices and violations of law and regulations related to the Bank Secrecy Act (BSA)
• Failing to operate safely and soundly in accordance with all applicable laws rules and regulations.

We will be posting further information regarding the underlying allegations and likely effects in the near future. If you own stock in one of the banks listed above, contact the Strom Law Firm, LLC for a free consultation today to discuss the how we may be able to help.

The insurance fraud scheme, believed to have victimized at least 269 South Carolinians, involves the sale of limited benefit medical plans backed by nonexistent insurance to unsuspecting consumers through associations, and was orchestrated in large part from South Carolina.

Director Richardson was quoted as saying, “Unfortunately, scams such as this one leave those South Carolinians who can least afford it stuck with unpaid medical bills, which they thought were covered by insurance”.

Sixteen other states have taken regulatory action against those involved in the scheme.

As of March 26, 2010 the fraudulent insurance operation left approximately 19 million in outstanding claims.

South Carolina company, SouthEast Insurance Advisors, LLC., which the order says may be incorporated in Delaware, maintains a post office box on the Isle of Palms; the company is thought to be controlled by Worthy.

The other company believed to be involved in the scheme is Wilshire Holding, LLC, whose only address is a post office box at the address of a UPS store in suburban Columbia. Wilshire is not licensed by the state Insurance Department.

Others alleged to be involved in the operation and named in the order include:

• Kathleen D. Cauthen
• David L. Clark
• Lousi DeLuca
• Gary L. Karns, Jr.
• David L. Nellson
• Worldwide Family Benefits Association, Inc.,
• Wilshire Holding, LLC
• Viking Administrators, LLC
• Beema-Pakistan Company Limited
• Serve America Assurance, Ltd.
• SouthEast Insurance Advisors, LLC
• United States Contractors Trust
• Insurance Resource Group
• Integrated Insurance Marketing, Inc.
• CEO Clubs, Inc.
• Hudson Valley Consultants, LLC d/b/a CEO Club Benefits
• Metropolitan Business Alliance, LLC d/b/a National Association of Business Leadership
• Real Benefits Association, LLC

The order requires the respondents to stop selling or taking applications for insurance and to hold any insurance money collected.

We will keep you updated on the situation. If you purchased insurance from any of the companies named above, contact the Strom Law Firm, LLC today for a free consultation to discuss your legal rights.

According to a WSJ article released Monday, federal criminal investigators tasked with examining what led to the collapse of Countrywide have been calling witnesses before a grand jury as part of their criminal investigation.

This suggests that the investigation of the one-time mortgage giant, which has been continuing for about two years, could be moving closer to a resolution.

While the grand jury began hearing witnesses on the Countrywide case late last year, no one knows what potential crimes are being investigated or who the grand jury is talking to.

While calling witnesses before a grand jury doesn’t mean that charges will be filed, it does appear to signify a pick-up in the tempo of a probe that did not appear to be moving very quickly.

In the meantime, Countrywide continues to fight legal battles on other fronts, including a suit brought by the SEC as well as the Consolidated Class Action Civil Suit currently pending in California. The Strom Law Firm serves as proposed class counsel in Consolidated Class Action.

The Class Action

The lawsuit, which is filed on behalf of countless borrowers who were allegedly systematically steered into subprime loans regardless of the type of loan they qualified for, claims that Countrywide, and its network of authorized, contracted brokers, have defrauded countless borrowers across the nation through an undisclosed, systematic scheme designed to steer borrowers into subprime loans. The elaborate scheme seeks to maximize profits for the benefit of the Company, to the detriment of the homeowner.

In order to carry out the scheme, Countrywide and its network, failed to disclose the financial consequences tied to each loan, including:

• the monthly payment, which frequently increased to an amount that the homeowner could not pay, and
• negative amortization, which results in the loan amount actually increasing rather than decreasing over time.

The scheme was carried out regardless of whether:

• the borrower would have qualified for a “prime loan” or
• the borrower was unable to meet the financial terms of the subprime mortgage.

The resulting effect of systematically steering borrowers into inappropriate subprime loans with excess charges and inadequately disclosed risks, includes drastic and unexpected increases in required monthly payments that have caused a flood of foreclosures and financial woes among the Class.

Countrywide and its network of authorized, contracted brokers, also pushed dangerous products such as “pay option ARM” loans, wherein borrowers could afford only to make what Countrywide called the “minimum payment,” which was actually less than the interest owed on the loans, thus increasing their outstanding principal every month and triggering an automatic resetting of the payments, resulting in the minimum monthly payments increasing dramatically after only a short amount of time to a level that guaranteed the flood of foreclosures that we are seeing today. By many estimates, as early as 2006, up to 80% of all option ARM borrowers are only making only the minimum payment each month.

The lawsuit, which has not yet been certified as a Class Action, seeks an injunction prohibiting Countrywide from continuing to engage in its predatory lending practices and requests that Countrywide seeks monetary damages including disgorgement of profits received as well as restitution to borrowers harmed.

The SEC Suit

The lawsuit brought by the SEC asserts that the three men, including former CEO Angelo Mozilo, defrauded investors by falsely claiming that Countrywide underwrote low-risk mortgages at a time when the company was getting into increasingly risky parts of the lending business, including so-called “subprime” mortgages made to less creditworthy borrowers.

The SEC additionally accuses Mozilo of insider trading of Countrywide stock. A trial in the case is scheduled for October. All three defendants vehemently deny any wrongdoing and say they plan to fight the SEC charges.

We will keep you updated as these matters progress.

Strom Law Firm is a personal injury and criminal defense law firm centrally located in Columbia, South Carolina. Our firm proudly handles personal injury, criminal defense, defective products, class actions, pharmaceutical liability, toxic torts, medical malpractice, nursing home neglect, workers compensation, social security, veteran’s benefits, qui tam, predatory lending, tax investigations, business litigation, and wills and estates. Our lawyers proudly edit the Columbia, South Carolina Injury Board as well as the Strom Law Blog as a pro bono effort to provide the public valuable information. Our lawyers are licensed in: South Carolina, New York, and Georgia.

As reported by WIS, the Obama administration launched a new effort on Monday designed to speed up the time-consuming, stressful process of selling your home if you owe more than it’s worth.

On the other hand, if you are looking to purchase a home or investment property, taking advantage of a short sale has just gotten easier.

If you owe more than your home is worth and you are trying to sell your home, you will receive $3,000 for moving expenses if you complete a short sale – or agree to turn over the deed of the property to the lender.

The program was designed for homeowners who are in financial trouble but who don’t qualify for Obama’s $75 billion mortgage modification program.

The new program benefits an upside down seller and the lender who financed the home.

• While you will still technically lose your home, a short sale or deed in lieu of foreclosure doesn’t hurt your credit score as drastically as a foreclosure.

• Your lender will receive more money for a home in a short sale than it would typically receive in a foreclosure.

• The bank also avoids expensive legal bills, cleanup fees and maintenance costs that typically follow a foreclosure.

“It’s very traumatic and embarrassing and frustrating to go through a foreclosure,” said Laurie Maggiano, policy director of the Treasury Department’s homeownership preservation office. With a short sale, she said, “your financial issues are your own problem and not neighborhood conversation.”

Reports indicate that at least 350,000 homeowners nationwide are expected to benefit from the program through the end of 2012.

For buyers looking to purchase a home, a short sale can be a great opportunity.

Along with the financial incentive for struggling homeowners, the new government program requires the mortgage company to set its minimum bid before the house is listed for sale. If the offer is above the minimum bid, the lender must accept it.

The change is expected to speed up the short sale process as lenders typically have not calculated how much money they were willing to accept on a short sale until they had an offer in hand, causing long delays before the sale was approved.

The new program “will give us a degree of efficiency that we have not had in the past,” said Matt Vernon, Bank of America’s executive in charge of short sales and foreclosed properties.

Under the new process, if you submit an offer to purchase a home in a short sale you should receive a response within two weeks, as opposed to months it previously took to get a response.

The plan which was originally outlined by the Treasury Department last November, recently doubled the original $1,500 in relocation money noting that many homeowners will need more cash to move out.

Now for the restrictions.

• To qualify the home must be your primary residence;

• You must be behind on their mortgage or on the verge of becoming delinquent; and

• Currently, the program is not available for mortgages owned or guaranteed by mortgage finance companies Fannie Mae and Freddie Mac.

However, reports indicate that the two government-controlled companies will soon follow suit.

Strom Law Firm is a personal injury and criminal defense law firm centrally located in Columbia, South Carolina. Our firm proudly handles personal injury, criminal defense, defective products, class actions, pharmaceutical liability, toxic torts, medical malpractice, nursing home neglect, workers compensation, social security, veteran’s benefits, qui tam, predatory lending, tax investigations, business litigation, and wills and estates. Our lawyers proudly edit the Columbia, South Carolina Injury Board as well as the Strom Law Blog as a pro bono effort to provide the public valuable information. Our lawyers are licensed in: South Carolina, New York, and Georgia.

Richland County Sheriff Leon Lott said the youth was charged with carrying a weapon on school grounds and the unlawful carrying of a pistol. He was taken to the state Department of Juvenile Justice.

Lott said that the tip came after students who discovered that the fellow student was carrying a pistol at school on Monday told their parents, who called the sheriff’s department.

Bullets for the pistol were found in a bag in a classroom.

Lott said deputies continue to question why the youth had a gun.

The criminal defense attorneys at the Strom Law Firm, L.L.C. include a former United States Attorney, a former public defender, a former Assistant Attorney General and Richland County Assistant Solicitor, as well as a tax lawyer familiar with IRS criminal investigations. The Strom Law Firm aggressively defends individuals on all criminal charges in all State and Federal Courts in South Carolina as well as the Federal Courts in Georgia. Our lawyers proudly edit the Columbia, South Carolina Injury Board as well as the Strom Law Blog as a pro bono effort to provide the public valuable information. Our lawyers are licensed in: South Carolina, New York, and Georgia.

Mr. Cassidy has been formally charged with committing a lewd act on a minor younger than 16 and contributing to the delinquency of a minor.

Investigators say that the student, who was not a member of the girl’s basketball team, met Cassidy through an online social networking site and had been communicating with him for about a month. Reports indicate that Mr. Cassidy misrepresented himself on the social networking site with a false name and false picture to attract attention from a 15-year-old girl at the school. Mr. Cassidy also sent her text messages.

The incident allegedly took place on January 26, 2010 in a classroom at Camden High School. Authorities claim that Mr. Cassidy eventually revealed who he was and he sent the student a message, asking her to leave a class that she was in and to come to his room during a free period he had, which is where the acts occurred.

Reports indicate that police have taken Mr. Cassidy’s computer and phones for evidence and there is a chance that he could face more charges.

Sean Cassidy is innocent until proven guilty.

The criminal defense attorneys at the Strom Law Firm, L.L.C. include a former United States Attorney, a former public defender, a former Assistant Attorney General and Richland County Assistant Solicitor, as well as a tax lawyer familiar with IRS criminal investigations. The Strom Law Firm aggressively defends individuals on all criminal charges in all State and Federal Courts in South Carolina as well as the Federal Courts in Georgia. Our lawyers proudly edit the Columbia, South Carolina Injury Board as well as the Strom Law Blog as a pro bono effort to provide the public valuable information. Our lawyers are licensed in: South Carolina, New York, and Georgia.

Millions of Americans use technology and social media for instant communication. When this addiction is mixed with driving, it is dangerous and can have deadly consequences.

In response to the dangers of texting and driving, U.S. Transportation Secretary Ray LaHood announced a texting and driving ban prohibiting drivers of commercial vehicles, including large trucks and buses, from texting while driving. The ban is effective immediately. Truck and bus drivers who text while driving commercial vehicles will be subject to civil or criminal penalties of up to $2,750.00.

Research conducted by the Federal Motor Carrier Safety Administration (FMCSA) shows that drivers who send and receive text messages take their eyes off the road for an average of 4.6 seconds out of every 6 seconds while texting. At 55 miles per hour, this means that the drier is traveling the length of a football field, including the end zones, without looking at the road.

Distracted driving is to blame in as many as 80% of all car crashes. Distracted driving is preventable. The DOT’s commercial texting and driving ban is a step in the right direction. Many commercial trucks and buses have 800 numbers posted right on the back of the truck. If you see the driver of a commercial truck or bus texting while driving, I urge you to pull over in a safe location and report the offense. If a number is not available, contact your local law enforcement.

As drivers, we should also avoid distraction on the road. Although a bill against texting and driving is currently pending in the South Carolina House or Representatives, it is not against the law to text while driving. However, as conscientious drivers, we should pledge to refrain from responding to email, texts, or tweets while driving.

South Carolina Law Enforcement Division (SLED) officials allege that between March 2006 and January 2010, Dr. Miller converged an estimated $503,000 of school money for his personal use. The allegations claim that the money was used to pay mortgages, college tuition, and rent for his children.

Miller turned himself into SLED agents at the Richland County Courthouse Friday and was charged with embezzlement of public funds. A grand jury set Miller’s bond at $75,000 during a hearing on Friday.

According to district officials, the board named Nancy Grice, the district’s director of curriculum and instruction, as acting superintendent.

Dr. Miller is innocent until proven guilty.

Being charged with public corruption including charges of embezzlement of public funds is a serious crime with serious consequences. The criminal defense attorneys at Strom Law Firm, L.L.C. include a former United States Attorney, a former public defender, a former Assistant Attorney General and Richland County Assistant Solicitor, as well as a tax lawyer familiar with IRS criminal investigations. The Strom Law Firm aggressively defends individuals on all criminal charges in all State and Federal Courts in South Carolina as well as the Federal Courts in Georgia. Our lawyers proudly edit the Columbia, South Carolina Injury Board as well as the Strom Law Blog as a pro bono effort to provide the public valuable information. Our lawyers are licensed in: South Carolina, New York, and Georgia.

WIS TV Image of 2,800 Pounds of Marijuana Seized from Roberson Street Drug Bust

Three duffle bags of cash believed to be somewhere in the six figures were seized from another home searched as a result of the bust.

The drug bust was made based upon information received as part of a recent traffic stop in Greenville, South Carolina where police found $14,000.00 in cash and 40 pounds of marijuana.

According to Capt. Roger Heaton with SLED, Thursday was kind of a fun day. “We got the cash, we got the guns, we got the bad guy, we got the dope. Tomorrow starts the hard work, where you gotta have deputies and SLED agents and police officers with feet on the ground. We’ve got a lot of information to run down.”

SLED Director Reggie Lloyd said that investigators are going to continue to work this case backward to find out who else is involved, where the individuals are located, and bring them to justice as well.

Being charged with a drug crime is serious and can lead to serious consequences. The criminal defense attorneys at Strom Law Firm, L.L.C. include a former United States Attorney, a former public defender, a former Assistant Attorney General and Richland County Assistant Solicitor, as well as a tax lawyer familiar with IRS criminal investigations. The Strom Law Firm aggressively defends individuals on all criminal charges in all State and Federal Courts in South Carolina as well as the Federal Courts in Georgia. Our lawyers proudly edit the Columbia, South Carolina Injury Board as well as the Strom Law Blog as a pro bono effort to provide the public valuable information. Our lawyers are licensed in: South Carolina, New York, and Georgia.

Representative Seller’s bill comes in the midst of a nationwide campaign by AAA who is lobbying to have a nationwide ban instituted by 2013.

More than a dozen states nationwide have banned the use of handheld devices and several more are considering a ban.

Although many argue that a ban on texting and driving or use of a communication device without blue-tooth technology is an infringment upon personal rights and choice, studies show that the dangers of texting and driving can be even more severe than drinking and driving. According to reports, South Carolina is number 5 for accidents related to texting and driving and approximately 90 percent of all collisions are caused by some sort of driver distraction or inattention.

Strom Law Firm is a personal injury and criminal defense law firm centrally located in Columbia, South Carolina. Our firm proudly handles personal injury, criminal defense, defective products, class actions, pharmaceutical liability, toxic torts, medical malpractice, nursing home neglect, workers compensation, social security, veteran’s benefits, qui tam, predatory lending, tax investigations, business litigation, and wills and estates. Our lawyers proudly edit the Columbia, South Carolina Injury Board as well as the Strom Law Blog as a pro bono effort to provide the public valuable information. Our lawyers are licensed in: South Carolina, New York, and Georgia.