Louis J. “Lou” Pearlman, a first cousin of folk singer Art Garfunkel, is heavily involved in recording music groups including Creed, Eminem and the Backstreet Boys, the newspaper reported.
Pearlman’s Trans Continental Airlines chartered flights for rock stars.
Evansville-based Integra reported a $2.6 million loss for the fourth quarter yesterday after other banks followed Integra’s lead and sued Pearlman to recover some of the airline’s assets. Only after other suits popped up did Integra realize the extent of his financial woes. The state of Florida has launched an investigation.
Integra began making the loans in 1997. The loan officer is no longer with the bank, and Integra has stopped making loans through brokers.