New Broadway Bank loan to Rezko discovered

Political fixer Tony Rezko was viewed as poison in early 2006; it was generally accepted that he was under federal investigation, he has indicted on numerous fraud charges later that fall. But not toxic enough for Broadway Bank, the Chicago Sun-Times reports this morning.

This was the Tony Rezko who, looking for millions of dollars for a massive South Loop development, turned to Broadway Bank, owned by the family of Alexi Giannoulias. Giannoulias, the Democrat now running for U.S. Senate, had left his post as a senior loan officer at the Chicago bank in late 2005 to mount a successful campaign for Illinois state treasurer, though he still held an ownership stake in the bank.

Rezko's company asked. And Broadway Bank came through.

On Feb. 14, 2006, newly obtained records show, the bank made a $22.75 million loan to a company called Riverside District Development LLC, whose owners, it turns out, included Rezko.

You won't find Rezko's name on any documents filed in the public record in connection with the loan.

Rezko, who was President Obama's first political sponsor, utilized his connections to disgraced former Governor Rod Blagojevich to raid state pension funds.

Yes, Alexi Giannoulias was not working at Broadway Bank at the time of the Rezko loan--but it's just another "Chicago coincidence" that Rezko knew which bank to seek out for a loan. In his successful run for state treasurer that year, Giannoulias cited two qualifications--his experience at Broadway--which failed earlier this year, and his friendship with Obama, you know, Rezko's buddy.

Until its collapse, Giannoulias was a major stockholder in the bank.

Two years ago Rezko an arrest warrant was issued against Rezko for writing bad checks--which were drawn from Broadway Bank.

Rezko and mobsters: It seems "the right kind of people" knew which bank to go to in Chicago.

"Vote for Giannoulias and no one gets hurt."

President Obama will make a rare visit to Chicago on Thursday to host a Giannoulias fundraiser.

The 2006 loan was not the first for Rezko from Broadway.

According to an October 13, 2006 report by Chicago Sun-Times, Broadway Bank loaned Tony Rezko $1 million in September 2002. The Chicago Tribune reported that Broadway Bank also loaned $10.9 million to a Rezko-owned company in January 2002. Today's Sun-Times story brings Broadway Bank's total loans to the convicted fixer to roughly $34.7 million between 2002 and 2006.

But until recently, Giannoulias claimed ignorance about Rezko.

Five months ago he told the Chicago Tribune: "For [Mark Kirk] to say that the bank should have known that Tony Rezko's company, or that Tony Rezko would have this certain thing 5 or 6 years later, it's a tough argument for him to make."

Wrong, Alexi.

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