April 26, 2013
Reports the Tennessean that a former Tennessee community bank president pleaded guilty for four counts of bank fraud for making $500,000 in unauthorized loans to pay employees of a contracting company he owned.
“The money from the loans was put toward cashier’s checks, which Vance subsequently placed in another customer’s account, from which Vance would wire the money to his R.J. Contractors employees. Additionally, one such check, which he authorized as president of the bank, eventually went into his own account.
“Vance initially denied most of the allegations to investigators, but when asked about a particular uncollateralized loan he issued to someone prosecutors identified as BCS Jr., Vance said he was “just trying to help,” according to government testimony. He couldn’t say why the loan lacked the necessary paperwork it would otherwise require.”