The former chief of a Chicago bank was convicted Tuesday of approving millions of dollars in loans to former Trump campaign manager Paul Manafort in an attempt to secure a job within the administration.
A federal jury in New York unanimously convicted Stephen Calk, former chairman and CEO of The Federal Savings Bank, of financial institution bribery and conspiracy to commit financial institution bribery.
Prosecutors said Calk approved $16 million dollars in high-risk loans for Mr. Manafort with the expectation that the Trump official would help him land a senior position. The loans, however, eventually defaulted and Calk was never hired.
Mr. Calk’s lawyer, Paul Schoeman of Kramer Levin, said in an email Tuesday that they are considering an appeal.
“We are very disappointed by the verdict and will be pursuing all available legal remedies, including an appeal,” Mr. Schoeman said.
Manhattan U.S. Attorney Audrey Strauss said the CEO “used the federally insured bank he ran as his personal piggy bank to try and buy himself prestige and power.
“Today’s verdict sends the message that corruption at the highest levels of federally regulated financial institutions will be prosecuted by this office,” Ms. Strauss said in a statement.
The 56-year-old former CEO faces up to 35 years in prison and is scheduled to be sentenced by U.S. District Judge Lorna Schofield on Jan. 10.
• Emily Zantow can be reached at ezantow@washingtontimes.com.
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