Rickenbach Indictment Reveals More Details of One Bank Under Scooter Stuart

by Arkansas Business Staff  on Monday, Apr. 14, 2014 12:00 am  

Gary Rickenbach

That judgment was somehow used to secure a loan to the newly created Ox Investments, even though Rickenbach, in an email quoted by federal prosecutors in the indictment, would later describe the chances of collecting the judgment as “remote.”

TARP Fraud

The Rickenbach indictment is the first case of TARP fraud brought in Arkansas.

In announcing the indictment, Christy Romero of SIGTARP — the special inspector general for TARP — said Rickenbach “looked to TARP money to fund his fraud” and that the bank increased its TARP application to $17.3 million specifically because the original request for $10 million wasn’t enough to cover up the bank’s capitalization mess.

But it also makes us wonder if Rickenbach alone will be held accountable. After all, according to the indictment, it was “Co-conspirator B” who requested the increase in TARP funds.

And there’s a veritable alphabet soup of other unidentified players: Co-conspirators A, C, D and Z and someone called Person X.

 

 

Please read our comments policy before commenting.