Broadway Federal Bank Los Angeles, CA

Take a look at the new site

This is Paul Hudson, his bank is on the problem bank list

Paul racked up $66MM in problem loans

Broadway Federal Bank Los Angeles, CA was founded in 1947.  The company entered into a cease and desist order with the OTS for, check this out, aiding and abetting in unsafe lending, resulting in deteriorating asset quality, inadequate asset quality and inadequate oversight.   The  Texas ratio is 67%.

The bank has $484MM in assets with equity of $32MM.

The problem loan portfolio is staggering.  There are $27MM in loans 30-90 days past due, with $39MM on non accrual!

That equates to $66MM in problem loans with only $32MM in equity.

This place is bankrupt.

Why hasn’t this company been shut down, they are insolvent.

With net income of $777K in FY10, they aren’t going to earn their way out of this disaster.


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