Indicted in Bridgeport bank failure case, William M. Mahon is out at Streets and San
William M. Mahon is out as the $138,800-a-year deputy city streets and sanitation commissioner for quality control and accountability.
Mahon — who for at least 16 years was on the board of directors of Washington Federal Bank for Savings, where he headed its loan committee — had been identified by the Sun-Times in November 2018 as a target of the federal investigation of the bank.
The federal probe has resulted in criminal charges against 15 people, including Ald. Patrick Daley Thompson (11th), who got loans from the bank and faces trial on charges including income-tax fraud.
Mahon, 55, is in line to receive a city pension of more than $98,000 a year for the rest of his life.
Mahon previously has declined to discuss Washington Federal, a small, century-old bank long operated by the family of John Gembara, who was president, chief executive officer and majority stockholder when he was found dead with a rope around his neck inside the main bedroom of bank customer’s Park Ridge home on Dec. 3, 2017. His death was ruled a suicide, though family members and friends have questioned that.
massive embezzlement scheme involving Gembara that siphoned off $90 million of the bank’s assets
Mahon’s application for those mortgages didn’t disclose that he also had been given a personal loan by Gembara and his wife for $[13]0,000
Thompson — a grandson of the late Mayor Richard J. Daley and nephew of former Mayor Richard M. Daley — is charged with income-tax fraud for filing tax returns showing he paid interest on three loans from Washington Federal even though he never paid the interest or the principal on those loans.
https://chicago.suntimes.com/2022/1/7/22868399/bridgeport-bank-failure-william-mahon-washington-federal-bank-savings-cole-stallard-streets-and-san