Trib confirms Giannoulias made bank loans to convicted Felons

From Eric Dondero:

The troubles keep piling up for Democrat nominee for US Senate in Illinois (Barack Obama seat), Alexia Giannoulias.

The Chicago Tribune, in a banner headline front page story Friday, announced the finding that Giannoulias was indeed responsible for "$20 million in bank loans to felons." The convicted felons in question: illegal loan shark and money laundering enterprisers Michael "Jaws" Giorango, Demitri Stavropoulos and Boris Stavensinksy.

The family bank of Democratic Senate candidate Alexi Giannoulias loaned a pair of Chicago crime figures about $20 million during a 14-month period when Giannoulias was a senior loan officer, according to a Tribune examination that provides new details about the bank's relationship with the convicted felons.

Broadway Bank had already lent millions to Michael Giorango when he and a new business partner, Demitri Stavropoulos, came to the bank in mid-2004. Although both men were preparing to serve federal prison terms, the bank embarked on a series of loans to them.

Now, a top Chicago Democrat boss is saying it's curtains for Giannoulias. Don Rose, has ties to Obama, and very close ties to Obama's top consultant David Axlerod.

Background from the Chicago Tribune, June 24, 2007:

In his early years as a political consultant, Axelrod, following in the footsteps of his mentor, the political strategist Don Rose, carved out a reputation for himself as a skillful specialist working for local progressive candidates...says Rose. "I think he's a principled, generally progressive guy... ."

Photos - Rose left, Axlerod right

Don Rose admits, if election held today Republican Mark Kirk would easily beat Giannoulias

Now this from Real Clear Politics, "Democrats stand by candidate for Obama's old seat":

Chicago political consultant Don Rose said that if the election were now he thinks Kirk would win but sees a good opportunity for Giannoulias make up for lost ground, especially if the economy improves.

"They have to make Kirk unpalatable politically and level the playing field," Rose said. "Of course the best thing would be if they could get him (Giannoulias) to resign and replace him."

Photos - Convicted Chicago mobsters and "friends of Alexia" Boris Stavensinksy left, Michael "Jaws" Giorango right

There's some speculation that Obama and Axlerod might be quietly putting the word out that Giannoulias has to go, through Rose.

But other top Illinois Democrats are still clinging to Giannoulias. They believe the way for him to get elected is to paint moderate and squeeky clean Republican Kirk as "too conservative" for Illinois.
Continuing:

the 34-year-old Giannoulias is still electable if he meets the bank embarrassment head on and strikes back at the Republican congressman as more conservative than this Democratic-trending state, Democratic insiders say.

Kirk is a Veteran Naval Officer with combat service. He's also a Medal of Honor winner. He has served 4-terms representing Illinois 10th CD, and is generally regarded as a fiscally conservative/socially moderate GOPer.

This seat is one of two or three truly toss-ups (along with California Barbara Boxer seat, and NY's Kristen Gillibran), that if it swings the GOP's way, it could give Republicans the majority in the Senate.

Special hat tip to regular LR reader and former Libertarian Party of Illinois board member Jeff Wartman of Chicago, for keeping us regularly informed on this story.