Marion Sandler obituary: World Savings Bank executive was 81

1/45

The onetime headmistress of an elite girls’ school fatally shot Dr. Herman Tarnower, her lover and the creator of the famous “Scarsdale Diet.” The killing generated front-page headlines and national debates about whether she was a feminist martyr or vengeful murderer. She was 89. Full obituary
Notable deaths of 2012 (Ron Frehm / Associated Press)

2/45

Often called “Stormin’ Norman” for his legendary temper, the former four-star general is best known as the commander of 1991’s Operation Desert Storm, which quickly drove an invading Iraq out of Kuwait. He reminded America what it was like to win a war and defined the nation’s renewed sense of military pride. He was 78. Full obituary

Notable deaths of 2012 (David Longstreath / Associated Press)

3/45

The two-time Oscar nominee was dubbed the king of the character actors for his skill in playing everything from a Nazi colonel to the pope. His prolific work in films and television included supporting roles in the classic comedy “Tootsie” and the TV sitcom “Evening Shade.” He was 89. Full obituary
Notable deaths of 2012 (Chris Pizzello / Associated Press)

4/45

Bork was the conservative legal champion whose bitter defeat for a Supreme Court seat in 1987 politicized the confirmation process and changed the court’s direction for decades. He was 85. Full obituary | Photos
Notable deaths of 2012 (John Duricka / Associated Press)

5/45

The Hawaii Democrat was the second-longest-serving senator in U.S. history. He was awarded the Medal of Honor for his World War II combat heroics. He was 88. Full obituary
Notable deaths of 2012 (Lucy Pemoni / Associated Press)

6/45

Shankar was already revered as a master of the sitar in 1966 when he met George Harrison, the Beatle who became his most famous disciple and gave the Indian musician-composer unexpected pop-culture cachet. He was 92. Full obituary | Photos
Notable deaths of 2012 (Don Bartletti / Los Angeles Times)

7/45

Rivera defied the limits of genre and used her personal struggles in her songs, becoming a hero among Latin women in the U.S. and Mexico and a powerful player in a field dominated by machismo. She was 43. Full obituary | Photos
Notable deaths of 2012 (Victoria Will / Associated Press)

8/45

Niemeyer, who loved curves in design and disliked right angles, shared architecture’s Pritzker Prize in 1988. He designed the major buildings that form the heart of Brazil’s capital, Brasilia. He was 104. Full obituary | Photos

Notable deaths of 2012 (Andre Luiz / Associated Press)

9/45

The New Hampshire senator co-authored a groundbreaking budget-balancing law, championed ethics and led a commission that predicted the danger of terrorist attacks years before 9/11. He was 82. Full obituary
Notable deaths of 2012 (Ron Edmonds / Associated Press)

10/45

Though already a television star for his role on 1960s sitcom “I Dream of Jeannie,” Hagman is best known for playing villainous patriarch J.R. Ewing in the TV soap “Dallas.” In 1980, an estimated 300 million viewers in 57 countries saw J.R. get shot. Hagman was 81. Full obituary
Notable deaths of 2012 (Tony Gutierrez / Associated Press)

11/45

Former boxing champion Hector “Macho” Camacho fought a who’s who of legendary opponents stretching from Ray Mancini to Oscar De La Hoya. Known for flamboyance in the ring, he showed he understood the importance of selling a fight and employing some mental warfare. He was 50. Full obituary
Notable deaths of 2012 (Charles Rex Abrogast / Associated Press)

12/45

The inventive American composer whose music celebrated the intricacies of modern life helped define the American sound in the 20th century. He received two Pulitzer Prizes, the Sibelius Medal and the National Medal of the Arts. He was 103. Full obituary
Notable deaths of 2012 (Jennifer S. Altman / For The Times)

13/45

The etiquette maven served as social secretary to First Lady Jacqueline Kennedy and later wrote books and a syndicated column advising readers on good manners. Time magazine described her as “a superbly energetic amalgam of feminist and Tasteful Lady.” She was 86. Full obituary
Notable deaths of 2012 (Genaro Molina / Los Angeles Times)

14/45

The Hall of Fame boxing trainer directed several world-champion fighters including Thomas Hearns, Lennox Lewis and current heavyweight champion Wladimir Klitschko. His Detroit gym is one of the world’s best known boxing centers. He was 68. Full obituary

Notable deaths of 2012 (Elizabeth Conley / Associated Press)

15/45

Hailed as “one of the last thoroughgoing generalists,” the French American scholar helped found the field of cultural history and in his 90s wrote the epic if improbable bestseller “From Dawn to Decadence.” He was 104. Full obituary
Notable deaths of 2012 (Eric Gay / Associated Press)

16/45

As one of the leaders of the famed 1973 occupation of Wounded Knee, S.D., he helped thrust the plight of Native Americans into the national spotlight. He later launched a career as an actor with roles in films including “The Last of the Mohicans” and “Natural Born Killers.” He was 72. Full obituary

Notable deaths of 2012 (Jim Mone / Associated Press)

17/45

A three-term U.S. senator from South Dakota, McGovern won the Democratic presidential nomination in 1972. Though he lost in a landslide against Richard M. Nixon, his campaign left a significant legacy, including his proposals, since fulfilled, that women be appointed to the Supreme Court and nominated for the vice presidency. He was 90. Full obituary
Notable deaths of 2012 (Walt Zeboski / Associated Press)

18/45

The former king of Cambodia was a crafty political survivor whose fortunes were entwined with U.S. military involvement in Indochina. Long a symbol of Cambodian nationalism and independence, he was one of Southeast Asia’s most colorful statesmen. He was 89. Full obituary

Notable deaths of 2012 (David Van Der Veen / AFP / Getty Images)

19/45

The longtime senator represented Pennsylvania for 30 years but perhaps was best known for his work in the Supreme Court nomination process. He was 82. Full obituary

Notable deaths of 2012 (Matthew Cavanaugh / EPA)

20/45

Known by his nickname Punch, the visionary publisher of the New York Times overcame a reputation as the idle prince of a newspaper dynasty to become the Times’ fourth publisher. His most important decision was to publish the Pentagon Papers. He was 86. Full obituary

Notable deaths of 2012 (Ray Howard / Associated Press)

21/45

With his silky voice and and casual style, the baritone most famous for his rendition of “Moon River” was one of America’s top vocalists from the 1950s into the 1970s. He was 84. Full obituary

Notable deaths of 2012

(Lennox McLendon / Associated Press)

22/45

From humble beginnings as a ditch-digger in his native Chicago, Duncan rose to fame and earned an Academy Award nomination for his portrayal of a gentle death row inmate in the prison drama “The Green Mile.” He was 54. Full obituary

Notable deaths of 2012 (Carlo Allegri / Associated Press)

23/45

The self-proclaimed Messiah from South Korea led the Unification Church, one of the most controversial religious movements to sweep America in the 1970s. Moon’s unorthodox movement was labeled a cult and featured mass marriage ceremonies. He was 92. Full obituary

Notable deaths of 2012 (John Marshall Mantel / Associated Press)

24/45

Known for her electrified hairdo and outlandish wardrobe, the zany housewife-turned-comedian made her comedy club debut at the age of 37. Famed for her self-deprecating jokes, Diller enjoyed a long career in clubs, movies and TV. She was 95. Full obituary

Notable deaths of 2012 (Gary Friedman / Los Angeles Times)

25/45

Best known for adrenaline-filled movies including “Top Gun” and “Man on Fire,” the British director-producer made films centered on alpha-male action heroes. Scott died Aug. 19 after leaping off the Vincent Thomas Bridge in San Pedro. He was 68. Full obituary

Notable deaths of 2012 (Gus Ruelas / Associated Press)

26/45

Writer of the bestselling 1962 book “Sex and the Single Girl,” Brown broke ground by discussing the sex life of single women. The book led to led to a syndicated newspaper column, a movie of the same name and, in 1965, to Brown’s role as editor of Cosmopolitan. She was 90. Full obituary

Notable deaths of 2012 (Santi Visalli / Getty Images)

27/45

One of the notorious murderers whose 1963 slaying of an LAPD officer near Bakersfield was chronicled in Joseph Wambaugh’s book “The Onion Field,” Powell spent the rest of his life in prison for the crime. The incident shattered the image of the invincible cop and changed police practices. He was 79. Full obituary

Notable deaths of 2012 (Ken Hively / Los Angeles Times)

28/45

The prolific composer won three Academy Awards for “The Way We Were” and “The Sting,” a Tony and a Pulitzer for “A Chorus Line” and four Emmys. Charming audiences with his improvisational agility, he was principal pops conductor for several major symphonies, including the Pasadena Symphony and Pops and Pittsburgh Symphony Orchestra. He was 68. Full obituary

Notable deaths of 2012 (Carolyn Cole / Los Angeles Times)

29/45

The iconoclastic author, savvy analyst and glorious gadfly of the national conscience was a literary juggernaut who wrote novels including “Lincoln” and the satirical “Myra Breckinridge.” His essays are considered among the most elegant in the English language. He was 86. Full obituary

Notable deaths of 2012 (Genaro Molina / Los Angeles Times)

30/45

The onetime underground Jewish fighter served four terms as Israeli prime minister in the 1980s and early ‘90s. His unyielding belief in the right of Jews to all of the biblical land of Israel often exasperated U.S. policymakers. He was 96. Full obituary

Notable deaths of 2012 (Jim Hollander / EPA)

31/45

A rare author and screenwriter whose works appealed to highbrow readers and mainstream movie-goers, Ephron wrote fiction that was distinguished by characters who seemed simultaneously normal and extraordinary. Her hit movies include “Sleepless in Seattle,” “When Harry Met Sally...” and “Julie & Julia.” She was 71. Full obituary

Notable deaths of 2012 (Charles Sykes / Associated Press)

32/45

Known for his colorful portraits of athletes in motion, the wildly successful American artist became an artistic fixture at such major sporting events as the Olympics and the Super Bowl. Neiman was also a longtime contributor to Playboy magazine. He was 91. Full obituary

Notable deaths of 2012 (Bebeto Matthews / Associated Press)

33/45

The tape of King’s 1991 beating and the upheaval that followed in 1992 opened the door to widespread police reform. King, who became an icon of the civil rights movement, was found dead at the bottom of his swimming pool in Rialto. Authorities are investigating his death as an accidental drowning. He was 47. Full obituary

Notable deaths of 2012 (Jay L. Clendenin / Los Angeles Times)

34/45

Best known for her Oscar-nominated supporting role as a blowsy barfly in the 1972 movie “Fat City,” Tyrrell’s film credits also included “Islands in the Stream,” “Angel,” and “Cry-Baby.” Critics “hailed her as one of the best screen drunks they’d ever seen,” Roderick Mann later wrote in The Times. She was 67. Full obituary

Notable deaths of 2012 (George Wilhelm / Los Angeles Times)

35/45

The Nobel Prize-winning chemist, left, helped solve a longstanding problem in the manufacture of medicines. He led development of a chemical catalyst to create safe compounds for producing L-Dopa, a drug for treating Parkinson’s disease. He was 95. Full obituary

Notable deaths of 2012 (Diether Endlicher / Associated Press)

36/45

The former head of Saudi Arabia’s Interior Ministry was an authoritarian who cracked down on political dissent. After a series of attacks inside the kingdom, he became a close Washington ally against Al Qaeda. He died just months after he was named heir apparent in the world’s leading oil power. He was 78. Full obituary

Notable deaths of 2012 (Hassan Ammar / Associated Press)

37/45

Dubbed “one of the true powerhouses of the pop music business” by Fortune magazine in 1986, the year she became BMI’s president and chief executive, Frances Williams Preston was a key figure in Nashville’s growth as a major music center, and nurtured the careers of numerous songwriters. She was 83. Full obituary

Notable deaths of 2012 (Ed Rode / Associated Press)

38/45

The onetime member of the Lucchese crime family turned government informant became the subject of the film classic “Goodfellas.” His crimes included participating in the largest single cash robbery in U.S. history and helping fix Boston College basketball games. He was 69. Full obituary

Notable deaths of 2012 (Nati Harnik / Associated Press)

39/45

The South African paleoanthropologist, nominated three times for a Nobel Prize, excavated the Sterkfontein Caves, one of his nation’s most important fossil sites. He was also part of the research on hominids in the Olduvai Gorge in Tanzania, collaborating with a British archaeologist on the identification of one the early hominids, Homo habilis, in 1964. Tobias was 86. Full obituary

Notable deaths of 2012 (Alexander Joe / AFP / Getty Images)

40/45

The Fleetwood Mac guitarist and singer was with the band in the early 1970s when it was making the transition from British blues rock band to commercial powerhouse. His work on early albums such as “Future Games,” “Bare Trees” and “Heroes Are Hard to Find” with band mates who included Mick Fleetwood and John and Christie McVie set the tone for what was to come. He was 66. Full obituary

Notable deaths of 2012 (Olivier Ferrand / Capitol Records)

41/45

With more than 27 novels and 600 short stories, the sci-fi writer’s vividly rendered space-scapes provided the world with one of the most enduring speculative blueprints for the future. In “The Martian Chronicles” and other works, the L.A.-based Bradbury mixed small-town familiarity with otherworldly settings. He was 91. Full obituary

Notable deaths of 2012 (Gary Friedman / Los Angeles Times)

42/45

The World Savings Bank executive was one of the first women on Wall Street. She and husband Herbert spent 43 years building Oakland’s World Savings Bank into a major -- and ultimately controversial -- adjustable mortgage lender. She was 81. Full obituary

Notable deaths of 2012 (Jakub Mosur / For The Times)

43/45

The in-your-face rapper and bass player Adam Yauch, center, found fame in the transgressive, boundary-breaking trio the Beastie Boys. In later years, Yauch became a leading advocate for Tibetan independence. He was 47. Full obituary

Notable deaths of 2011 (Frazer Harrison / Getty Images)

44/45

The star linebacker at USC and for his hometown San Diego Chargers made the Pro Bowl 12 years in a row and was voted All-Pro 10 times. He apparently ended his life with a self-inflicted gunshot wound. He was 43. Full obituary

Notable deaths of 2011 (Al Messerschmidt / Getty Images)

45/45

Born Thomas Austin Preston Jr., the colorful and quotable Amarillo Slim won the World Series of Poker in 1972 and began promoting the game on TV and in books. He brought the game “out of the back alleys,” one expert said. He was 83. Full obituary

Notable deaths of 2011 (Jae C. Hong / Associated Press)

By E. Scott Reckard, Los Angeles Times

June 5, 2012 12 AM PT

As one of the first women to hold a position of power on Wall Street, Marion O. Sandler was notable even before she and her husband, Herbert, spent 43 years building Oakland’s World Savings Bank into such a major — and ultimately controversial — adjustable mortgage lender.

Sandler, the daughter of Jewish immigrants from Lithuania and Russia, exploited her keen analytic skills to become Dominick & Dominick’s first female executive in 1955 and joined Oppenheimer & Co. as a savings and loan analyst in 1961.

Spotting an opportunity, she and her husband, an attorney she had met in the Hamptons, used a bank loan two years later to buy the Oakland S&L, which then had two branches. By the time the co-chief executives were through, there were 285 World branches in 10 states.

Marion Sandler died Friday at her home in San Francisco after a long battle with severe asthma and migraine headaches, her family announced. She was 81.

Having sold World’s parent firm, Golden West Financial Corp., for $24 billion on the eve of the mortgage meltdown, the Sandlers used their more than $2 billion cut of the proceeds to greatly expand their wide-ranging philanthropies. Their foundation’s major efforts included significant funding for fair-lending advocates, such as the Center for Responsible Lending, for asthma research and for investigative reporting.

Yet the Sandlers also were attacked for pioneering pay-option mortgages, which allowed borrowers to pay so little that their balances rose instead of fell. Critics blamed the loans for the demise of Wachovia Corp., which bought Golden West in 2006 and was near collapse when it sold itself to Wells Fargo & Co. two years later.

The Sandlers countered that their Pick-a-Payment loans, which they had made since the 1980s, had never been problematic until home prices plunged 50% in many areas — a decline they said no type of loan could weather. They blamed Wachovia’s problems on bad commercial loans the Charlotte, N.C., bank had originated.

Herb Sandler, in particular, went on the offensive, complaining that large rivals such as Countrywide Financial Corp. and Washington Mutual Inc. threw out World’s guidelines, which aimed to provide affordability as well as flexibility, and sold low down payment “perverted” versions of the pay-option mortgages to borrowers who couldn’t afford them.

Despite the Sandlers’ history of vocal attacks on abusive lending, the media made targets of the liberal couple — without justification, according to their longtime friend Lowell Bergman, an investigative reporter.

“They were caught up in a period of media frenzy about the mortgage meltdown,” Bergman said.

Attacks included a New York Times story that said World’s lending practices had deteriorated, a would-be whistle blower on “60 Minutes” who described deceptive practices, and a satirical sketch on NBC-TV’s “Saturday Night Live” that said the Sandlers “should be shot” for their roles in the financial meltdown.

SNL creator Lorne Michaels had the skit re-edited for rebroadcast and online, deleting the “should be shot” graphic and other sensitive details and saying there was “absolutely no evidence” of wrongdoing by the Sandlers. The New York Times ran four corrections. An arbitrator, ruling that the “60 Minutes” whistle blower had no evidence, awarded him nothing.

But the Sandlers had been deeply wounded.

“Marion felt sadness and anger at being called something we were not,” Herb Sandler said in an interview Monday. “Had these stories been reported objectively, they would never have been published.”

Marion Osher was born Oct. 17, 1930, in Biddeford, Maine. She graduated Phi Beta Kappa from Wellesley College in 1952, attended the Harvard-Radcliffe Program in Business Administration, and earned her MBA from New York University with high honors in 1958. She married Herb Sandler in 1961.

Friends and business associates recalled her sitting in meetings, listening for half an hour at a time and knitting before making sometimes pointed inquiries that Steve Daetz, executive vice president of the Sandler Foundation, said “elicited a huge amount of information.”

The foundation founded and provided tens of millions of dollars in support of ProPublica, the first online news source to win a Pulitzer Prize. “Marion shaped every key decision that brought ProPublica into being,” the nonprofit investigative newsroom said on its website.

Bergman said funding from the Sandlers enabled his PBS documentary series “Frontline” to open a West Coast office 22 years ago in Berkeley, where Bergman is a professor at the University of California.

He recalled the extraordinary closeness that linked the Sandlers.

“Herb is much more talkative and insistent, but he would defer to her judgment over and over in business and philanthropic matters,” Bergman said. “And she in turn would take pride in him when he would step out and deliver their idealistic messages. They had an extraordinary relationship and leave an extraordinary legacy.”

In addition to her husband, Sandler is survived by daughter Susan, son James, two grandchildren and her brothers, Bernard and Harold Osher. No memorial service is planned.

scott.reckard@latimes.com

Marion Sandler dies at 81; World Savings Bank executive

More to Read

More From the Los Angeles Times