SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported):
October 14, 1999 (October 13, 1999)
Belmont Bancorp
(Exact Name of Registrant as Specified in its Charter)
Ohio
(State or Other Jurisdiction of Incorporation)
0-12724 34-1376776
(Commission File Number) (I.R.S. Employer Identification No.)
325 Main Street, Bridgeport, Ohio 43912
(Address of Principal Executive Offices) (Zip Code)
Registrant's Telephone Number, Including Area Code: (740) 695-3323
<PAGE>
Item 5. Other Events
The Registrant's News Release issued October 13, 1999, attached hereto as
Exhibit 99.1, is incorporated herein by reference.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(a) Financial statements of businesses acquired.
Not applicable
(b) Pro forma financial information.
Not applicable
(c) Exhibits
99.1 News Release issued October 13, 1999
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Belmont Bancorp
(Registrant)
Date: October 14, 1999 By /s/ David G. Brewick
-----------------------------------------
David G. Brewick, Interim President
Exhibit 99.1
BANK ALLEGES FRAUD, SEEKS RECOVERY OF FUNDS
On Tuesday, October 12, Belmont National Bank filed legal documents in the
Court of Common Pleas of Tuscarawas County, Ohio, alleging that it had been the
victim of an "elaborate fraud" that has resulted in more than $15 million in
losses to the Bank. Following an extensive internal review of its loan portfolio
over recent months, the Bank is seeking to bring additional claims against
Steven D. Schwartz, President of Schwartz Homes, Inc., the now-closed New
Philadelphia retailer of manufactured homes. At the same time, the Bank has
asked to enter claims against three additional people: Linda Reese, Schwartz
Homes' Chief Financial Officer; William Wallace, the Bank's former Executive
Vice-President and Chief Operating Officer; and Christine Wallace, his wife.
These legal procedures are an important step in the Bank's process of
recovering funds. In addition, because of Mr. Wallace's alleged conduct as a
bank officer and director, the Bank is seeking to recover from its indemnity
bond insurance carrier the full amount of its bond, $4.75 million.
"For the benefit of our shareholders and depositors, we are serious about
pursuing every legal means of recovering assets improperly obtained from this
Bank," stated James F. Bauerle, BNB's Senior Vice President and legal counsel.
Throughout this incident, Belmont National Bank, a local financial
institution that first opened in 1846, has maintained a commitment to serving
its customer. "Our Bank is our community's bank," added Bauerle. "For over a
century and a half, we have served our neighbors well. We are committed to
continue serving people who enjoy the benefits of banking with neighbors."
