Twenty years after he helped launch one of the first companiesto succeed in the new world of Internet banking, Matt Lawlor wasforced out of his job as chairman/CEO of Online Resources Corp. bya board dissatisfied with the publicly held company's financialperformance.

Lawlor sued and last week won $5.3 million from a FairfaxCounty, Va., Circuit Court jury, but he said it wasn't just aboutthe money. The company announced his retirement in December 2009and terminated his employment in February 2010 as the companyreported quarterly and then annual losses.

“The implication is that there was some kind of performanceissue here, but there really wasn't. While we've had strongeryears, our core earnings per share were up 50% in 2009, despite therecession and the collapse of the banking industry,” Lawlorsaid.

“We were the first Internet banking company back in 1989, andthere are a lot of pioneering people there who deserve some credit.I'm very proud of the innovation that took place at OnlineResources,” he said.

Online Resources grew quickly as Internet banking took off. TheChantilly, Va., company's client list grew to hundreds of creditunions and other institutions as it moved into payments, directbilling and other channels.

“This was all about getting the record straight, for my career,and for other people at the company and hopefully it will all bearout in the appeals process, should the company choose to go thatroute,” Lawlor said.

John Dorman, chairman of the Online Resources board ofdirectors, said, “We are very disappointed in this verdict, and weintend to aggressively pursue all available avenues to have thisverdict overturned or set aside.”

The case actually began in Delaware where the company filed apreemptive claim saying there was effectively no change ofcontrol when Lawlor left, he said, and that the court thendeferred to the case in Virginia.

Hedge fund Tennenbaum Capital Partners became a major owner ofthe company after it financed Online Resources' acquisition ofPrinceton eCom in 2006.

The Fairfax County jury ruled in favor of Lawlor in four of thefive claims he filed, rejecting his claim of wrongful terminationbut agreeing with claims of breach of his severance agreement andunjust enrichment on the part of the company.He had been seeking$15.9 million plus prejudgment interest.

The company had lost $4.2 million in the last fiscal year.First-quarter results were expected to be announced late lastweek.