Man Buys Lamborghini with Fraudulent Loan Funds

Allison Tussey —  November 20, 2012 — Leave a comment

Richard B. Gillette, 30, Springfield, Missouri, has been sentenced in federal court for mortgage fraud.

The defendant was sentenced by U.S. District Judge Richard E. Dorr on Thursday, Nov. 15, 2012, to two years in federal prison without parole. The court also ordered Gillette to pay $1,292,256 in restitution.

On May 23, 2012, Gillette pleaded guilty to money laundering, which was related to a mortgage fraud scheme. By pleading guilty, Gillette admitted that he engaged in monetary transactions involving funds that were derived from criminal activity.

According to the indictment, Gillette obtained two loans totaling $1,125,000 from Homecomings Financial to refinance existing loans on his residence located at 2169 North Eagleview Drive, Christian County, Missouri, in May 2006. In the loan applications, Gillette claimed that his monthly income was $35,000; in reality, it was substantially less than that amount.

After the existing lenders with loans secured by Gillette‘s residence were paid, the remaining $282,530 in loan proceeds was distributed to Gillette and deposited in his bank account. According to court documents, those proceeds were used to purchase, among other things, a $142,000 Lamborghini motor vehicle.

David M. Ketchmark, Acting United States Attorney for the Western District of Missouri, announced the sentence.

This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by IRS-Criminal Investigation and the FBI.

Allison Tussey

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