SEC Charges Catherine Kissick, a Former Officer of Colonial Bank for Role in Securities Fraud Scheme

SEC Charges Former Officer of Colonial Bank for Role in Securities Fraud Scheme

The Securities and Exchange Commission has charged a former vice president at Colonial Bank who was the head of its mortgage warehouse lending division with conducting a $1.5 billion securities fraud scheme.

The SEC alleges that Catherine L. Kissick enabled the sale of fictitious and impaired mortgage loans and securities from the mortgage warehouse lending division's largest customer - Taylor, Bean & Whitaker Mortgage Corp. (TBW) - to Colonial Bank, and she caused these securities to be falsely reported to the investing public as high-quality, liquid assets.

SEC Complaint