Report blames bank failure on poor business strategies

November 17, 2010 (CHICAGO)

The Federal Deposit Insurance Corporation report concludes Broadway Bank couldn't absorb the losses during the economic downturn.

The FDIC said Broadway Bank didn't have good credit risk management practices and cites other poor business strategies.

The failure cost the FDIC's insurance fund $390 million.

Broadway Bank's failure was a major issue in Giannoulias' unsuccessful campaign for President Obama's old Senate seat won by Republican Mark Kirk.

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