Chicago’s ShoreBank Corp. filed for Chapter 11 bankruptcy earlier this month.  The bank is a holding company that also has locations in Detroit and and Cleveland.

In an agreement with the Federal Deposit Insurance Corp., ShoreBank was required to increase their capital by a certain amount and within a certain time frame.  In August 2010, when the bank did not meet this requirement, it was forced to close and sold its assets to Urban Partnership Bank.

Now, the company seeks bankruptcy protection, listing $19.2 million in assets and $63.5 million in debts.  ”Many of the bank’s lending neighborhoods in Chicago, Cleveland and Detroit experienced and continue to experience some of the nation’s highest unemployment rates.  Record levels of foreclosures have devastated many of these neighborhoods and real estate values have dropped significantly,” said ShoreBank CEO George Surgeon.

If you or someone you know is struggling financially and considering filing for bankruptcy, contact the Chicagoland bankruptcy lawyers of the Law Offices of Stuart B. Handelman, P.C. at 312-360-0500 to learn more about your options.