Spencer Savings Bank Board of Directors Election Nomination Process Begins
After 15 years of litigation, Larry Seidman has secured a series of ground-breaking rulings, which will permit the reformation and reconstitution of the Board of Directors of Elmwood Park, New Jersey-based Spencer Savings Bank (“Spencer”), a mutual institution owned by its depositors and members.
These Court decisions now give Spencer’s depositors and borrowers an opportunity to elect truly independent directors. Larry is in the process of securing nominations for himself and another person, in order to run for election to the Board at the Annual Meeting of Members in January 2021. Larry is available to provide background and answer questions and can be reached directly via email at email@example.com or phone 973.952.0405.
The Court decisions can be accessed with this link: www.spencerbankvote.com.
The Courts have ruled in favor of Larry’s efforts to bring sensible corporate governance to Spencer, finding that its CEO and other Directors have violated their fiduciary duties owed to Spencer and its Members on more than one occasion.
The Court, in the latest decision, invalidated the Directors efforts to eliminate Members voting rights, which would have eliminated the Members’ ability to remove Directors for poor performance or misconduct. The Courts have also concluded that the CEO has dominated the Board and the Directors do not act independently. This situation has permitted the CEO to consistently be paid over $2 Million per annum in salary and bonuses over the last several years, which is approximately three (3) times the cash compensation paid to the CEO by a competitor bank (Kearney Bank) that is approximately twice (two times) the size of Spencer.