Texas Thrift Seized by Regulators: Southwest Savings...

Texas Thrift Seized by Regulators: Southwest Savings Assn., the third-largest thrift in Texas, was taken over by government regulators. The $5.5-billion asset thrift, owned by the Caroline Hunt Trust Estate, was created by regulators from four insolvent thrifts in May, 1988. The estate of Caroline Hunt, daughter of the late wildcat oilman H. L. Hunt, contributed $25 million in equity to the new thrift in return for $2 billion in various forms of federal assistance. The Office of Thrift Supervision said Southwest was operating in an “unsafe and unsound condition and had incurred losses that depleted substantially all of its capital.”