Chicago Mob Linked Alexi Giannoulias predicts family's Broadway Bank will fail

Crain's Chicago Business reports:

Democratic Senate candidate Alexi Giannoulias says things don't look good for the struggling bank his family owns.

Giannoulias told the Chicago Sun-Times editorial board Wednesday that it's likely the bank his father founded 30 years ago will fail.

Here's more from the Chicago Sun-Times:

Broadway Bank is not the typical community bank, lending money to figures associated with organized crime in Florida — a loan Giannoulias did not originate but which he did go to Florida to check out. Asked if a national profile is inconsistent with his characterization of Broadway as a “community bank,” Giannoulias said, “One of the ways a bank helps diversify its risk profile is by lending in other markets so if the Chicago market were to completely collapse, you’ve got some lending being done in New York. You’ve got some lending being done in North Carolina. You’ve got some lending being done in California.”

Giannoulias defended his family’s withdrawing $69 million in dividends from the bank in 2007 and 2008.

At that time, there were no signs of problems and they needed $40 million of the money to pay the taxes on the banks’s earnings after two profitable years, he said. As a sub-chapter S corporation, the shareholders — the Giannoulias family — are responsible for the taxes, he said.

Yet, Obama says Alexi really understands banking!