I think nothing is wrong in disclosing account details for taking loan and no need of any escrow just for checking unless he don't trust you to hold the account then OK. If he want to sell then he shouldn't disclose account details for account safety reason. If want a loan then he has to disclose his collaterals here.
You mean to say he don't have any intention of paying back this loan is it?
I think you should read the posts clearly as long as he can payback the loan no one will give negative feedback. This will happen only if he don't pay back the loan. If you are supporting this means supporting for loan defaulters.