Former Bears quarterback Jim McMahon reportedly has been sued by the Federal Deposit Insurance Corp. in connection with the 2010 failure of Chicago-based Broadway Bank.
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McMahon served as a director of the bank from 2003 to 2008, during which time the FDIC alleges that he, along with five other directors, approved one of 17 bad loans that resulted in more than $104 million in total losses, according to the Chicago Tribune.
McMahon, in a statement furnished March 7 by his lawyer, Nancy Temple of Katten & Temple, pointed out that Broadway was one of hundreds of banks to fail in the latest economic downturn.
"With the advantage of 20-20 hindsight, the FDIC now blames Broadway's former officers and directors for not anticipating the same unprecedented market forces that also surprised central bankers, national banks, economists, major Wall Street firms, and the regulators themselves," McMahon said in the statement. "The allegations in the complaint are utterly without merit and I expect to be fully vindicated by the court."