Zions Bancorp’s $50 Million Fraud Shock: Stock Plunges as Regional Bank Fears Resurface
Fraud Bombshell Sends Zions Stock Reeling Zions Bancorp, a Salt Lake City-based regional bank, dropped a stunning disclosure this week: it found evidence of potential fraud in two large commercial loans worth about $60 million ts2.tech. The borrowers – reportedly affiliated with an independent investment fund – allegedly misrepresented collateral and other information, prompting Zions to accelerate the loans to default and sue the guarantors in California ts2.tech. The bank wrote off $50 million of the exposure and set aside reserves for the rest, effectively recognizing a full $60 million hit ts2.tech. This charge-off will flow through Zions’ upcoming earnings, immediately denting Q3
