Ex-Wilmington Trust Loan Officer Accused of Bank Fraud
A former loan officer for Wilmington Trust Corp. told a federal judge he’s guilty of conspiracy to commit criminal bank fraud in connection with unauthorized loans that helped cause the bank’s collapse.
Joseph Terranova, 45, the ex-vice president of the bank’s commercial real estate division, wrongly helped extend $373 million in loans that weren’t reported as past-due, according to a charge sheet provided by Delaware U.S. Attorney Charles M. Oberly III.
U.S. District Judge Gregory M. Sleet today asked Terranova at a hearing if he understood the penalties he might face, including as long as five years in prison.
“Yes sir, I do,” Terranova answered.
Wilmington Trust, once Delaware’s largest bank, was a recipient of bailout money from the U.S. Troubled Asset Relief Program. It was bought in 2011 by Buffalo-based M&T Bank Corp. (MTB)
The case is U.S. v. Terranova, 13-cr-00039, U.S. District Court, District of Delaware (Wilmington).
To contact the reporter on this story: Phil Milford in Wilmington, Delaware at email@example.com
To contact the editor responsible for this story: Michael Hytha at firstname.lastname@example.org.