A lawyer and two top executives allegedly made more than $5 million by defrauding the Stockbridge bank that employed them, prosecutors said today. Robert E. Maloney Jr., once in-house counsel for FirstCity Bank, is accused of conspiring with the bank’s president and senior loan officer to secure loans to borrowers who were buying property that one of them owned.
By PAUL KIEL, ProPublica
Starting with this post, we’ll be updating you every month on the status of the taxpayer-funded bailouts we track in our database — namely the TARP and government rescue of Fannie Mae and Freddie Mac. Recent reports by the New York Times and Wall Street Journal have drawn attention to the billions in revenue that the Treasury Department has collected from companies early in returning their TARP investments. While those returns have been encouraging, there’s no question that the taxpayer remains deep in the red.