John Latham is a former

CEO A chief executive officer (CEO), also known as a chief executive or managing director, is the top-ranking corporate officer charged with the management of an organization, usually a company or a nonprofit organization. CEOs find roles in variou ...

Madison Guaranty Madison Guaranty Savings and Loan Association was a savings and loan association based in Little Rock, Arkansas. The company operated from 1979 until 1989 when it was shut down by federal regulators as a result of bank failure, leading to a loss ...

that came into front page national news due to the

Whitewater Whitewater forms in the context of rapids, in particular, when a river's Stream gradient, gradient changes enough to generate so much turbulence that air is trapped within the water. This forms an unstable current that foam, froths, making t ...

investigations. Madison Guaranty was owned and operated by

James James may refer to: People * James (given name) * James (surname) * James (musician), aka Faruq Mahfuz Anam James, (born 1964), Bollywood musician * James, brother of Jesus * King James (disambiguation), various kings named James * Prince Ja ...

and

Susan McDougal Susan Carol McDougal (née Henley; born June 27, 1955) is a real estate investor who served prison time as a result of the Whitewater controversy. Her refusal to answer "three questions" for a grand jury, on whether President Bill Clinton lied ...

. On February 7, 1985, Jim McDougal wrote to Gov.

Bill Clinton William Jefferson Clinton (né Blythe III; born August 19, 1946) is an American politician and lawyer who was the 42nd president of the United States from 1993 to 2001. A member of the Democratic Party (United States), Democratic Party, ...

to recommend Latham for the

Arkansas Arkansas ( ) is a landlocked state in the West South Central region of the Southern United States. It borders Missouri to the north, Tennessee and Mississippi to the east, Louisiana to the south, Texas to the southwest, and Oklahoma ...

State Savings and Loan Board. Richard Massey, a friend of Latham, helped connect

and the

Rose Law Firm Rose Law Firm is an American law firm headquartered in Little Rock, Arkansas. It dates its origins to November 1, 1820, sixteen years before Arkansas statehood, when Robert Crittenden, born 1797, and Chester Ashley, born 1791, entered into an a ...

to help with legal matters.

Hillary Clinton Hillary Diane Rodham Clinton ( Rodham; born October 26, 1947) is an American politician, lawyer and diplomat. She was the 67th United States secretary of state in the administration of Barack Obama from 2009 to 2013, a U.S. senator represent ...

also worked with Latham during this period. On July 11, 1985, an internal memo from Jim McDougal to John Latham stated, "I need to know everything you have pending before the

Securities Commission A securities commission, securities regulator or capital market authority is a government department or agency responsible for financial regulation of securities products within a particular country. Its powers and responsibilities vary greatly ...

as I intend to get with Hillary Clinton within the next few days." On July 11, 1986, the FHLBB told Madison Guaranty's

board of directors A board of directors is a governing body that supervises the activities of a business, a nonprofit organization, or a government agency. The powers, duties, and responsibilities of a board of directors are determined by government regulatio ...

to remove John Latham because the S&L's troubles had worsened. John Latham became part of

Kenneth Starr Kenneth Winston Starr (July 21, 1946 – September 13, 2022) was an American lawyer and judge who as Special prosecutor, independent counsel authored the Starr Report, which served as the basis of the impeachment of Bill Clinton. He headed an i ...

's investigation into the Whitewater land deal. John Latham attempted to hide a $500,000 insider loan from federal bank examiners, with a

nonrecourse debt Nonrecourse debt or a nonrecourse loan (sometimes hyphenated as non-recourse) is a secured loan (debt) that is secured by a pledge of collateral, typically real property, but for which the borrower is not personally liable. If the borrower def ...

that had been made to take a warehouse not on Madison's

books A book is a structured presentation of recorded information, primarily verbal and graphical, through a medium. Originally physical, electronic books and audiobooks are now existent. Physical books are objects that contain printed material, mo ...

. He was jailed for six months for

bank fraud Bank fraud is the use of potentially illegal means to obtain money, assets, or other property owned or held by a financial institution, or to obtain money from depositors by fraudulently posing as a bank or other financial institution. In many ins ...

References

* Washington Post, Hillary Clinton and the Whitewater Controversy: A Close-Up, Sunday, June 2, 1996; Page A01. * CNN Money, Fortune Magazine, Favorite S&L Felonies, November 5, 1990 * President Clinton's videotaped testimony at the bank fraud and conspiracy trial of James and Susan McDougal and Gov. Jim Guy Tucker. * New York Times, "At Whitewater Session, a Struggle to Recall", By STEPHEN LABATON Published: January 12, 1996 Year of birth missing (living people) Living people American chief executives of financial services companies Whitewater controversy {{US-CEO-stub