Loans, Loss and a $98 Million Lesson
David Bagwell is a real estate developer who was working to build three luxury subdivisions in Tarrant County, Texas. Mr. Bagwell entered into modification negotiations with his bank, BBVA Compass, to refinance the loans which were funding the new developments. Compass repeatedly told Mr. Bagwell that his loans would be renewed. However, after secretly negotiating with one of his competitors, those same loans were sold off at a discounted rate.