The $700 billion Troubled Asset Relief Program (TARP) was designed to help us out of the financial crisis.
When introduced, skeptics warned to watch for fraud. Lots of money coming out quickly tends to attract attention.
The first charges of TARP theft and misuse were brought against a former banker yesterday. Charles Antonucci Sr., ex-president of New York's Park Avenue Bank was arrested after allegations that he misled regulators and tried to steal TARP funds. Park Avenue Bank failed on Friday.
The complaint says that Antonucci lied on an application for TARP funds, used sham transactions to create the appearance of a strong bank, and used bank assets for personal gain while he was president of the bank.
Mr Antonucci is expected to plead not guilty.
This is the first case involving TARP theft, but more are sure to come.
[Thanks to the office of Joseph DiBenedetto]
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