HopFed was ordered to pay the legal fees for Stilwell Group, which sued the bank after its directors passed a bylaw intended to keep the investor off its board.
Stilwell Group, an activist investor, is alleging that HopFed chief John Peck bought two properties from the then-chairman of the Kentucky company's compensation committee and that the deals were a conflict of interest.
Independent members of HopFed Bancorp's board sent a letter to Joseph Stilwell complaining that their largest investor had rebuffed several efforts by CEO John Peck to schedule a meeting.
