Former Fox Valley loan officer agrees to testify in federal bank fraud case
GREEN BAY (WLUK) - The banker who allegedly conspired with a De Pere businessman to illegal funnel loans has agreed to plead guilty - and testify in the case, according to federal court documents obtained by FOX 11.
Paul Piikkila, then with Horicon Bank, authorized a $240,000 loan for a former relative of Ron Van Den Heuvel - and then Van Den Heuvel used the funds to pay for personal expenses and other loans at different banks. While prosecutors allege Piikkila helped arrange multiple loans after his bank instructed him not to, court documents indicate Piikkila has agreed to plea guilty for that specific transaction.
Piikkila faces a maximum penalty of five years in prison and a $250,000 fine.
As part of the plea deal, Piikkila also "agrees to fully and completely cooperate with the government in its investigation of this and related matters, and to testify truthfully and completely before the grand jury and at any subsequent trials or proceedings," the document states.
Prosecutors and Piikkila's attorney will jointly recommend to the court that his sentencing wait until after the other case are completed.
Piikkila's plea hearing has not been scheduled.
Van Den Huevel and his wife, Kelly, also face charges in the case. A status conference in those cases is scheduled for July 15. Ron Van Den Huevel faces 13 charges, while Kelly faces three.
Van Den Huevel, who founded a company called Green Box, also faces state review for late loan re-payments to the state.