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Black Genocide in Chicago - February 28, 2018 Edition of Chicago Street Journal.

Did you read this edition of Chicago Street Journal (CSJ)? It hit the streets in February and with the headline story "The Charge of Chicago Black Genocide" and it is still circulating throughout this city's communities. Call 773-595-5229 to be in the NEXT edition.

Did you read this edition of Chicago Street Journal (CSJ)? It hit the streets in February and with the headline story "The Charge of Chicago Black Genocide" and it is still circulating throughout this city's communities. Call 773-595-5229 to be in the NEXT edition.

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<strong>Chicago</strong> <strong>Street</strong> <strong>Journal</strong> <strong>February</strong> <strong>28</strong> - March 13, <strong>2018</strong> 13<br />

<strong>Chicago</strong> has seen several bank clos<strong>in</strong>g <strong>in</strong><br />

the last decade. Three <strong>Black</strong> owned bank<strong>in</strong>g<br />

<strong>in</strong>stitutions have closed s<strong>in</strong>ce 2007, <strong>in</strong>clud<strong>in</strong>g<br />

Seaway Bank (2017); Highland Community<br />

Bank (2015); and Covenant Bank (2013).<br />

Twenty years ago the <strong>Chicago</strong> had ten<br />

black owned banks. There’s a say<strong>in</strong>g that<br />

goes, ‘you won’t miss the well ‘til the water<br />

runs dry.’ That say<strong>in</strong>g still r<strong>in</strong>gs true with the<br />

clos<strong>in</strong>g <strong>of</strong> Seaway Bank and Trust. For five<br />

decades, it was one <strong>of</strong> <strong>Chicago</strong>'s two rema<strong>in</strong><strong>in</strong>g<br />

African-American-owned banks.<br />

Other local black-owned banks—Covenant<br />

Bank on the West Side and Highland Community<br />

Bank on the South Side, for example—<br />

have failed to plug capital holes and failed.<br />

With $101 million <strong>in</strong> assets, Ill<strong>in</strong>ois Service<br />

Federal Sav<strong>in</strong>gs & Loan founded <strong>in</strong> <strong>Chicago</strong><br />

<strong>in</strong> 1934 to serve communities that have historically<br />

been underserved by traditional f<strong>in</strong>ancial<br />

<strong>in</strong>stitutions. It has struggled to stay<br />

afloat, and was fortunate to f<strong>in</strong>d a rescuer.<br />

The failure <strong>of</strong> Ill<strong>in</strong>ois Service would have left<br />

the African American community with no<br />

black owned f<strong>in</strong>ancial <strong>in</strong>stitution due to the<br />

clos<strong>in</strong>g <strong>of</strong> Seaway Bank.<br />

Longtime CEO Norman Williams, who first<br />

was <strong>in</strong>troduced to the elder Nduom <strong>in</strong> 2013 as<br />

he was search<strong>in</strong>g for new bank <strong>in</strong>vestors, has<br />

retired from Ill<strong>in</strong>ois Service. The CEO now is<br />

Robert Klamp, a veteran <strong>Chicago</strong>-area community<br />

banker who's run lenders focus<strong>in</strong>g on<br />

m<strong>in</strong>ority neighborhoods like International<br />

Bank <strong>of</strong> <strong>Chicago</strong> and Pan American Bank.<br />

As Ill<strong>in</strong>ois Service, trac<strong>in</strong>g its Bronzeville<br />

roots to the Great Migration, Earlier this year<br />

the f<strong>in</strong>ancial <strong>in</strong>stitution completed a sale to a<br />

Ghanaian-American family. It has been saved<br />

from failure with a $9 million equity <strong>in</strong>fusion<br />

that will keep it under black ownership.<br />

ISF has made mortgages and small-bus<strong>in</strong>ess<br />

loans for decades founded <strong>in</strong> 1934 by 13<br />

Bronzeville bus<strong>in</strong>ess leaders who saw the<br />

need for a bank to provide credit to African-<br />

American migrants from the South.<br />

The new owners are members <strong>of</strong> the<br />

Nduom family whose patriarch, Paa Kwesi<br />

Nduom, 63, was one <strong>of</strong> the first African-<br />

American partners <strong>of</strong> Deloitte & Touche,<br />

work<strong>in</strong>g <strong>in</strong> Milwaukee, before relocat<strong>in</strong>g to<br />

Ghana <strong>in</strong> West Africa <strong>in</strong> the 1990s. There he<br />

<strong>in</strong>vested <strong>in</strong> hotels and other enterprises, eventually<br />

turn<strong>in</strong>g the family's disparate hold<strong>in</strong>gs<br />

<strong>in</strong>to Groupe Nduom.<br />

Groupe Nduom employs more than 3,000 <strong>in</strong><br />

Africa, Europe and North America and has<br />

<strong>in</strong>vestments <strong>in</strong> <strong>in</strong>dustries <strong>in</strong>clud<strong>in</strong>g f<strong>in</strong>ancial<br />

services, media and enterta<strong>in</strong>ment, sports and<br />

real estate.<br />

His sons, P.W. Chiefy Nduom, manag<strong>in</strong>g<br />

the family's <strong>in</strong>vestment <strong>in</strong> Ill<strong>in</strong>ois Service.<br />

Their father is the bank's chairman.<br />

“We th<strong>in</strong>k (keep<strong>in</strong>g ISF black-owned) is a<br />

“The Chamber<br />

Report”,<br />

BOP members, Dr. Murphy, with Greg Brown president <strong>of</strong><br />

Southside Community Federal Credit Union, Ro Davis and<br />

Rev<strong>in</strong> Fellows have committed to be<strong>in</strong>g a major strategic<br />

partner to strengthen SSCFCU<br />

critical po<strong>in</strong>t,” said Chiefy Nduom, 34, who<br />

serves as vice president and general counsel <strong>of</strong><br />

Groupe Nduom. “We all know race matters <strong>in</strong><br />

America. It's not a colorbl<strong>in</strong>d society. Everyone<br />

is impacted by race <strong>in</strong> one way or another.”<br />

“A concerted effort must be undertaken to<br />

improve the environment for all banks, but<br />

specific steps must be taken to help African-<br />

American Banks. We must look at successful<br />

banks to f<strong>in</strong>d what works.<br />

The Nduom brothers say no big changes are<br />

expected for 12 to 18 months as they look to<br />

cure the lend<strong>in</strong>g ills cited by the regulatory<br />

order.<br />

Ill<strong>in</strong>ois Service Federal<br />

Sav<strong>in</strong>gs & Loan, outgo<strong>in</strong>g<br />

CEO Norman Williams,<br />

left, with new<br />

chairman Paa Kwesi<br />

Nduom.<br />

Treasurer Summers announced<br />

a $20 million<br />

deposit <strong>in</strong>to ISF.<br />

Contribution to <strong>Black</strong> History s<strong>in</strong>ce 1933<br />

The brothers hope soon to upgrade the<br />

bank's technology to allow for more mobile<br />

bank<strong>in</strong>g and make the <strong>in</strong>stitution more attractive<br />

to younger customers.<br />

Seaway was a f<strong>in</strong>ancial oasis, a proud historical<br />

bank<strong>in</strong>g <strong>in</strong>stitution that the south side<br />

community supported. Recently, its operations<br />

permanently shut down.<br />

Seaway was <strong>in</strong>itially taken over by the Ill<strong>in</strong>ois<br />

Department <strong>of</strong> F<strong>in</strong>ancial and Pr<strong>of</strong>essional<br />

Regulation Division <strong>of</strong> Bank<strong>in</strong>g and the<br />

FDIC, the bank’s 10 branches were <strong>of</strong>ficially<br />

owned by the State Bank <strong>of</strong> Texas.<br />

The Federal Deposit <strong>of</strong> Insurer Corporation<br />

(FDIC), noted that <strong>in</strong> September 2016, Seaway<br />

Bank had more than $301 million <strong>in</strong> total<br />

deposits and more than $341 million <strong>in</strong> total<br />

assets. Seaway opened <strong>in</strong> 1965 and it was the<br />

largest <strong>Black</strong>-owned bank <strong>in</strong> the U.S. Accord<strong>in</strong>g<br />

to an ABC news report, it was the last<br />

<strong>Black</strong>-owned bank <strong>in</strong> <strong>Chicago</strong>.<br />

President <strong>of</strong> State Bank <strong>of</strong> Texas, Sushil<br />

Patel, confirmed ownership <strong>of</strong> Seaway Bank.<br />

He said, “This is our third acquisition, so our<br />

team is experienced <strong>in</strong> work<strong>in</strong>g closely with<br />

customers through their transition. Plus, one<br />

<strong>of</strong> our earlier acquisitions was <strong>in</strong> the <strong>Chicago</strong><br />

market, so we already have a presence here.<br />

As a m<strong>in</strong>ority and family-owned bank, we<br />

have similar roots as Seaway. We look forward<br />

to a prosperous future.”<br />

City Treasurer Kirk Summers announced<br />

a $20 million deposit <strong>in</strong>to ISF, Treasurer<br />

Summers made this announcement at ISF’s<br />

ma<strong>in</strong> <strong>of</strong>fice K<strong>in</strong>g Drive and 47th <strong>Street</strong>, just<br />

blocks from where Treasurer Summers was<br />

raised. He was jo<strong>in</strong>ed by community leaders,<br />

small bus<strong>in</strong>ess owners, and elected <strong>of</strong>ficials,<br />

i n c l u d i n g C o n g r e s s m a n B o b b y<br />

Rush, Alderman Roderick Sawyer, and Alderman<br />

Pat Dowell.<br />

In his remarks, Treasurer Summers underscored<br />

the importance <strong>of</strong> keep<strong>in</strong>g local dollars<br />

<strong>in</strong> local communities, driv<strong>in</strong>g a positive cycle<br />

<strong>of</strong> economic development that leads to more<br />

jobs, more amenities, improved services, and<br />

better lives for ourselves and for our children.<br />

However, ISF is not the only <strong>Black</strong> operated<br />

f<strong>in</strong>ancial <strong>in</strong>stitution <strong>in</strong> <strong>Chicago</strong>. On 54th<br />

and Wentworth far north <strong>of</strong> the corner <strong>of</strong><br />

Wash<strong>in</strong>gton Plaza sit Southside Community<br />

Federal Credit Union (SSCFCU).<br />

SSCFCU) is a not-for-pr<strong>of</strong>it, Federally<br />

chartered, low-<strong>in</strong>come designated, community<br />

development credit union CDCU).<br />

SSCFCU serves a membership base <strong>of</strong><br />

2,000 with $3.5 million <strong>in</strong> assets after open<strong>in</strong>g<br />

its doors <strong>in</strong> November, 2003.<br />

SSCFCU was created to economically empower<br />

the community by provid<strong>in</strong>g an alternative<br />

to currency exchanges, payday/predatory<br />

lenders and banks that charge high fees. Greg<br />

Brown president <strong>of</strong> SSCFCU said, “When you<br />

jo<strong>in</strong> the credit union, you become am ember<br />

owner, not just a customer. Your account is an<br />

<strong>in</strong>vestment <strong>in</strong> the community.”<br />

Ro Davis <strong>of</strong> BOP <strong>in</strong>dicated his organization<br />

BOP Project 5000 goal is to strengthen and<br />

build SSCFCU “Our vision must be bigger<br />

than our frustrations! We've already lost Seaway<br />

Bank...we can't afford to lose this one.<br />

BopProject5000 is committed to be<strong>in</strong>g a major<br />

strategic partner to this <strong>in</strong>stitution. Gregg<br />

Brown we appreciate your commitment to our<br />

community.”<br />

Safiyyah Muhammad major contributor<br />

to the story<br />

(Cont<strong>in</strong>ued from page 12)<br />

who hide the ball and refuse to debate the<br />

real downsides <strong>of</strong> overregulation and government<br />

micro-management should be<br />

scrut<strong>in</strong>ized. Our Information Technology<br />

Industry Group keeps our organization &<br />

constituency dialed <strong>in</strong>to the relevant issues<br />

& poised to take advantage <strong>of</strong> the prime<br />

opportunities <strong>in</strong> that space.<br />

We encourage you to learn more about<br />

all 10 <strong>of</strong> our Industry groups & how they<br />

can positively impact you and your bus<strong>in</strong>ess!<br />

The Ill<strong>in</strong>ois <strong>Black</strong> Chamber <strong>of</strong> Commerce<br />

has been <strong>in</strong>vested <strong>in</strong> the future <strong>of</strong><br />

<strong>Black</strong> Enterprises and <strong>Black</strong> communities<br />

for over 20 years & we’re still go<strong>in</strong>g<br />

strong. Grow with us!<br />

Mark your calendars now for the<br />

ILBCC<strong>2018</strong>Convention <strong>in</strong> August & the<br />

21st Annual Central Ill<strong>in</strong>ois <strong>Black</strong> Expo <strong>in</strong><br />

September!<br />

Remember, If you’re not at the table,<br />

then you’re on the menu.<br />

Jo<strong>in</strong> us at the table!<br />

Visit ILBCC.org for more <strong>in</strong>formation.

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