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.