By Bernadette H. Carreon
Horizon news staff

A criminal case was filed against former Pacific Savings Bank President Mack Timothy Taunton on Friday in connection with the closure of the bank.
This is the second lawsuit faced by Taunton, earlier, a civil action suit was filed against him for alleged loans obtained from the defunct bank.
In Criminal Case No. 06-308, Taunton is facing two counts of making a misstatement of fact material to an application for credit and one count of unlawful flight to avoid prosecution or punishment.
According to the affidavit of probable cause executed by Attorney General’s Office Investigator Richard Ngiratrang, said that according to his applications for credit for the loan dated July 31, 2006 to PSB, Taunton stated that his “assets” are cash in PSB AYUW Credit Union amounting to $181,000 and that cash in Bank of New Zealand was $72,000.
However, the affidavit said that Taunton’s saving’s account in PSB during May 2006 never exceeded $3,035.62 and that on July 31, 2006, the balance was overdrawn in the amount of $1,577.75.
The affidavit further added that the AYUW Credit Union meanwhile in a statement of account of Taunton’s provided stated that the balance in the account during May 2006 never exceeded $4,624.57 during May 2006 and that on July 31, 2006 the balance was $2,042.60.
The affidavit also said that law enforcement authorities in New Zealand said that during May 2006, Taunton’s account at the Bank of New Zealans was seriously overdrawn so that the balance was less than zero.
The affidavit added that the next day after the Financial Institution Commission closed the bank and appointed a receiver on Nov. 7, Taunton went to the Palau airport and according to the records of the Bureau of Immigration of Palau, he departed on Nov. 9, 2006 aboard the Continental Micronesia’s early morning flight , number 954.
In the civil suit against Taunton, the PSB receiver is claiming almost $3 million from the former PSB president.