ALEXANDRIA, Va. – March 17, 2011 – A fourth executive has pleaded guilty to a billion-dollar fraud conspiracy that helped topple one of the nation's largest mortgage providers and led to the sixth-largest bank collapse in U.S. history.
Thirty-five-year-old Teresa Kelly of Ocoee, Fla., pleaded guilty to conspiring to commit bank, wire and securities fraud Wednesday in federal court in Alexandria, Va.
Kelly was a supervisor at Alabama-based Colonial Bank. She admitted that she knowingly schemed with others for Colonial buy hundreds of millions of dollars in worthless mortgages from Florida-based Taylor Bean & Whitaker.
Taylor Bean went bankrupt in 2009 in the midst of the investigation and 2,000 workers lost their jobs. Colonial collapsed that same year.
The guilty pleas come in advance of a trial next month for Taylor Bean's chairman, Lee Farkas.
Copyright © 2011 The Associated Press.
Thirty-five-year-old Teresa Kelly of Ocoee, Fla., pleaded guilty to conspiring to commit bank, wire and securities fraud Wednesday in federal court in Alexandria, Va.
Kelly was a supervisor at Alabama-based Colonial Bank. She admitted that she knowingly schemed with others for Colonial buy hundreds of millions of dollars in worthless mortgages from Florida-based Taylor Bean & Whitaker.
Taylor Bean went bankrupt in 2009 in the midst of the investigation and 2,000 workers lost their jobs. Colonial collapsed that same year.
The guilty pleas come in advance of a trial next month for Taylor Bean's chairman, Lee Farkas.
Copyright © 2011 The Associated Press.
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