Michael W. Gullion, the founder and former chairman and chief executive of Gold Banc Corp. in Leawood, Kansas, pleaded guilty Monday to two counts of embezzling $1.9 million from the company between 2001 and 2003.
Mr. Gullion remains free on bail until his sentencing May 30. He faces up to 30 years in jail and a $1 million fine on each count. He entered his plea in the U.S. District Court for Kansas in Topeka.
Mr. Gullion resigned from Gold in March 2003 after an audit turned up irregularities and triggered an internal investigation, which uncovered evidence of the diverted funds. Mr. Gullion paid $3.5 million to Gold as restitution for the money he took and the cost of the internal investigation.
He had headed the company since 1978, when he purchased the $3 million-asset Oketo State Bank and changed its name. In November the $4.1 billion-asset company agreed to sell itself to Marshall & Ilsley Corp. of Milwaukee for $700 million; the deal is expected to close around midyear.
