Krieg DeVault has a long and distinguished history in serving financial institutions and other providers of financial services. During the Depression, the firm took a leadership role in the drafting and eventual passage of Indiana's Financial Institutions Act. The firm was also called upon by Indiana's governor to assist in the reorganizing of financial institutions in the early 1930s when many state-chartered banks and savings and loan associations required liquidation. For approximately sixty years, partners of the firm served as legal counsel for the Federal Home Loan Bank in Indianapolis and they continue to do so today. From the turbulent 1930s, lawyers from the firm have been involved in every major event that has shaped the evolution of the state's financial institutions. That foundation of experience has made Krieg DeVault a leader in financial institutions law.

Krieg DeVault provides comprehensive services to financial institutions in all areas of their business including commercial and consumer loan documentation, mergers and acquisitions, supervision and enforcement, federal and state taxation, litigation, securities activities, debt and equity financing, operations, employer/employee relations, intellectual property, new product development and services, employee benefits and executive compensation.

Operations

We have significant experience dealing with the legal and practical issues surrounding the internal, day-to-day operations of financial institutions, such as responding to document production requests, customer account issues, check processing and collections, human resource matters, review of operational contracts, new account and product development and other matters typical to financial institutions. Several members of our Financial Institutions Practice Group served as in-house counsel to financial institutions before joining Krieg DeVault. In addition, we serve as an alternative to in-house counsel for financial institutions which desire to outsource the in-house function. In this role, we typically serve as a business advisor to officers of the institution; regulatory counsel for operation and management personnel; and "gate keeper" with respect to outside counsel issues. We also assist in the training and updating of the financial institution's personnel on legal and compliance matters. Because of this experience, we are uniquely qualified to understand and respond to the financial institution's needs.

Mergers & Acquisitions

The firm has represented more than 125 financial institutions in their mergers, conversions, intra-state and interstate acquisitions, branch purchases, tender offers and holding company formations. We work with our clients to develop strategic plans to implement acquisition or defensive strategies. Representative transactions include:

• Structuring the acquisition of failing, or failed, financial institutions;
• Converting savings associations from the mutual to stock form of ownership;
• Representing community institutions in successfully defeating hostile takeover attempts;
• Representing de novo bank formations;
• Representing bank holding companies in acquisitions of other financial institutions, insurance agencies, broker-deals and investment advisors; and
• Successfully addressing and overcoming potential antitrust problems for clients in connection with their acquisitions of other financial institutions in the same market.

Regulatory Matters

When our clients must meet with or respond to a regulator, we are there to help them. Attorneys experienced in financial institution regulatory matters represent financial institutions and their directors and officers faced with regulatory sanctions and monetary penalties. We represent financial institutions in regulatory areas such as lending limit problems, holding company supervision, assistance in the examination process, alleged violations of ERISA and the Internal Revenue Code with respect to income tax returns, qualified employee benefit plans and consumer credit compliance. The firm's work in this area has included:

• Representing financial institutions faced with severe regulatory sanctions and penalties and possible failure;
• Structuring leveraged and non-leveraged acquisitions of stock, including tender offer acquisitions by employer-sponsored ESOPs;
• Successful negotiations on behalf of institutions in settlements with the Department of Labor in litigation over alleged ERISA violations;
• Litigating on behalf of financial institutions income tax cases in the United States Tax Court and Federal District Court and settling tax disputes with the Internal Revenue Service; and
• Advising financial institutions in new product developments, including innovative financing arrangements, leasing, new loan products, non-banking services and securitization of assets.

Recent Projects Include

• The development of asset-backed securities programs such as mortgage-backed securities and securities backed by loan receivables;
• The design and implementation of non-banking activities in such areas as insurance, real estate and securities; and
• Assisted the Community Bankers Association of Indiana and its 115 Indiana community banks in receiving a $50 million allocation for the national New Markets Tax Credit Program.

Our attorneys regularly publish articles on timely issues, speak at local and national programs and are involved in local and national trade associations.