It's not clear whether Dwelling House Savings and Loan will raise enough reserve capital by tomorrow's deadline. But founder Robert R. Lavelle says it might not matter. He says he's optimistic that banking regulators will allow Dwelling House to continue operating when they see the progress its made in recovering the funds, as well as correcting a vulnerability that allowed cyberthieves to steal $3 million.
The problem was uncovered during an audit at the end of last year. Lavelle says it should have been discovered earlier. About $1 million has been recovered from financial institutions that were used to commit the fraud. Federal banking regulators want Dwelling House to recover at least another $1 million by tomorrow, and Lavelle says they've been making progress.
Lavelle says it's in no one's interest to shut Dwelling House down. As Pittsburgh's oldest minority lender, and one that serves low-income customers, he says it plays an important role in the community.