Former president and CEO of Wilmington-based MidCoast Community Bank has pleaded guilty to two counts of bank fraud and two counts of money laundering Tuesday in U.S. District Court in Wilmington.
Federal prosecutors says 57-year-old James Ladio convinced customers to obtain loans through the bank, then send the money to him to pay off personal debts. In one case, a customer was given a $650,000 line of credit and, according to investigators, subsequently deposited $630,000 in Ladio’s checking account.
Ladio abruptly resigned from the helm of Midcoast Community Bank in Wilmington last summer.
He faces a maximum penalty of 30 years imprisonment and a million dollar fine on the bank fraud charges. He could get up to 10 years and a quarter million dollar fine on the money laundering charges.
Sentencing is scheduled for April 17th.