Former Heartland Tri-State Bank CEO admits to embezzling $47 million to buy cryptocurrency, causing bank to collapse

Shan Hanes, the former CEO of Heartland Tri-State Bank, pleaded guilty Thursday to embezzling $47.10 million for personal cryptocurrency purchases, leading to the bank's collapse. Hanes made at least 10 telegraphic transfers from the Elkhart-based bank to cryptocurrency accounts from May to July 2023. The bank's collapse resulted in the total loss of investors' equity. The Kansas Banking Commission seized the bank, which was later acquired by Dream First Bank. U.S. Attorney Kate E. Brubacher, who described Hanes as a "liar and master manipulator," faces up to 30 years in prison. His sentencing is scheduled for August 8, 2024.