(CBS) Former Bears quarterback Jim McMahon is being investigated by the Federal Deposit Insurance Corp. for bad loans handed out by Broadway Bank, according to a Sun-Times report.

McMahon spent six years as a board member for the now defunct bank that was owned by the family of Alexi Giannoulias, the former Illinois state treasurer. The Super Bowl-winning quarterback is among seven former board members and two former bank executives who are targeted in an FDIC lawsuit. The lawsuit is attempting to recover $104 million lost from 17 bad loans the bank made before regulators shut it down.

“With the advantage of 20-20 hindsight, the FDIC now blames Broadway’s former officers and directors for not anticipating the same unprecedented market forces that also surprised central bankers, national banks, economists, major Wall Street firms and the regulators themselves,” McMahon said in a statement released by his lawyers to the Sun-Times. “I am proud to have served as an outside, independent director for a brief part of the bank’s history. The allegations in the complaint are utterly without merit, and I expect to be fully vindicated.”

McMahon resigned from the bank board in 2008 after the FDIC started to look into the lending practices.

LISTEN: WBBM Newsradio’s Bernie Tafoya reports

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