SEC Accuses Ex-Franklin Bank Heads Of Home Loan Scam

Law360, New York (April 6, 2012, 2:44 PM EDT) -- The U.S. Securities and Exchange Commission on Friday said two former top executives of a failed Texas community bank concealed the bank's collapsing loan portfolio during the last stages of the housing bubble in an effort to hide its faltering finances.

According to the complaint filed in federal district court in Houston, Anthony J. Nocella, the former CEO of Franklin Bank Corp., and J. Russell McCann, the bank's former chief financial officer, forced the bank to engage in aggressive loan modifications that did not conform with...
To view the full article, register now.

Documents

Related

Sections

Case Information

Case Title

Securities and Exchange Commission v. Nocella et al


Case Number

4:12-cv-01051

Court

Texas Southern

Nature of Suit

850(Securities/Commodities)

Judge

Judge Lynn N. Hughes

Date Filed

April 5, 2012

Companies

Government Agencies

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.