ASHEVILLE, N.C. (AP) — The former president of the Bank of Asheville has pleaded guilty in U.S. District Court to charges of bank fraud and money laundering.
The Asheville Citizen-Times reported Friday that Gordon Greenwood could receive up to 40 years in prison and more than $1 million in fines when he is sentenced.
Prosecutors say Greenwood made an illegal $500,000 loan in the name of a "straw borrower" in March 2009.
The Bank of Asheville was closed by state regulators in January after reporting large losses from real estate loans.
Its accounts and assets were taken over by Troy-based First Bank.
Greenwood had been appointed president of Bank of Asheville in January 2000.
He remains free pending sentencing.
Information from: The Asheville Citizen-Times, http://www.citizen-times.com