Committed Bank Fraud To Get Lower Auto Loan Rate
August 26, 2020
A former vice president of a Harrisburg, Pennsylvania, credit union was sentenced to one day in prison and two years of probation after pleading guilty to committing bank fraud earlier this year. His attorney said his financial career is ruined all for the sake of saving $2,700.
Lehigh Valley Business reports Rene Roy, 51, of Mechanicsburg, was sentenced last week in the United States District Court Middle District of Pennsylvania after signing a plea agreement with U.S. Attorney David Freed.
Roy, then vice president of Belco Community Credit Union, admitted that he submitted applications for an auto loan using falsified documents to get a lower interest rate. Following the discovery, he was terminated from the company in January and the records were turned over to the FBI.
The maximum penalty for bank fraud under federal law is 30 years of imprisonment, a term of supervised release of up to five years and a maximum fine of $1 million.
In a pre-sentencing memorandum filed earlier this month, Roy’s attorney, Herbert Goldstein, asked the court to sentence his client to a short probation and low fine, noting that the crime was out of character for Roy, who was filing for Chapter 13 Bankruptcy at the time.
“These charges have permanently destroyed his outstanding financial services career. He has already spent his entire retirement savings so he and his family may try and stay afloat,” Goldstein wrote in the memorandum. “In truth, these charges stem from a complete lack of judgment and his mental state at the time.”
Goldstein added that at most, Roy would have only saved $2,700 in interest payments over the life of the loan or about $45 a month in interest.
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