You might have missed this budding scandal last week, what with the FBI sting of former Charlotte Mayor Patrick Cannon and his arrest on corruption charges, and the Duke Energy coal ash pond fiasco which is still hanging around in the headlines. But eye-popping, what-were-they-thinking allegations were lodged last week against other officials with connections to Charlotte and the Carolinas.
CertusBank, founded and run by former Bank of America and Wachovia executives - at least one who still lives in Charlotte - was the subject of a scathing expose in American Banker magazine where a group of investors charged “gross mismanagement by senior executives.”
According to the FDIC, CertusBank listed noninterest expenses of more than $145 million for 2013 while posting losses of more than $82 million. It had $1.7 billion in total assets and $1.5 billion in liabilities as of Dec. 31.
Here's the kicker. The bank got started by buying up failing or ailing banks in the Southeast.