The tried-and-true scheme, which was quickly duplicated by connivers across the nation, worked as follows. A bunch of people got together, let’s say 10 for simplicity’s sake, and put up, let’s say, $100,000 apiece to buy the In God We Trust S&L on Main Street. With their $1 million in equity, they could take in $19 million in deposits and make approximately $20 million worth of new loans.
Sounds similar to Lithuanian bank in 1990s
