OIG: Case Highlights

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target="_blank"><span class='icon-linkedin'></span></a></noscript> </li> </ul> </div> <a id="417" name="417"></a></div> </div> <div class="content container" id="main-content"> <div class="article"><a id="maincontent"></a> <h1>Case Highlights</h1> <p>The following are highlights of our work during the <a href="/reports/semiannual-report-to-congress.htm">April 1, 2024–September 30, 2024, semiannual reporting period.</a> Closed investigative reports are not made public and are subject to disclosure in accordance with applicable law. However, significant investigative results and other investigative statistics are reported in our semiannual report to Congress, as required by statute.</p> <p><img alt="" height="454" src="/images/Investigation-oct2024.png" width="607" /></p> <p><strong>Investigation Into Federal Reserve Bank of Atlanta President's Trading Activity</strong><br /> We investigated the 2017–2021 trading, investment, and disclosure activities of Federal Reserve Bank of Atlanta (FRB Atlanta) President Raphael Bostic. Dr. Bostic violated Federal Open Market Committee (FOMC) rules and Federal Reserve Bank policies governing blackout periods, financial disclosures, prohibited holdings, and preclearance requirements. Dr. Bostic also created an "appearance of acting on confidential FOMC information" under the FOMC blackout rule and an "appearance of a conflict of interest" that could cause a reasonable person to question his impartiality under FRB Atlanta's code of conduct.</p> <p><strong>Former Chief Executive Officer of Failed Kansas Bank Sentenced to Prison for Embezzling $47 Million</strong><br /> Shan Hanes was sentenced to over 24 years in prison for embezzling $47.1 million from Heartland Tri-State Bank as its chief executive officer (CEO). Hanes embezzled the money to enrich himself in a pig butchering cryptocurrency scheme in which would-be investors were conned into depositing money into fake accounts controlled by scammers. The embezzlement caused Heartland, a state member bank serving rural Kansas, to fail, with the Federal Deposit Insurance Corporation (FDIC) absorbing the $47.1 million loss.</p> <p><strong>Former Bank Vice President and Branch Manager Convicted for Paycheck Protection Program Fraud in New York</strong><br /> Anuli Okeke, former vice president and manager of a New York branch of Popular Bank, was convicted by jury of conspiracy to commit bank and wire fraud, wire fraud, bank fraud, and money laundering conspiracy. Okeke led a scheme to fraudulently obtain millions of dollars from the Economic Injury Disaster Loan (EIDL) program and the Paycheck Protection Program (PPP) during the height of the COVID-19 pandemic. She faces up to 30 years in prison. Seven other coconspirators previously pleaded guilty to wire and bank fraud conspiracy in connection with the defendant's scheme.</p> </div> </div>  <div class="right-column"> <h3 class="label">RELATED INFORMATION</h3> <p> <strong>Investigations FAQs</strong> </p> <a href="/faq-about-oig.htm#investigations">See common Investigations questions and answers.</a> <p><strong><em>Interest</em></strong><br /> <a href="/documents/interest-magazine.pdf"><font color="#0066cc">Investigations magazine</font></a></p> <a href="/faq-about-oig.htm"></a> </div>  </div> <span id="mobile-placeholder"></span> <div class="wrapper-footer">  <div class="footer container" id="body-footer"> <div class="container about-fed-cfpb"> <h3 class="label">LINKS TO THE BOARD AND THE CFPB</h3> <ul> <li class="fed-seal"><a href="//www.federalreserve.gov/" target="_blank" title="Board of Governors">Board of Governors</a></li> <li class="cfpb-logo"><a href="http://www.consumerfinance.gov/" target="_blank" title="Consumer Financial Protection Bureau">Consumer Financial Protection Bureau</a></li> </ul> </div><div class="container related-sites"> <h3 class="label">RELATED SITES AND RESOURCES</h3> <ul> <li><a href="http://www.gao.gov/" target="_blank">U.S. Government Accountability Office</a></li><li><a href="http://www.ignet.gov/" target="_blank">Council of the Inspectors General on Integrity and Efficiency</a></li><li><a href="http://www.treasury.gov/about/organizational-structure/ig/Pages/Council-of-Inspectors-General-on-Financial-Oversight.aspx" target="_blank">Council of Inspectors General on Financial Oversight</a></li><li><a href="https://oversight.gov/" target="_blank">Oversight.gov</a></li> </ul> <ul > <li><a href="/sitemap.htm">Sitemap</a></li><li><a href="//www.federalreserve.gov/accessibility.htm" target="_blank">Accessibility</a></li><li><a href="//www.federalreserve.gov/disclaimer.htm" target="_blank">Disclaimer</a></li><li><a href="//www.federalreserve.gov/privacy.htm" target="_blank">Privacy</a></li> </ul> <ul > <li><a href="//www.federalreserve.gov/foia/about_foia.htm" target="_blank">FOIA</a></li> <li><a href="//www.federalreserve.gov/eeo.htm" target="_blank">No Fear Act Data</a></li> <li><a href="http://www.usa.gov/" target="_blank"><img src="/gifjpg/usagov_logo_color_notag.gif" title="usa.gov logo: USA.gov is the U.S. government's official web portal to all federal, state, and local government web resources and services" alt="usa.gov logo: USA.gov is the U.S. government's official web portal to all federal, state, and local government web resources and services" style="width: 75px; height: 21px; margin-left: -11px;"/></a></li> </ul> </div> </div> </div> <script type="text/javascript" language="javascript" src="/resources/jquery.min.js"></script> <script src="https://code.jquery.com/ui/1.14.0/jquery-ui.js" integrity="sha256-u0L8aA6Ev3bY2HI4y0CAyr9H8FRWgX4hZ9+K7C2nzdc=" crossorigin="anonymous"></script> <script type="text/javascript"> $(document).ready(function () { $('.accordion-content').hide(); $('.accordion-header').click(function () { $('.accordion-content:visible').slideUp('slow'); $(this).next().slideDown('slow'); }); }); </script> <script type="text/javascript" language="javascript" src="/resources/oig_Custom.js"></script> <script type="text/javascript" language="javascript" src="/resources/_faq.js"></script> <script type="text/javascript" language="javascript" src="/resources/faq.js"></script>  <script>(function(){function c(){var b=a.contentDocument||a.contentWindow.document;if(b){var d=b.createElement('script');d.innerHTML="window.__CF$cv$params={r:'9163758b69a64ca7',t:'MTc0MDI3NDMxNi4wMDAwMDA='};var a=document.createElement('script');a.nonce='';a.src='/cdn-cgi/challenge-platform/scripts/jsd/main.js';document.getElementsByTagName('head')[0].appendChild(a);";b.getElementsByTagName('head')[0].appendChild(d)}}if(document.body){var a=document.createElement('iframe');a.height=1;a.width=1;a.style.position='absolute';a.style.top=0;a.style.left=0;a.style.border='none';a.style.visibility='hidden';document.body.appendChild(a);if('loading'!==document.readyState)c();else if(window.addEventListener)document.addEventListener('DOMContentLoaded',c);else{var e=document.onreadystatechange||function(){};document.onreadystatechange=function(b){e(b);'loading'!==document.readyState&&(document.onreadystatechange=e,c())}}}})();</script></body> </html>

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OIG: Case Highlights