boost CBC's capital structure by $20 million, and thereby secure FDIC approval of his bid to have CBC buy a larger bank. He has not demonstrated that he could not have lived off of the $25 million that would remain in his portfolio after posting $34 million in security. Moreover, plaintiff has made no showing why the information in his 1999 financial statement should not have led the FDIC to impose a monthly limit of $10,000 for living expenses and attorney's fees. Under the Order, Lenz will be free to present more current financial data to the FDIC to persuade the FDIC to increase the $10,000 monthly limit.
There was nothing irrational or erroneous about the FDIC's choice to impose the challenged financial conditions based upon the data plaintiff supplied. Plaintiff has failed to show a likelihood of success on the merits, or that he faces irreparable injury unless an injunction is issued.
II. ASSET FREEZE ORDER
"[J]udicial review [of a temporary cease and desist order] is adequately carried out if the agency presents a prima facie case of illegality, based upon the agency's demonstrated compliance with its procedures and the statutory grounds for issuing a temporary order. . . . [S]uch a prima facie case requires a verified statement of the specific facts giving rise to violations or improprieties. . . ." Parker v. Ryan, 959 F.2d 579, 583 (5th Cir. 1992).
The Order here warrants enforcement. The FDIC followed the requirements for instituting the enforcement proceedings that led to the Order. It served on plaintiff a notice of charges that described with particularity the actions taken, the participants involved, the amounts of money lent, and the laws or sound banking practices violated. Moreover, these factual allegations were supported by detailed sworn declarations accompanying the FDIC's opposition to plaintiff's motion. In addition to Quarry, the declarants included present and former FDIC regional officials, and the commissioned FDIC bank examiner and fraud specialist who reviewed the relevant bank records. These documents amply establish the illegal behavior that harmed CBC.
The FDIC has prima facie demonstrated that Lenz was in part responsible for causing CBC's failure. It has acted to stanch the losses caused by Lenz's alleged misdeeds. It is undisputed that the plaintiff has failed to comply with the Order's requirements relating to posting security, and making disclosures concerning his income, assets and liabilities. Therefore, the FDIC's petition to enforce will be granted. Plaintiff's request to modify his monthly expenses limit should be directed to the FDIC under the Order's hardship provision.
Because plaintiff has failed to carry his burden of proof, his motion for an injunction will be denied. Because the plaintiff has failed to obey the properly issued Order, the defendant's petition to enforce the Order will be granted. Since the sole relief sought in the complaint and available to plaintiff under § 1818(c)(2) — the statutory cause of action he alleged — is being denied, judgment will be entered for the defendant and against plaintiff. A final order accompanies this Memorandum Opinion.