Broadway Bank, one of many that faltered post-2008 under the weight of commercial loans.
Nothing special there. Yet Bloomberg said former Chicago Bears football player Jim McMahon and eight others were named in a lawsuit filed by the Federal Deposit Insurance Corp., seeking $104 million in recovery on losses tied to risky commercial loans that crashed, pulling the bank with it.
One loan alone resulted in $19 million in losses, along with 17 other risky loans. McMahon, a former director of the bank, and seven others were accused of ignoring federal warnings about risks stemming from some of the loans, according to Bloomberg.
The news agency said McMahon and other defendants landed on the firing line after two loans were approved in 2008, the same day that regulators warned the bank about risks associated with some of those loans.
But knowing the passion of Chicago Bears fans, it’s is unlikely they will lose any respect for the quarteback who lead them to their only Super Bowl, back in the 1985 season.
kpanchuk@housingwire.com
