By Bob Coleman
Editor, Coleman Report
And today’s subject is a true character alleges the FBI. They say he ran his medical supply company out of a 60,000 square foot facility that was bustling with staff in fully furnished offices, racks of inventory and several freight trucks.
Literally living a jet setting lifestyle flying all around the country with his $3 million plane, our perp also owns the Sacramento Capitals, a World Team Tennis franchise.
Well owned. Seems he lost his franchise when he was arrested last month for bank fraud. And GE wasn’t happy they couldn’t find the plane or the loan payments, so they sued last month to get it back.
And those offices? – all a mirage, as investors who sunk at least $7 million in the company are finding out.
But the best con, or saddest con if you happen to be San Jose-based Bridge Bank, is right out of “The Sting.”
The bank wanted to know more about $25 million in receivables that were outstanding with the VA for sales of latex gloves. That would seem to be a lot of gloves, but I digress.
Deepal Wannakuwatte set up a conference call with the bank and the VA. The VA confirmed there were more than 60 invoices outstanding for $25.8 million.
The bank then approved a $4.5 million line of credit.
Unfortunately, there were no such invoices. Seems an employee of Mr. Wannakuwatte acted as the VA rep. Wasn’t a total waste though, he got a $100 gift card and a bottle of wine for his trouble, so says the FBI.
Oh, and that reviewed opinioned financial statement the bank used? The CPA whose name was on the cover, never saw it. Seems Deepal is allegedly good at the Photoshop game also.
Deepal has been in jail since February 21st and he isn’t going anywhere. Noting his international ties, fearing a flight risk and the size of the fraud Mr. Wannakuwatte was denied bail by the judge.