Now, there are indictments.
Strib reports it online today, here:
Bank executives indicted in connection with failed Ramsey Town Center development.
By CHRIS SERRES, Star Tribune - Last update: April 22, 2009 - 3:54 PM
Three top executives with Community National Bank in North Branch were charged today in a 29-count federal indictment with organizing a scheme to defraud financial institutions and obtain money in connection with a $35 million loan to the Ramsey Town Center.
William Garfield Sandison, 65, president of Community National Bank; his son, Ross William Sandison, 42, a vice president at the bank; and Curtis Alan Martinson, 53, a senior vice president, face charges of conspiracy, bank fraud, mail fraud, misapplication of bank funds and money laundering.
According to court documents, Community National solicited other financial institutions to participate in financing the Ramsey Town Center development, a 320-acre mixed-use development, by lending $35 million with the option of extending $15 million more in credit. Community National, as the lead bank, assumed responsibility for administering the $35 million loan on behalf of the other banks.
The indictment alleges that prior to soliciting the other banks, the defendants, along with Community National, had loaned Ramsey Town Center developer Bruce Nedegaard about $3 million and failed to disclose this to the participating banks.
Read the remainder at Strib, online. Strib has the indictment itself online, here.
Months ago Martinson had dissociated himself from the Sandisons, leaving their bank and openly affiliating with Jim Deal's PSD, LLC, see this Google.
I have no information where the Sandisons are now, but I believe I have read that the North Branch Community National office is continuing business under another bank's jurisdiciton.
David Orrick of Pioneer Press reported much in the past on the situation; see, here, here, here, and here.
There is no indication in anything I have seen so far that Jim Deal is involved, other than hiring Martinson which he is free to do without adverse judgment; and Martinson remains innocent until pleading or convicted of wrongdoing.
I am unsure of timing but Deal may have hired Martinson well after the Nedegaard bankruptcy and death happened.
_______UPDATE_______
There is one comment held in moderation that I will leave there, but with the spelling correction in the headline fixed. If the author steps forward and identifies who is speaking it will be posted.