Delaware banker sentenced
The founder and former CEO of MidCoast Community Bank Inc. in Delaware was sentenced to two years in prison after pleading guilty to bank fraud and money-laundering charges, the U.S. Attorney's Office in Wilmington said Monday.
The founder and former CEO of MidCoast Community Bank Inc. in Delaware was sentenced to two years in prison after pleading guilty to bank fraud and money-laundering charges, the U.S. Attorney's Office in Wilmington said Monday.
The Wilmington News Journal said James A. Ladio, 58, is the first person to be sentenced in a three-year probe of the fall of Wilmington Trust Co.
Prosecutors said Ladio recruited two customers of his own bank to take out loans, then to re-loan the money privately to Ladio. Ladio needed cash to repay Wilmington Trust loans that were part of a "loan-swap" arrangement between Ladio and a Wilmington Trust manager, federal prosecutors said. The Wilmington Trust manager, Brian D. Bailey, was charged in February with bank fraud.
- Reid Kanaley