Federal prosecutors have charged Eduardo A. Masferrer, the former chairman and chief executive at Hamilton Bank in Miami, and two other former top executives, with 42 counts of fraud and conspiracy in connection with the bank's 2002 collapse.
The indictment, handed down Tuesday in the U.S. District Court for the Southern District of Florida, followed a two-year criminal investigation.
Mr. Masferrer; Juan Carlos Bernace, Hamilton's former president; and John M.R. Jacobs, the former chief financial officer, were charged with concealing losses on the sale of foreign loans and fraudulently inflating earnings to "unjustly enrich themselves" through higher salaries, bonuses, and stock options. They were also charged with obstructing justice and making false statements to the Office of the Comptroller of the Currency.
The Federal Deposit Insurance Corp.'s and the Treasury Department's Offices of the Inspector General investigated the case.
Hamilton, which had been under investigation by the OCC since 1999, was shuttered in January 2002.
