PHILADELPHIA - Alfred Lutz Jr., who was president of the defunct Hill Financial Savings Association, has pleaded guilty to three charges of misapplying bank funds.
Mr. Lutz's plea included a pledge to testify in a related case in return for a government recommendation of leniency, said Assistant U.S. Attorney Amy Kurland.
The former executive faces 15 years in prison and a $750,000 fine when sentenced Jan. 22. He also could be ordered to pay restitution.
The charges arose out of loans of about $100 million to Denver developer Richard Rossmiller, $80 million to Allan Reiver and related interest for a proposed business complex, and $42 million to W.R. Nelson and W. Bruce Nelson of Houston and related interests.
