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Stockbroker Indicted in Bank Scheme

June 16, 1989

AURORA, Ill. (AP) _ A former stockbroker has been charged with conspiracy and fraud in a 122- count federal indictment that accused him of using insider information to reap more than $230,000 in stock trading profits.

Danny Omar Cherif, 35, of Aurora also was charged Thursday with multiple counts of unauthorized entry to a bank and one count each of perjury and obstruction of justice.

Cherif, who worked at the First National Bank of Chicago from 1979 until 1987, used his access card to enter the bank without authorization 32 times after he was fired as an assistant vice president in the international banking department, Assistant U.S. Attorney James Conway contends.

While in the bank mainly during weekends and late evenings, Cherif obtained sensitive information on mergers, acquisitions or buyouts the bank was involved in, Conway contends. He then traded stocks based on the information.

William Bronec Jr., 36, of Riverside, an associate of Cherif who also worked at First National for a time, was charged with one count of conspiracy.

Conway says Cherif’s relatives and friends including Bronec earned an additional $200,000 from the scheme.

Cherif worked as a broker at Shearson Lehman Hutton Inc.’s Oakbrook Terrace office after he left First National. He was fired May 21, two days after he was arrested by FBI agents and the case made public.

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