Mitchell Cited in Bank Fraud Case

Robert E. Boczkiewicz Published: July 31, 1992
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Lucero said the extension may have been sought because the Colorado bank apparently did not repay the loan to the Oklahoma City bank on time.

The loan from the Oklahoma City bank was used to capitalize the suburban Denver bank, Columbine Valley Bank and Trust, which Miles bought, Lucero said.

In addition to the bank bribery charge, Miles also was charged Tuesday with conspiracy to commit bank fraud. The bribery charge relates to the $141,000 payment to Mitchell. The fraud charge concerns activities not identified as being related to Mitchell.

Lucero said he does not know whether the $2.3 million loan contributed to the failure of Citizens , but described it as "a bad loan. " Columbine Valley Bank of Littleton, Colo., also failed.

The transaction between Miles, who now lives in Del Mar, Calif., and Mitchell was investigated by the FBI, court documents said.

The fraud charge alleges Miles conspired to defraud First Continental Bank of Rockrimmon in Colorado Springs of $507,000 while he was an owner and director of that bank. That bank also failed, the U.S. attorney's office said.

Miles came to Denver from California and in the 1980s became a developer of apartment complexes and office buildings, according to the Rocky Mountain News, a Denver newspaper. It reported that part of Miles' business activities was a $20 million purchase, with two partners, in 1985 of a large Denver realty company which later filed for bankruptcy.

Staff Writer Ed Godfrey contributed to this report. BIOG: NAME:

Archive ID: 511041


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