Ashton Ryan Jr., the previous president and CEO of the failed First NBC Financial institution in New Orleans, was once sentenced to fourteen years in jail this week. In February, he was once convicted of a chain of fraud and conspiracy fees tied to the corporate’s downfall in 2017.

Ryan, convicted of 43 fees in general after a five-week jury trial, was once additionally ordered to pay $214 million in restitution to the Federal Deposit Insurance coverage Corp., which had lined losses from the First NBC failure.

All through the trial, prosecutors advised jurors that Ryan licensed more than one seven-figure loans to debtors whom he knew may now not pay off. The U.S. Legal professional’s Administrative center for the Jap District of Louisiana stated in court docket paperwork and public statements that Ryan and different former executives then made new loans to those identical debtors and used the proceeds to repay present loans. When First NBC failed, the debtors jointly owed about $260 million.

Prosecutors walked jurors via financial institution data that confirmed Ryan defrauded the financial institution and shareholders from 2006 to 2017. Additionally they satisfied jurors that Ryan hid the financial institution’s deteriorating monetary situation from administrators, auditors and regulators. In keeping with the fees, Ryan and different bankers won thousands and thousands of bucks in repayment from the financial institution all the way through the process the conspiracy.

Ryan, 75, has stated he based First NBC in 2005, the yr Storm Katrina struck, to assist rebuild New Orleans. The financial institution grew to almost $5 billion of belongings by the point it was once seized by means of regulators.

“Ryan and his accomplices spent years hiding their tracks, by means of the use of refined way, all to deal with their space of playing cards,” U.S. Legal professional Duane Evans stated in a press free up on Sept. 6, the day the sentence was once issued.

The financial institution’s failure price the FDIC’s Deposit Insurance coverage Fund about $1 billion. Ryan resigned from the financial institution in a while prior to it was the biggest failure in Louisiana historical past. 

Investigators from the Federal Bureau of Investigation, the FDIC Administrative center of Inspector Basic and Federal Reserve pursued the case in opposition to Ryan and associates.

William Burnell, a former First NBC leader credit score officer, and Robert Calloway, an government vice chairman, had been additionally convicted on fraud fees. They’re scheduled to be sentenced on Sept. 28. Fred Beebe, a former mortgage officer, was once acquitted.