Charles Antonucci, the former president of New York’s
Park Avenue Bank, pleaded guilty today to fraud, admitting in Manhattan federal court that he stole $6.5
million from the bank and re-invested it under his own name, Reuters reported.
Prosecutors said Antonucci was the first person accused of attempting to steal U.S. government
bailout funds in the financial crisis. They also said that Antonucci, 59, made
false statements in the bank’s application for $11.2 million from the Troubled
Asset Relief Program. Antonucci was ordered to forfeit $11 million and interests in all of his properties under a
plea agreement. Antonucci admitted that he received
private planes, luxury cars and cash in exchange for doing special favors for
clients. “For these acts, I offer no excuse. I know what I was doing is
wrong and I apologize to those I hurt financially,” he said in court. [Reuters via NYT]

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Alleged transfer of funds from companies linked to Charles Antonucci, former president of the now-shuttered Park Avenue Bank, back to him and then reinvested in the bank. (Click image for larger version.)

Marking the first ever prosecution of alleged fraud against the Trouble Asset Relief Program, Charles Antonucci, the former president of the Park Avenue Bank was arrested this morning and charged with embezzlement, bribery and allegedly trying to defraud the program of $11.2 million. U.S. Attorney Preet Bharara warned that while this was the first ever TARP prosecution, his office had recently ramped up staffing and expected the probe to continue. Federal prosecutors allege that Antonucci approved loans and lines of credit to companies that he invested in, made false statements to federal regulators to apply for TARP funds and arranged for the bank to lease properties that he personally owned at 2 Broad Street and 48 Jackson Street in Fishkill, NY. “Antonucci allegedly put his personal greed ahead of his professional duty, deliberated and repeatedly deceived regulators and even attempted to obtain through fraud more than $11 million in taxpayer rescue funds through the Troubled Asset Relief program or TARP,” Bharara said. Antonucci’s attorney, Charles Stillman, said he just received a copy of the charges and would not immediately comment.
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The former president of the Park Avenue Bank, Charles Antonucci,
has been arrested on charges of self-dealing, bank bribery,
embezzlement, and fraud on the New York State Banking Department, Federal Deposit Insurance Corporation,
and the Troubled Assets Relief Program. The office of the United States attorney for the Southern District will be
announcing the charges at a press conference at 1 p.m. On Friday,
federal and state regulators shut down the Park Avenue Bank and
sold its deposits to Valley National Bank. TRD [more]