MADISON, Wis. (AP) – The U.S. Securities and Exchange Commission says a tentative settlement has been reached in a civil lawsuit accusing Anchor BanCorp Wisconsin and its former chief financial officer of fraud.
The SEC filed the lawsuit Wednesday, just two days after Anchor BanCorp filed for bankruptcy reorganization. It accuses the company and former CFO Dale Ringgenberg of “intentionally or recklessly” underreporting losses from bad loans in 2009.
Anchor BanCorp is the parent company of Madison-based AnchorBank.
The Wisconsin State Journal reports the bank and Ringgenberg are settling the lawsuit without admitting or denying the allegations. A deal calls for Ringgenberg to pay a $75,000 penalty. He will be barred from serving as an officer or director of a public company for five years.
The bank will not pay a penalty.
Information from: Wisconsin State Journal, http://www.madison.com/wsj