June 23, 2014
By Bob Coleman
Editor, Coleman Report
A four-year run of kickbacks ended in 2009 when Michael Dicenzo left Greylock Federal Credit Union.
Four years later, he has been indicted on four counts of loan fraud, four counts of tax fraud and the always damning one count of lying to the feds.
The feds allege Michael exceeded his loan limit of $300,000 to a single borrower “far in excess of what the borrower can reasonably receive or repay.”
For this, Dicenzo received the free use of a home and a BMW.
And $134,000 that he transferred from the borrower’s account into a sole proprietorship checking account.
Sadly, there is more. Dicenzo supervised accounts for two unnamed social and service organizations. The feds say Dicenzo transferred $48,000 from the two accounts to the sole proprietorship checking account.
The four counts of tax fraud arise as the funds deposited in the checking account were omitted from the tax returns.
With the respect to the lying charge, the feds say Discenzo made the following false statements:
1) The loans that he authorized for Businessman 1 were properly collateralized
2) He authorized Businessman’s 1 loans to help small companies stay in business to benefit the community
3) He rented property from Businessman in the amount of $2,000 per month
4) Businessman 1 wrote him checks for work that his wife was doing on Businessman’s newly constructed homes
Discenzo faces the obligatory 30 years in jail and millions of dollars in fines