HARRISBURG — Grand Rivers Community Bank, in a statement, says it is fully cooperating with federal criminal investigators and is aware of recent reports of a federal investigation into the underlying issues raised in the bank’s civil lawsuit in which it accuses Peoples National Bank and several of Peoples’ leaders of racketeering and fraud.
Peoples National Bank and its affiliates, through their legal counsel, have denied any wrongdoing concerning the allegations made against them by Grand Rivers, and said they have no knowledge of a federal investigation.
The statement Grand Rivers issued to the newspaper Thursday reads, in full:
“Grand Rivers Community Bank is aware of recent reports of a federal investigation by multiple agencies into the underlying issues raised in their lawsuit filed against Market Street Bancshares, Inc., Peoples National Bank, N.A., William F. Bonan, William F. Bonan II and Keith H. Botsch.”
“While Grand Rivers does not comment on pending litigation, the Bank, has, for some time, been fully cooperating with federal criminal investigators in their investigation of the issues, and intends to continue to do so.”
Brett Ashton, an Indianapolis-based attorney with Kreig DeVault LLP, which is representing Grand Rivers Community Bank, and Main Street Bancshares, Inc., the holding company for Grand Rivers, provided the statement to the newspaper via email. The statement lists as a contact Whitney Stringer, chair and CEO of Main Street Bancshares Inc. Though, Ashton indicated that no additional comments would be forthcoming from his client at this time.
The statement followed the newspaper’s inquiry as to whether, and if so why, federal agents had visited a Grand Rivers’ branch earlier this week as there were citizen reports to The Southern that the branch had been closed to entry or exit for a period of time…