- Former CEO of Kansas-based Heartland Tri-State Bank, Shan Hanes, has been charged with embezzling $47.1 million from the now-closed bank to buy cryptocurrency for himself.
- Hanes allegedly abused his position as CEO to siphon the funds before the bank failed in July 2022. He also faces charges of embezzling from a local church.
- The charges against Hanes are just the latest in ongoing legal fallout from the bank’s failure, which has already prompted investigations and charges against other former executives. More could potentially face legal action as details emerge.
The former chief executive officer of a Kansas bank was charged with embezzling $47.1 million from the lender to buy cryptocurrency, as the tale of tiny Heartland Tri-State Bank and its failure continues to unfold.
Background on Heartland Tri-State Bank
Heartland Tri-State Bank was a small Kansas lender that was shut down in July 2022. The bank’s former CEO, Shan Hanes, has now been accused of embezzling millions from the bank before its closure.
Prosecutors allege that Hanes took $47.1 million from Heartland Tri-State Bank to purchase cryptocurrency for himself. He is also accused of embezzling money from a local church. The charges against Hanes were filed on Friday in federal court in Wichita.
Details of the Charges Against Hanes
The charges allege that Hanes abused his position as CEO to siphon funds from the bank before it failed. The money was then used to buy cryptocurrency for his own benefit.
This is just the latest development in the ongoing saga surrounding the collapse of Heartland Tri-State Bank. The tiny lender’s failure has led to major legal troubles for its former leadership.
Ongoing Legal Fallout from the Bank’s Failure
Hanes is not the only former executive from the bank to face legal repercussions. The bank’s failure has prompted investigations and charges against other officials as well.
The demise of Heartland Tri-State Bank has spawned multiple lawsuits and criminal cases. Prosecutors are still working to unravel the circumstances surrounding the bank’s closure.
More former executives could potentially face charges as the facts come to light. The legal fallout from the bank’s failure appears set to continue for some time.
The charges against former CEO Hanes represent just the latest chapter in the long, unfolding drama around Heartland Tri-State Bank. Prosecutors allege that Hanes abused his executive position to embezzle millions in order to buy cryptocurrency. As the investigations continue, more former bank officials could find themselves in legal jeopardy. The full tale of the bank’s failure remains to be told.