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Edwards v. First Bank of Dundee

Citation: 5 ELR 20487
No. No. 75 C 1123, 393 F. Supp. 680/(N.D. Ill., 04/30/1975)

On defendants' motion to dismiss, a federal district court rules that it has subject matter jurisdiction over a suit to enjoin a state bank from demolishing a building located in an area which has been entered in the National Register of Historic Places pending preparation of a NEPA impact statement by the Federal Deposit Insurance Corporation (FDIC). Plaintiffs, as residents of the community in which the building is located, meet the injury-in-fact standing test of Sierra Club v. Morton. The FDIC must give permission, in a licensing procedure, for the bank to move its office to the site now occupied by the building, a decision which brings the FDIC's action within the scope of NEPA and the National Historical Preservation Act. Since the court has jurisdiction over the FDIC's actions regarding the move, it also has the power to enjoin the state bank, though a nonfederal entity, from performing activities in contravention of the federal agency's responsibilities for environmental protection and historical preservation; thus the motion is denied as to the bank. As to the village of West Dundee, however, the motion to dismiss is granted, for plaintiffs have failed to show significant federal involvement in its decision to issue a demolition permit.

Counsel for Plaintiffs
Wotan, Muscarello & Crisanti
707 Davis Drive
Elgin, Ill. 60120

Counsel for Defendants
Gromer, Abbott, Wittenstrom & Strom
Elgin National Bank Building
Elgin, Ill. 60120
Crowley, Barrett & Karaka
111 West Monroe Street
Chicago, Ill. 60603