EAST ST. LOUIS – Andrew P. Blassie, the former Executive Vice President of the Bank of O’Fallon, has been indicted by a federal grand jury on charges of bank fraud and interstate transportation of funds obtained by fraud, totaling more than $2 million. The indictment alleges that Blassie, 69, engaged in a check kiting scheme during his tenure at the bank, which lasted from September 2023 to September 2024.
According to the charges, Blassie is accused of inflating the balance of his personal checking account by depositing checks from accounts with insufficient funds at other banks and a credit union. This fraudulent activity reportedly allowed him to misappropriate nearly $2.7 million for personal expenses, using funds that belonged to the Bank of O’Fallon.
U.S. Attorney Steven D. Weinhoeft emphasized the importance of fiduciary responsibility among bank officials, and said, “Senior bank officials must act as fiduciaries, not felons — they must serve the bank, not swindle it.” He commended the Bank of O’Fallon for its cooperation during the investigation, which he described as vital for preserving the integrity of the financial system.
In addition to the bank fraud charges, Blassie is accused of persuading a couple from Lebanon to invest $429,000 of their retirement savings in exchange for two promissory notes. The indictment claims he used funds from his check kiting scheme to pay interest on these notes, while also pledging shares of the bank’s holding company as collateral. However, Blassie later sold most of these shares without repaying the couple, leaving them without recourse when he defaulted on the notes.
Michael Kurzeja, Resident Agent in Charge of the U.S. Secret Service Springfield Resident Office, noted the serious nature of bank fraud and its impact on victims, and said, “It’s worsened when someone in a position of trust violates that authority, as the defendant is alleged to have done in this case to a staggering degree.”
The indictment highlights the collaborative efforts of multiple agencies, including the U.S. Secret Service, the Federal Deposit Insurance Corporation Office of Inspector General, and the Office of Inspector General for the Board of Governors of the Federal Reserve System, among others. Jon Ellwanger, Special Agent in Charge of the Federal Reserve’s Office of Inspector General, stated that the indictment serves as a clear message regarding accountability for bank executives involved in fraudulent activities.
Blassie’s initial court appearance is scheduled for 10 a.m. on April 23, 2025, at the federal courthouse in East St. Louis. Convictions for bank fraud can result in sentences of up to 30 years in prison, while interstate transportation of funds obtained by fraud carries a maximum penalty of 10 years.
It is important to note that an indictment is merely a formal charge, and Blassie is presumed innocent until proven guilty in a court of law.
