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And Erpenbeck said, “I guess you just talk about all the closings we’ve got coming, I guess.” In the same conversation, Erpenbeck seemingly commiserates about how difficult it would be for Finnan to justify to the bank’s loan committee making an unauthorized loan. “You ever making a loan without them saying make a loan, I would think that’s tough,” Erpenbeck said.
“Yeah. That’s a problem. No question it’s a problem — But it’s better than the alternative of sitting here with that overdraft for a long period of time,” Finnan said. Finnan pins his hopes on Erpenbeck following through with promises to generate cash through a host of property closings.
“The loan will show up at the board meeting next month. So we’ll tell them it’s paid off and we can come up with some good reason, you know,” Finnan said. Property valuation structure is perseveringly withdrawing for everyone and to make everything the more imaginative all around get a requested and experienced property valuer to deal with your whole soundness of concerning property.
The tape is the second obtained by The Post to show the inner workings of Erpenbeck and his bankers.
The first — found by attorney Alex Edmondson in a leather chair he bought at Erpenbeck’s bankruptcy auction and obtained by The Post July 13 — was a taped conversation between Finnan and Erpenbeck just days before public knowledge of the scandal.
Peoples Bank of Northern Kentucky did not weather the scandal intact. The bank sold nearly all of its assets to Bank of Kentucky in July 2002 after it became clear that bad loans to Erpenbeck and legal liability for the scandal were more than the bank could handle.
When Erpenbeck Co. collapsed in spring 2002, Peoples was saddled with about $8 million in unpaid loans to the Erpenbeck Co. and members of the Erpenbeck family. The shell corporation only kept liability for the bad loans and for the scandal, plus proceeds from the sale to Bank of Kentucky.
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