CHICAGO (WBBM NEWSRADIO) - Two real estate developers have been convicted of conspiring to embezzle millions from the failed Washington Federal Bank.
Washington Federal, which was based in Chicago’s Bridgeport neighborhood on the South Side, was shut down in 2017 after investigators determined the bank was insolvent and had at least $66 million in nonperforming loans.
Prosecutors said for more than a decade, developers Miroslaw Krejza and Marek Matczuk were part of a conspiracy that embezzled millions in bank funds.
The two have now been convicted of conspiring to commit embezzlement and falsify bank records as well as aiding and abetting embezzlement.
The federal investigation into the collapse of Washington Federal led to criminal charges against 16 defendants including former Alderman Patrick Daley Thompson.
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