2 former Ga. bank execs, developer ch...

2 former Ga. bank execs, developer charged

Posted in the Ellijay Forum

Here we go

Dawsonville, GA

#1 May 8, 2010
Posted: Saturday, May 8th 2010 at 4:52am

2 former Ga. bank executives, developer charged
By The Associated Press

ATLANTA (AP) The federal charges, announced Friday, relate to more than $80 million in loans from Integrity Bank of Alpharetta, Ga., taken out by Guy Mitchell, 50, of Coral Gables, Fla.
Mitchell the bank's largest borrower took out loans for hospital construction and renovation projects but used the bank's money to buy an island and for other purposes, federal prosecutors say.
Mitchell turned himself in Friday and pled not guilty to 39 charges levied in a federal indictment.
Douglas Ballard, 40, and Joseph Todd Foster, 42, are former bank officials who were indicted as co-conspirators. They are expected to turn themselves in next week, federal prosecutors said.
Ballard was the bank official who worked with Mitchell on the loans. Foster was executive vice president of risk management.
Prosecutors said that with the help of Ballard and Foster, Mitchell paid interest on existing loans by drawing from other loans, borrowing more and more money to keep up with interest payments. They accused Ballard of arranging for loan money to go right to Mitchell's personal checking account that was meant for a hospital construction and renovation project in California.
The indictment also alleges that Mitchell paid Ballard more than $230,000 over nine months as a reward for helping in the fraud. And it says Ballard and Foster engaged in illegal insider trading when they sold nearly all their shares of integrity stock based on secret information about the problems associated with the loans to Mitchell.
The $1 billion Integrity Bank, founded in 2000, failed after suffering at least $235 million in federally insured losses. The $80 million in loans to Mitchell represent about a third of that, said U.S. Attorney Sally Quillian Yates.
``It was a substantial contributing factor to the bank's collapse,'' said Yates, of loans taken out during the years 2004 through 2007.
Mitchell's lawyer said his client's loans were proper. He attributed the bank's failure to liberal lending policies and to a difficult economy.
``The losses to the bank were not the result of any improper conduct by Mr. Mitchell,'' said Edward Garland, one of Atlanta's most prominent defense attorneys.
``He did not bribe any bank officer, nor did he engage in any illegal activity,'' Garland also said of his client. He added that Mitchell and Foster have not even met.
Mitchell himself did not make a statement to the press during a Friday court appearance and would not be commenting further, his attorney said.
The white-haired, white-bearded Mitchell was escorted into court wearing handcuffs, an all-white aloha shirt and dark slacks. He was released on a $2.5 million bond, partially secured by a commercial property he owns in Atlanta and his residence in Florida.
Prosecutors said they are also looking into other Georgia bank failures

Mount Pleasant, SC

#2 May 8, 2010
To APAB Officers and Directors,your time is coming!
Chief Dan

Jasper, GA

#3 May 10, 2010

They are still living in a fantasy world.

You are correct
screwed by the bank


#4 May 11, 2010
Yes it is I hope they get theirs the scumbags.
Just the facts

Blue Ridge, GA

#5 May 12, 2010
Are 50+ people getting laid off this week? Have heard this, the processing is being farmed out? Has anyone else heard this??
por supuesto

Waterloo, Canada

#6 May 12, 2010
Mi magino que si.

Ball Ground, GA

#8 May 12, 2010
The Mountains Voice wrote:
<quoted text>
From which bank is the rumour refferring to? The new APAB? If that is the case - then anyone wondering just how much these outsider rape & pillage Wallstreet type bankers care about your local economy and people should have their answer clearly. And if you support & put your money in a bank like that - then you deserve what you get when the local economy tanks even further.
PS... I've had some calls about the Gilmer Tax office. One lady had her tax rate doubled, and when she spent a lot of time researching bank property tax appraisal values - she says she
found a huge discrepancy in what normal people are taxed at. of course I have sen that with my own eyes. I'm surprised the citizenry of North Georgia hasn't tarred and feathered some county officials by now. As I have said many many times - when this all started and I 1st started discovering all the hanky panky, I had made some calls to the Tax Assessors Office, and they acted really really wierd when I started digging into property records. And IMMEDIATELY afterwards I got calls from Rusty Beamon at the bank instructing me not to talk to anyone except him about things.
For myself, I believe that corruption stretches to County offices. Lets face it - this is Big Money we are dealing with. I keep wondering when I will see the people start demanding answer and starting their own investigations. It is obvious that the Police, District Attorney & Local Newspaper won't do it for you.
david is this new bank not what you wanted ? you could not wait to get the old bank out. so you had better be happy with what you have now

Since: Jan 10

Location hidden

#9 May 12, 2010
David is too busy trying to blame his failures on anyone that he can. He's a loser, plain and simple. Maybe he'll move to South Cakalaky with YoYo. They would get along really well....

Jasper, GA

#11 May 13, 2010
have you read the legals? looks like east ellijay baptist church is forclosing on RISSANEN INVESTMENTS, INC. survey was done for AMRO,LLC. guess who owns these companies??? secretary of state shows jouko rissanen as ceo,cfo,and secretary. go figure.
Get a grip

Ellijay, GA

#12 May 13, 2010
Who is David?
Get a grip

Ellijay, GA

#13 May 13, 2010
Just so you can all relax a little and chill! These folks will pay the piper much sooner than you and they think!! TRUST ME indictments on in the works
looking for a deal

Jasper, GA

#14 May 13, 2010
like to know where this 32 acres is located???? guess will have to go to the courthouse,anyone know where this piece of land is??
Doubting Tom

Jasper, GA

#15 May 13, 2010
go to qpublic.net/gilmer
may find it there

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