Liquidators of Utah's five failed thrift and loans mailed to depositors this week the depositors' share of $3.3 million in liquidation proceeds as officials continue the lengthy process of selling thrifts assets.
A total 16,261 checks were mailed Monday by the accounting firm Grant Thornton, state appointed liquidator of the thrifts, to depositors.The distribution means depositors should have received 85.61 percent of their savings when the failed thrifts were seized by the state in 1986. State regulators took control of the institutions after finding the thrifts' deposit insurance fund, the Industrial Loan Guaranty Corp., was insolvent, and efforts to sell the thrifts failed.
Depositors filed a class action suit against the state to recover their savings, and this week's distribution included proceeds from the settlement of the case.
Under the 1988 settlement, the state and depositors split liquidation proceeds.
Out of the total $3.3 million, about $1.4 million came from the remaining cash settlement payout to depositors; $1 million from liquidating thrift assets; and $900,000 from liquidation of the Industrial Loan Guaranty Corp., Grant Thornton managing partner Roger Brown said.
Earlier this month, the state received its share of the liquidation money and will soon receive its 50 percent of the $1 million in thrift liquidation money.
Liquidators hope to have all the thrift assets sold and the proceeds paid out in the next year, Brown said.