Eight Maryland savings and loans won tentative approval Sunday for federal insurance in a move that will help ease the state's crisis.
Thrifts that get insurance from the Federal Home Loan Bank Board can lift a $1,000-a-month ceiling on withdrawals imposed by Gov. Harry Hughes, who declared a state of financial emergency last week to end a $630-million run on the institutions.
Edwin Gray, chairman of the bank board, repeated his commitment to helping Maryland thrifts get insurance from the Federal Savings and Loan Insurance Corp.
Must Meet Requirements
But Gray stressed that the agency would approve only those thrifts meeting the board's net worth and collateral requirements. Once a thrift meets the technical requirements, depositors will be insured up to $100,000 per account.
Board spokesman Bob Moore said that it would be a matter of days before the eight savings and loan institutions--with combined assets of $324 million--fell under the federal insurance umbrella.
The thrifts that won conditional approval ranged from the $4.4-million Weekly Savings & Loan Assn. of Baltimore to the $72.6-million Casimirs Savings & Loan Assn., also of Baltimore.
Federal officials will continue today to examine the books of the state's privately insured thrifts to determine whether they qualify for federal insurance and to pinpoint any problems of mismanagement.