April 13, 2024

Maryland Heights Residents

Crazy About Home & Real Estate

E. Ky. real estate agent charged with fraud, money laundering

4 min read
E. Ky. real estate agent charged with fraud, money laundering

An Eastern Kentucky real estate agent is accused of fraud and money laundering, according to federal court records. (Getty Images)

An Jap Kentucky genuine estate agent is accused of fraud and money laundering, in accordance to federal courtroom documents. (Getty Photographs)

A Morgan County real estate agent has been federally indicted on expenses of fraud and funds laundering immediately after he bought nearly $170,000 in financial institution financial loans below false pretenses so that he could pay back debts to other people today and address shortfalls in business enterprise accounts, in accordance to court documents.

A federal grand jury alleges that Richard Rednour II committed fraud and laundering immediately after taking on far more than $1 million in personal debt and working with illegally-received loans to check out to go over expenses.

Rednour is accused of collaborating in schemes to get $169,357 from Very first National Lender by placing phony reasoning and false economic details on mortgage apps, in accordance to court docket files.

Rednour was a true estate agent who brokered actual estate transactions and done other actual estate administration and routine maintenance solutions at the moments of the incidents, according to courtroom paperwork.

He held possession shares in and managed numerous business entities, including Rednour and Associates Inc., The Appalachian Team, and the New Leaf Group, all of which experienced diverse accounts Rednour held by means of Whitaker Lender, in accordance to courtroom documents.

Rednour accrued massive parts of the personal debt through land buys and loans from non-public lenders, according to court docket paperwork. He also took revenue from an escrow account and later made use of cash from a financial loan to fill in the shortfall on the account.

In March 2014, Rednour agreed to invest in 63 acres of land in Morgan County for $1 million, spending a lot more than $22,000 at the time of closing and additional than $977,000 in remaining expenditures in regular monthly payments, in accordance to courtroom documents.

The month-to-month payments ended up set to start years soon after the contract was signed. Rednour also agreed to spend taxes, assessments and other charges relevant to the land he’d bought, according to court docket paperwork.

Decades afterwards, in 2018 and 2019, Rednour was continue to in possession of the land and owed a lot more than $900,000 to individuals he’d bought it from, according to the indictment.

Indictment: Authentic estate broker lied in bank loan programs to go over debts

Right after incurring money owed, Rednour received two loans from the Initially Countrywide Financial institution of Grayson that totaled about $169,000. A person personal loan was applied for in 2018 for close to $120,000 in his and his spouse’s name, according to the indictment.

He reported the objective of the loan was to pay credit history card credit card debt and functioning bills stemming from a agreement among his small business and the Kentucky Housing Company, according to court docket information.

A further personal loan was requested an permitted in 2019 for about $49,000, in accordance to courtroom records. The financial loan was asked for in the name of New Leaf Group, and Rednour stated the bank loan was a income out refinance for “operating capital.”

In aid of the application, court docket documents point out Rednour submitted a individual economic statement that claimed ownership of a farm positioned inside the tracts of land that he had previously procured.

Rednour borrowed income from private loan companies that he did not disclose on the bank loan applications, in accordance to courtroom paperwork. A individual monetary statement beneath-described and omitted the hundreds of hundreds of dollars owed by Rednour to other personal loan providers, according to court paperwork.

Court docket files condition that by accomplishing this, Rednour knowingly tried to execute a plan by publishing false facts to the bank.

True estate agent accused of utilizing financial loans to go over escrow deficiency

Rednour is accused of transferring funds from a few distinctive Whitaker Lender accounts in initiatives to conceal loans as the source of dollars he was utilizing to repay what he owed in an escrow account for specific true estate transactions, in accordance to court information.

Rednour had beforehand accepted payments from another person who was purchasing a assets in Stanton and place the individual’s payments in escrow to be held for the completion of the transaction. But Rednour moved the dollars out of the account and expended it on other transactions, in accordance to court docket documents. The account was then limited of the cash it needed for the authentic estate sale.

Rednour allegedly made use of cash from a lender personal loan to include the scarcity, and allegedly did so by transferring income from 3 various Whitaker Lender accounts in attempts to conceal loans as the resource of dollars he was employing to repay what he owed in the account, according to court docket data.

One particular occasion outlined in court records describes Rednour concealing and disguised the character, locale, resource, possession and supply of the proceeds of a $23,000 transfer from just one Whitaker Financial institution account to the escrow account on Jan. 2, 2019.

Rednour faces up to 60 years in jail for all five prices, and fines up to $1,750,000. He could also have a whole of up to 11 several years of supervised release.

Rednour is scheduled to appear in federal court docket in Lexington on Oct. 11, according to court docket data.

Taylor Six is the legal justice reporter at the Herald-Chief. She was born and raised in Lexington attending Lafayette Large University. She graduated from Eastern Kentucky College in 2018 with a degree in journalism. She formerly worked as the govt reporter for the Richmond Sign up.

Copyright © marylandheightsresidents.com All rights reserved. | Newsphere by AF themes.