Giannoulias bank gave Rezko $22.75 million loan in 2006

posted at 12:55 pm on August 2, 2010 by Ed Morrissey

As if Alexi Giannoulias doesn’t have enough trouble with his family bank’s collapse and federal seizure.  Broadway Bank’s loans to mobsters during Giannoulias’ tenure with the bank has already been well known, but court records show yet another felon benefited from Broadway’s largesse – Tony Rezko.  In 2006, while Giannoulias ran for state treasurer, his family bank gave the convicted insider almost $23 million in loans for a construction project while keeping his name off the records:

This was the Tony Rezko who, looking for millions of dollars for a massive South Loop development, turned to Broadway Bank, owned by the family of Alexi Giannoulias. Giannoulias, the Democrat now running for U.S. Senate, had left his post as a senior loan officer at the Chicago bank in late 2005 to mount a successful campaign for Illinois state treasurer, though he still held an ownership stake in the bank.

Rezko’s company asked. And Broadway Bank came through.

On Feb. 14, 2006, newly obtained records show, the bank made a $22.75 million loan to a company called Riverside District Development LLC, whose owners, it turns out, included Rezko.

You won’t find Rezko’s name on any documents filed in the public record in connection with the loan.

But Rezko acknowledged his ownership stake in Riverside District Development to a federal judge about a year after the loan was made, according to a transcript of the court hearing.

The Hill says this will complicate Giannoulias’ Senate campaign a bit, mainly from Democrats who may not want to tie themselves too closely to Giannoulias:

Giannoulias previously has been on the receiving end of fundraising help from Vice President Joe Biden and other top administration officials. Raising money has been a problem for the Democrat since Broadway Bank’s collapse in April, his most recent Federal Election Commission filings show.

What a shock!  The bank collapses, and suddenly the political money dries up.  At least the Giannoulias family managed to get their $70 million out of the bank just before it collapsed and the feds seized it — and they’ll get another $10 million or so out of the seizure, too.  That could pay for a lot of ads to talk about the fine points of Mark Kirk’s military service, after all.

Not everyone seems reluctant to come to Alexi’s aid.  President Obama will arrive on Thursday to headline a fundraiser for Giannoulias, just in time to answer even more questions about his ties to Rezko, and both of their ties to Broadway Bank.  How much do you want to bet Alexi gets the Indonesia treatment?


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a classic Tammany hall political machine, but he is progressive so its okay.

rob verdi on August 2, 2010 at 12:58 PM

Did Rezko use it to buy a vacant lot adjacent to one home owned/occupied by the current POTUS/FLOTUS????

ted c on August 2, 2010 at 12:58 PM

Obama’s pal.

Wonder if The One will be going to Noiserland to campaign for him.

novaculus on August 2, 2010 at 12:59 PM

President Obama will arrive on Thursday to headline a fundraiser for Giannoulias

Right after appearing with Rangel at a fundraiser for him? WTF does it take for these criminals to be ignored, ostracized and rejected by the left?

Bishop on August 2, 2010 at 12:59 PM

Whenever I see see his face, I think “Russian mobster”. Anybody who votes for this goon should be ashamed of themselves.

Ward Cleaver on August 2, 2010 at 12:59 PM

THE TAPE WAS DOCTORED! RACISTS!

SWLiP on August 2, 2010 at 1:02 PM

This revelation won’t make a difference here in Illinois.
Madigan and his cronies in the state Democratic party have a lot of pull and Mark Kirk is so far to the left that he’s toxic to most conservatives -including me though I’ll vote for SMIRK if the race is very close.
The GOP should have been able to walk away with this seat this year-if only NARAL’s favorite republican wasn’t the nominee.

annoyinglittletwerp on August 2, 2010 at 1:03 PM

Whenever I see see his face, I think “Russian mobster”.

I’m pretty sure that Giannoulias is a Greek name. It’s definitely not Russian.

SWLiP on August 2, 2010 at 1:04 PM

Giannoulias, Blagojevich, Rezko, Obama & Co. channeling Richard Nixon beyond the grave: “I am not a crook…”

Steve Z on August 2, 2010 at 1:04 PM

President Obama will arrive on Thursday to headline a fundraiser for Giannoulias

Any bets a sudden and unexpected “scheduling conflict” will come up?

GarandFan on August 2, 2010 at 1:05 PM

President Obama will arrive on Thursday to headline a fundraiser for Giannoulias, just in time to answer even more questions about his ties to Rezko, and both of their ties to Broadway Bank

‘Hey Alexi, this is O. Sorry, a last minute thing came up and I have to attend Sashi’s pre-season soccer matchup here in DC so I won’t be able to attend Thursday.’

Notorious GOP on August 2, 2010 at 1:05 PM

ChicagObama.

portlandon on August 2, 2010 at 1:05 PM

Giannoulias, Blagojevich, Rezko, Obama & Co. channeling Richard Nixon beyond the grave: “I am not a crook…”

Steve Z on August 2, 2010 at 1:04 PM

At least Blago makes good entertainment. Illinois politics will become a lot less interesting after he’s found guilty.

annoyinglittletwerp on August 2, 2010 at 1:06 PM

Whenever I see see his face, I think “Russian mobster”. Anybody who votes for this goon should be ashamed of themselves.

Ward Cleaver on August 2, 2010 at 12:59 PM

Whenever I see his face, I think of the opening bank robbery in The Dark Knight of a mob-connected bank where the bank manager (William Fichtner) pulls a shotgun on Joker’s goons.

Not so coincidentally, Dark Knight was filmed in Chicago and Broadway Bank was supposedly the inspiration for the mob bank in the film.

teke184 on August 2, 2010 at 1:06 PM

And yet,Rezko had to be sued to turn the heat on!!
======================================================
For more than five weeks during the brutal winter of 1997, tenants shivered without heat in a government-subsidized apartment building on Chicago’s South Side.

It was just four years after the landlords — Antoin “Tony” Rezko and his partner Daniel Mahru — had rehabbed the 31-unit building in Englewood with a loan from Chicago taxpayers.

It was just four years after the landlords — Antoin “Tony” Rezko and his partner Daniel Mahru — had rehabbed the 31-unit building in Englewood with a loan from Chicago taxpayers.

Rezko and Mahru couldn’t find money to get the heat back on.

http://www.suntimes.com/news/metro/353829,CST-NWS-rez23.article

canopfor on August 2, 2010 at 1:06 PM

So Obama is going to campaign for someone who had extensive ties to the same convicted felon that he also knew very well and in fact helped him buy his first home…?

CBS news….{crickets chirping)

NeoKong on August 2, 2010 at 1:08 PM

If the Dems hate bankers so much, why the love for the G man in the first place? Oh, you mean it is all a circus for the masses? Gotcha.

GD crooks.

Aquateen Hungerforce on August 2, 2010 at 1:09 PM

I’m starting to think that Rezko is the first political prisoner of this regime.

He obviously knows too much. Notice how he conveniently disappeared just before the election?

Fallon on August 2, 2010 at 1:10 PM

President Obama will arrive on Thursday to headline a fundraiser for Giannoulias, just in time to answer even more questions about his ties to Rezko, and both of their ties to Broadway Bank.

Indonesia treatment or not….wth? C’mon now. How much more evidence does one need to convince them that Obama is dirty, and corrupt.

The mere fact that he even scheduled an appearance says it all. It also says, Obama is so self assured that he can’t be touched, he thumbs his nose at the justice system, because he knows he’s protected.

Unfortunately, after all we’ve seen, and all we know…he’s probably right!

capejasmine on August 2, 2010 at 1:10 PM

What, no banner headlines in Cheek-a-go?

I suggest “MOB BANK BANKROLLS FELONS”

mojo on August 2, 2010 at 1:11 PM

Failed Bank List

http://www.fdic.gov/bank/individual/failed/banklist.html

canopfor on August 2, 2010 at 1:11 PM

Fallon on August 2, 2010 at 1:10 PM

I remember shortly after the innauguration, word was, Rezcko was going to talk, and we all waited to hear what he had to say. Then….just as suddenly….nothing. No coincidences here. Just a kind word to Rezko to keep his yap shut, if he knew what was good for him. It’d be ashame if he had an “accident”.

capejasmine on August 2, 2010 at 1:12 PM

Not everyone seems reluctant to come to Alexi’s aid. President Obama will arrive on Thursday to headline a fundraiser for Giannoulias, just in time to answer even more questions about his ties to Rezko

Time to call in sick Barry!!

jeanie on August 2, 2010 at 1:13 PM

WTF does it take for these criminals to be ignored, ostracized and rejected by the left?

Bishop on August 2, 2010 at 12:59 PM

Switching to Republican would do it. Short of that, nothing.

Extrafishy on August 2, 2010 at 1:13 PM

Let’s take a pool on how many questions Obama gets on this. I’m going to go out on a limb and say, er, zero.

SWLiP on August 2, 2010 at 1:13 PM

Obama will announce he will be unable to attend the Giannoulias fundraiser, as there has been a sudden infestation of Asian beetles in the White House vegetable garden.

pilamaye on August 2, 2010 at 1:16 PM

The Hill says this will complicate Giannoulias’ Senate campaign a bit

Are they sure about that? This is Illinois, a state where the governor just just vetoed a bill to purge dead voters from the rolls…for the second time.

Not to worry. Little Mayor Midget, Junior and Pat Quinn will come through, and deliver the cemetary vote. It’s not like the people of Illinois ever demand anything more from the trash they elect.

MNHawk on August 2, 2010 at 1:21 PM

no worries, G will get just a tiny shout out…this is ALL ABOUT THE O…just like Meek will get a tiny shout out when dear leader heads to miami….

cmsinaz on August 2, 2010 at 1:22 PM

Did Rezko use it to buy a vacant lot adjacent to one home owned/occupied by the current POTUS/FLOTUS????

ted c on August 2, 2010 at 12:58 PM

No. It was used to purchase some prime Obamalympics Olympic property.

BobMbx on August 2, 2010 at 1:24 PM

Chicago thugs, then and now

Schadenfreude on August 2, 2010 at 1:31 PM

“(Obama’s) more Tony’d up than I am.”
– Rod Blagojevich, November 2008

I wonder if Obama is more Tony’d up than Giannoulias.

Barrack on August 2, 2010 at 1:34 PM

That would be bo’s campaign and house!

tim c on August 2, 2010 at 1:35 PM

The GOP should have been able to walk away with this seat this year-if only NARAL’s favorite republican wasn’t the nominee.

annoyinglittletwerp on August 2, 2010 at 1:03 PM

Yup. The commenters here who don’t know Illinois are missing the real story. We should be calling the RNC and ripping them to shreds for propping up the worthless little pansy Mark Kirk. If there was a conservative running in this race, he/she would be killing Giannoulias.

Instead, it’s a toss-up because no conservative in their right mind would support Kirk. He’s not even one of the hated moderates — he’s a liberal. And a particular stupid one at that.

I hate the RNC with the white-hot intensity of a thousand suns.

Jaibones on August 2, 2010 at 1:37 PM

Hum …… Maybe now someone will ask Barry O. or Alexi to explain the following about all their pals – just how did Rezko, the Syrian, met his old main partner in Riverside, a Iraqi born billionaire by the name of Nadhmi Auchi, arms dealer to Saddam Hussein? Why was Auchi buying real estate in Chicago? Why was Auchi lending money to Rezko, to the tune of about $3,000,000.00 right before Tony’s trial? Barry knows all about Auchi. Wonder what The Won knows about Ayham Alsmmarae? So many questions and so little time before the elections.

MayorDaley on August 2, 2010 at 1:42 PM

How’s that 13 dollar stimulus check work n out 4 ya

roflmao

donabernathy on August 2, 2010 at 1:50 PM

MSM: What questions? That’s old news.

WitchDoctor on August 2, 2010 at 1:50 PM

Too bad that ‘small bank takeover bill’ failed to pass in the Senate last week.

If it had passed, then Turbo Tax Tim could have funnelled up to 30 billion into these banks of unfortunate circumstances.

Freddy on August 2, 2010 at 1:56 PM

Any bets a sudden and unexpected “scheduling conflict” will come up?

GarandFan on August 2, 2010 at 1:05 PM

Zero chance. Giannoulias got something on the O, as any competent corrupt Chicago pol would. He ain’t going under the bus anytime soon.

One speculation is that the O got the loan for his condominium from Broadway.

year_of_the_dingo on August 2, 2010 at 2:00 PM

Yup. The commenters here who don’t know Illinois are missing the real story. We should be calling the RNC and ripping them to shreds for propping up the worthless little pansy Mark Kirk. If there was a conservative running in this race, he/she would be killing Giannoulias.

Instead, it’s a toss-up because no conservative in their right mind would support Kirk. He’s not even one of the hated moderates — he’s a liberal. And a particular stupid one at that.

I hate the RNC with the white-hot intensity of a thousand suns.

Jaibones on August 2, 2010 at 1:37 PM

Because IL is so Alabama and the populace is so conservative… sarc off// I’m sorry, but IL is a very liberal state and only a moderate Republican is going to win there. The reason why this is a toss up unlike say.. Arkansas because Chicago is full with lots of moronic low information voters. They voted for Blago in a landslide in 2006 despite the fact that everyone knew he was a crook.

Illinidiva on August 2, 2010 at 2:03 PM

Yup. The commenters here who don’t know Illinois are missing the real story. We should be calling the RNC and ripping them to shreds for propping up the worthless little pansy Mark Kirk. If there was a conservative running in this race, he/she would be killing Giannoulias.

Instead, it’s a toss-up because no conservative in their right mind would support Kirk. He’s not even one of the hated moderates — he’s a liberal. And a particular stupid one at that.

I hate the RNC with the white-hot intensity of a thousand suns.

Jaibones on August 2, 2010 at 1:37 PM

My husband and I will vote for Kirk only if the race is thisclose. We will vote third party otherwise. I don’t think it will be that close.
While I thought Hughes was a bit of phoney-I voted for Lowery-he would have been head and shoulders over (s)Mirk!

annoyinglittletwerp on August 2, 2010 at 2:05 PM

Because IL is so Alabama and the populace is so conservative… sarc off// I’m sorry, but IL is a very liberal state and only a moderate Republican is going to win there. The reason why this is a toss up unlike say.. Arkansas because Chicago is full with lots of moronic low information voters. They voted for Blago in a landslide in 2006 despite the fact that everyone knew he was a crook.

Illinidiva on August 2, 2010 at 2:03 PM
I’m not totally conservative either-but please get it into your head…Kirk is NOT a moderate…he’s a liberal!
‘Moderates’ aren’t against any restrictions on abortion. ‘Moderates’ don’t support major infringements on the Second Amendment rights of Illinois citizens.
This ‘moderate’ will make Scott brown seem like Tom Coburn.
When it comes to definitions you and me are obviously looking a different dictionaries.

annoyinglittletwerp on August 2, 2010 at 2:12 PM

Jaibones on August 2, 2010 at 1:37 PM

Kirk is a DIABLO. He is Big Abortion’s favorite Republican. But what can we do?

Ted Torgerson on August 2, 2010 at 2:13 PM

Right after appearing with Rangel at a fundraiser for him? WTF does it take for these criminals to be ignored, ostracized and rejected by the left?

You’ll have to ask Lieberman or Zell Miller. Going against the familyparty is the only crime.

reaganaut on August 2, 2010 at 2:14 PM

Kirk is a DIABLO. He is Big Abortion’s favorite Republican. But what can we do?

Ted Torgerson on August 2, 2010 at 2:13 PM

For those who don’t know, DIABLO: Democrat In All But Label Only, also see DIABNO: Democrat In All but Name Only.

annoyinglittletwerp on August 2, 2010 at 2:18 PM

Kirk is a DIABLO. He is Big Abortion’s favorite Republican. But what can we do?

Ted Torgerson on August 2, 2010 at 2:13 PM

I call Kirk NARAL’s favorite republican.

annoyinglittletwerp on August 2, 2010 at 2:19 PM

Keep movin’, nothing to see here.

Fuquay Steve on August 2, 2010 at 2:32 PM

Okay, Greek mobster. A crook, regardless.

Ward Cleaver on August 2, 2010 at 3:19 PM

Dirt bag Rezco. Didn’t he default on GE debt to finance his Papa Johns pizzarias? We the US bailed out GE credit.

seven on August 2, 2010 at 3:20 PM

In 1998, Rezko opened his first chain of Papa John’s Pizza restaurants in Chicago and by … buyer at an inflated price in order to obtain millions of dollars in loans from GE …

Jul 27, 2010 · General Electric agreed Tuesday to pay $23.4 million to settle a Securities and Exchange Commission complaint that GE bribed Iraqi government officials to win contracts …

The same neighbor that helped Obama split a personal residence deal and borrow using an inflated appraisal?

Obama is inside these dirty deals.

seven on August 2, 2010 at 3:24 PM

Failed Bank List

http://www.fdic.gov/bank/individual/failed/banklist.html

canopfor on August 2, 2010 at 1:11 PM

Interesting 1/2 half of the failed banks are from 4 states;
GA, FL, IL, CA

Dasher on August 2, 2010 at 5:20 PM

How much of it bought Zero’s house?

viking01 on August 2, 2010 at 6:12 PM

If Obama shows up for the fundraiser, how far away will he stand from Giannoulias? Probably no chance of any pictures getting taken of the two hugging each other.

And remember the Trib editorial several weeks ago, moaning about their Blago endorsements? Who’s the Trib going to endorse now?

PatMac on August 2, 2010 at 9:18 PM