Jan. 27--As another of its directors faces criminal charges, First National Community Bancorp Inc. watched shares of its stock drop to a 52-week low Monday before a late-day rebound.

The indictment of Luzerne County Senior Judge Michael T. Conahan marks the second member of the Dunmore-based bank's board of directors in the last year to fall under criminal suspicion. Louis DeNaples, FNCB chief shareholder, chairman and guiding force, as well as a landfill and casino magnate, took a leave of absence from the bank Feb. 6 after his indictment on perjury charges.

While the bank is in sound fiscal shape, the alleged wrongdoing by central figures has taken its toll on the its share price, which historically has hovered around $20. With rumors that charges against another director were forthcoming, the price was below $10 early Monday.

When news hit of Judge Conahan's guilty plea in a kickback scheme, the price tumbled to the mid-$8 range before investors bought up the battered shares. After a day of heavy trading, the stock closed Monday at $10.25.

Judge Conahan's alleged wrongdoing did not appear to involve FNCB. Judge Conahan's guilty plea includes a prison sentence of seven years and three months; he must also resign from his judge position within 10 days and has consented to an automatic disbarment.

Several legal and ethical groups have broadly urged judges to avoid work or leadership roles at for-profit companies. Yet, several judges, including at least one in Lackawanna County, still do and get paid for it.

Judge Conahan's problems and pending jail sentence comes as more bad news for a bank in an industry surrounded by nearly daily bad news and jittery investors.

"Having this judge disbarred is unfortunate and may be causing some to lighten up on the stock," said Wilson Smith, a bank equities analyst with Patriot Capital Partners. "But this fellow did not have day-to-day responsibility for FNCB, which has always been a good bank."

The bank's asset quality has dropped a bit, with non-performing loans up from about half a percent of total loans a year ago to more than 2 percent now. A jump, but "not disastrous," Mr. Smith said.

Who's on board?

People become bank board members for several reasons. While a potential director's background and ability is important, a key role for directors at a community bank is to be a rainmaker, bringing business to the bank.

"Pulling in business is critical for members of the board," said Karen Dorway, a bank consultant with Bauer Financial, based in Coral Gables, Fla.