Irvine Figure Guilty of Fraud

A South Orange County man accused of criminal fraud in the collapse of Consolidated Savings Bank in Irvine has been found guilty on 32 of 33 counts in a separate case charging him with defrauding three other financial institutions.

William Edgar Crowder was convicted by a federal court jury on seven counts of bank fraud and 25 counts of submitting false statements in an attempt to acquire $154 million in loans from three out-of-state institutions in the mid-1980s.

He and the partnerships he controlled actually received--and defaulted on--$49 million in loans.

Crowder, 42, faces a maximum sentence of 85 years in prison and $8 million in fines; sentencing is due Aug. 19.

Assistant U.S. Atty. Harriet Rolnick said the trial lasted only 6 1/2 days, much shorter than expected. The verdict was returned late Thursday.

Crowder and his only two defense witnesses, she said, tried to persuade the jury that his partner was to blame for much of the wrongdoing.

His partner, John G. Willett, had pleaded guilty to bank fraud last year. Previously, Willett was convicted of fraud charges stemming from the 1982 collapse of Western National Bank in Santa Ana, where he was president.

Crowder was a general partner in three limited partnerships that sought loans from two New York banks and one in Phoenix.

In applying for loans, prosecutors said, Crowder submitted false tax returns and overstated income for himself and his partnerships.