Bank Official Arrested for Fraud
Continuously new scandals with big businesses continue to arise in the news. A recent article published online details charges that are brought against the former president of a bank in New York. It is as though professionals do not understand that ethics are a key part of business practices and will lead to having a successful business. How one should and does act in business situations is as important as the legal aspects of business.
The Park Avenue Bank, which has branches in Brooklyn and Manhattan, was responsible for making loans, extending credit, and maintaining accounts for its mostly small business clients. The FDIC has taken over and arranged the sale of the Park Avenue Bank in New York after the former President, Charles J. Antonucci, Sr., was arrested on March 15. The article that was published at Foxbusiness.com includes a comprehensive list of the allegations against The Park Avenue Bank and Charles J Antonucci. The arrest was due to allegations of bank bribery, embezzlement, fraudulently obtaining tax money from the Troubled Assets Relief Program, and fraud among a list of other charges.
The charges outlined in the article include self dealing and bank bribery by allegedly authorizing extensions of credit and overdrafts for certain customer or in return for the use of customers’ private planes, and having The Park Avenue Bank make improvements on and pay expenses for other properties owned by Antonucci. Antonucci is charged with fraud against the FDIC and TARP because of a $6.5 deposit that Antonucci used to obtain common stock with gave him 52% control of the bank. The $6.5 million round-trip transaction was misrepresented on its TARP application and when Antonucci was contacted by a TARP representative Antonucci claimed he made a personal deposit into the bank, which never occurred. To conceal the fact that he never made a $6.5 million deposit, Antonucci made a fake certificate of deposit. He is charged...
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