CHEYENNE, Wyo. (CN) – The former vice president for the Bank of Wyoming claims he was constructively fired after he reported several “Regulation O” violations involving the CEO and board of directors, including insider transactions, conflicts of interest, improper loans and self dealing.
As an outsider hired in 2006, Joseph Bennett was appointed vice president and security officer for the bank, according to his lawsuit in Federal Court.
In March 2007 he reported his findings, including the alleged inappropriate transactions, to bank president Steve Slagle. Together, they took the information to the board of directors.
An outside audit was performed on the bank, although Bennett claims the audit results were never revealed. Soon, the state and the Federal Deposit Insurance Corporation stepped in for an audit. Their findings, coupled with additional data, led the bank’s being placed under a cease-and-desist order.
During and after the audits, Bennett claims the CEO, Brian Yarrington, and the board of directors threatened to fire him, making his position at the bank “untenable.” He says he was constructively fired in August 2007.
He wants the bank to compensate him fully for lost wages, benefits and earning capacity, along with the alleged damage to his credit and enjoyment of life.