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Mug Shot Monday — Seven Bank Officers Indicted for Bank Fraud in Savannah

The U.S. Attorney for Southern Georgia says seven First National Bank officers have been indicted on 35 counts of bank fraud for hiding millions of dollars in non-performing loans from the bank’s board of directors and regulators.

Reports the Savannah Morning News, “According to the indictments, the defendants accomplished the scheme by unlawfully loaning money to unqualified nominees to make interest and other payments on other non-performing loans; enticing others to take over non-performing loans with hidden promises, side deals and other terms unfavorable to First National Bank; and recruiting other banks to fund non-performing loans based on fraudulent misrepresentations about the quality of the loans. To assist in their scheme, the government charges, the defendants falsified and fabricated numerous bank documents and records.”

The seven held the following positions before the bank’s 2010 seizure by the feds;

President and CEO

Executive Vice President and CFO

City President and Senior Lending Officer

Vice President and Chief Credit Officer

Senior Vice President and Commercial Loan Officer

City President and Commercial Loan Officer

City President and Commercial Loan Officer

The indictments follow a borrower being sentenced to 52 months in federal prison for bank fraud.

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