Bank of San Diego Chairman Quits; Board Wants Him Back

Without fanfare and citing “time constraints,” Bank of San Diego Chairman Robert E. Townsend has resigned from the board, according to bank sources. But a group of bank directors will meet with Townsend later this week in an attempt to “talk him out of it.”

Townsend quietly submitted his resignation last week, according to several Bank of San Diego sources.

However, at a meeting Monday, board members unanimously voted to persuade him to come back, according to one bank director.

Townsend, president of a Lincoln-Mercury dealership that bears his name, was named Bank of San Diego chairman in June.

Townsend couldn’t be reached for comment Tuesday.

A delegation of Bank of San Diego directors is “trying to persuade (Townsend) to reconsider,” according to one director. “We want him back; he’s done a good job.”

Townsend has “put in a tremendous amount of time,” said another board member. “We’ve been terribly pleased with the job he’s done.”

The bank, with $152 million in assets, is the largest subsidiary of BSD Bancorp. Townsend is also a director of the parent company.

For the nine months ended Sept. 30, the bank lost $563,000, compared to a loss of $25,000 for the comparable nine-month period in 1985.

The bank is operating under a regulatory order to increase its capital-to-assets ratio to 7%. The ratio was 6.1% as of Sept. 30.