Montgomery, AL – Regulatory filings show Colonial Bank founder Bobby Lowder lost almost $164 million in stock value when the bank collapsed over the past two years.
The Montgomery Advertiser reported that Lowder, along with several prominent investors, were losers as the stock price dropped and ended up at zero. Colonial was seized earlier this month by bank regulators.
The newspaper said regulatory filings showed that dog track magnate Milton McGregor invested more than $19 million in the bank in recent years to become its second-biggest stock holder behind Lowder.
Other prominent figures who were large shareholders at Colonial were former Auburn coach Pat Dye, former Frazer United Methodist Church pastor John Ed Mathison and Sam Sippial. Sippial replaced Lowder as chairman in June.
(Copyright 2009 by The Associated Press. All Rights Reserved.)