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FORT MYERS -- Two former Orion Bank executives and one former borrower were sentenced to serve time in federal prison for misleading federal and state regulators about the health of the Naples institution.
Thomas Hebble, a former executive vice president, former senior vice president Angel Guerzon, and borrower Francesco Mileto will serve two and a half, two, and five and a half years in federal prison, respectively, according to a release issued by the U.S. Attorney's office. The three pleaded guilty on May 2.
The U.S. Attorney's office says the three conspired to lend $22 million to depositors, including Mileto, for the sole purpose of using those funds to buy shares of Orion's stock. Regulations prohibit banks from financing the purchase of its own stock.
In addition to jail time, the Federal Deposit Insurance Corp. requested more than $33.5 million in restitution fees for Hebble and Guerzon's role in the scheme, along with $65.2 million from Mileto.
Naples-based Orion was the second-largest bank headquartered on the Gulf Coast before being shuttered by the Florida Office of Financial Regulation on Nov. 13, 2009. Former chairman and CEO Jerry Williams was indicted on similar charges in March, and is currently awaiting trial.
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