September 16, 2013
By Bob Coleman
Editor, Coleman Report
Disparity in bank fraud sentencing is an interesting phenomena to track. We expect heavy sentences to be handed down for the community bankers found guilty of bank fraud in the Norfolk, Virginia, Bank of Commonwealth trial, despite absence of facts that the bankers personally enriched themselves.
Contrast their fate to today’s perps.
Two bank contractor borrowers have pled guilty in their fraud against Mississippi-based Citizens National Bank. The case is another photo-shopped fake invoice scheme for construction draws of fantasy work.
One partner received a ten-day prison sentence for bank fraud where he received $443,540 after submitting dozens of fake invoices to the bank for engineering work he claimed needed to be done on a residential development. Of course, it never was performed.
Today’s fraudster has pled guilty to making false statements to the bank and getting a draw of $181,544 to install a culvert. Turns out the city had already paid the money to the firm for the work.
We don’t know his sentence, but if his $5,000 bond is any indicator, he too, won’t be spending much, if any time, in the Big House.