Per your request, we will make available to the Minority Committee's staff a copy of:

1.

2.

Silverado's examination reports dating back to the change of control in the early 1980's;

the Silverado S-memorandum without exhibits; 3. the Silverado L-memorandum without exhibits;

4.

all ERC packages on Silverado;

5. the Silverado supervisory chronology with exhibits; and

6. the Silverado enforcement chronology without

exhibits.

Enclosed with this letter is a copy of the 1986 Examination Report, the S-memorandum, the L-memorandum, ERC Silverado files and the two chronologies. The other examination reports are in the exhibits to the supervisory chronology, which is available for your review.

As you are aware, the Freedom of Information Act ("FOIA") specifically protects examination reports and other related material from public disclosure. 5 U.S.c. 552(b) (8). The Office of Thrift Supervision ("OTS") regulations also protect the confidentiality of such information. 12 C.F.R. 505.5 (a)(2). Other federal statutes and principles of common law, e.g. attorney-client and work product privileges generally protect the confidentiality of sensitive information. The Office of Chief Counsel of the OTS expends considerable effort to protect the confidentiality of these documents which are continuously sought by parties in civil litigation.

FOIA also protects from public disclosure "commercial financial information obtained from a person and privileged or confidential". 5 U.S.c. 552 (b)(4). In addition, 18 U.S.C. 1905 makes it a crime for employees of the United States to disclose confidential information except as provided by law.

There are two reasons for protecting the confidentiality of sensitive information concerning insured institutions. First, the confidential nature of the examination process

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facilitates the free flow of information between savings institutions and examiners. Second, examiners are encouraged to express freely their conclusions about examined institutions and the confidential nature of the reports permits them to do so. For these reasons unnecessary breaches of the confidentiality of examination reports and related information erode the effectiveness of the examination process. While we have no hesitation in providing the requested information for the Committee's investigation, to the extent you inquire into sensitive areas, we request that you respect the need for confidentiality and refrain from placing sensitive

information in the public record or otherwise disclosing its contents.

There are particularly compelling reasons for respecting the attorney-client and work product privileges in connection with congressional investigations, as we have asserted in the past. These privileges should be respected, either as a matter of witness right or congressional discretion. Disclosure of documents so privileged could impair the Board's ability to obtain candid legal advice and to prosecute actions in an orderly manner. We are sure you share a common interest in not weakening the government's case against individuals responsible for serious regulatory violations and breaches of fiduciary duty.

I am writing in reference to the House Banking Committee Minority
investigation of the failure of Madison Guaranty Savings and Loan
(Madison). As you know, Madison was taken over by federal
regulators in March of 1989 and resolved by the Resolution Trust
Corporation (RTC) in November, 1990.

To assist in this investigation, I request that the RTC provide
access to all documents related to Madison and its subsidiaries.
Such documents would include, but not be limited to, administrative
files. examination reports, interoffice memorandum, notes and
ainutes
of meetings (including telephonic meetings),
correspondence, electronic mail, and agreements the RTC entered
into with private sector contractors during the resolution of
Madison. In addition to documents in possession at RTC-Washington,
I request access to all documents related to Madison held at RTC
field offices. Furthermore, please provide the names and titles
of all RTC employees involved with the disposition of Madison.

Please have your staff contact Mike McGarry at 202-225-2258 to
discuss arrangements to review the aforementioned documents as soon
as possible.

I appreciate your assistance and look forward to your cooperation.

Sincerely,

James A. Leach
Ranking Member

I am writing in reference to the House Banking Committee Minority
investigation of the failure of Madison Guaranty Savings and Loan
(Madison). As you know, Madison was taken over by federal
regulators in March of 1989 and resolved by the Resolution Trust
Corporation (RTC) in November, 1990.

To assist in this investigation, I request that the office of
Thrift Supervision (OTS) provide access to all documents related
to Madison and its subsidiaries. Such documents would include, but
not be limited to, administrative files, examination reports,
interoffice memorandum, notes and minutes of meetings (including
telephonic meetings), correspondence, and electronic mail. in
addition to documents in possession at OTS-Washington, I request
access to all documents related to Madison held at OTS field
offices.

Furthermore, please provide the names and titles of all OTS
employees involved with the examination and supervision of Madison
as well as those who were assigned to work with the RTC when the
institution was closed in 1989.

Please have your staff contact Mike McGarry at 202-225-2258
discuss arrangements to review the aforementioned documents as soon
as possible.

I appreciate your assistance and look forward to your cooperation.

Sincerely,

Pane A. Leach
Fanking Member

This is in response to your December 9, 1993, letter in which you requested "access to all documents related to Madison (Quaranty Savings and Loan] and its subsidiaries, as well as the names and titles of OTS employees involved with the supervision and examination of Madison.

With regard to your request for documents, we believe there are two categories of documents that must be analysed separately!

Material available to any member of the public under the
Freedom of Information Act. Some of this material may
contain either confidential financial information from
individuals or privileged intra-agency information, and
would be subject to redaction.

Supervisory and examination material concerning an
OTS-supervised thrift institution.

We will, of course, provide you with any information available to the public under the Freedom of Information Act. Some of this material is available in its entirety and would include any final agency orders regarding Madison and any securities filings that the institution may have måde. We would also make copies of the institution's Thrift Financial Reports available.

Other materials, such as support for certain applications, contain confidential financial information from individuals. Although most of the contents of these documents may be released, OTS policy is to protect the privacy of individuals who have submitted confidential information to us. This agency-is able