ALEXANDRIA, Virginia — The CEO of what had been one of the nation's largest private mortgage lenders has been sentenced to more than three years in prison for his role in a $3 billion fraud scheme.
The 40-month sentence for 55-year old Paul R. Allen of Oakton, Va., on Tuesday is slightly less than the six-year term sought by federal prosecutors.
Allen was CEO at Florida-based Taylor Bean and Whitaker, whose executives pulled off one of the largest frauds in U.S. history. Among other schemes, the company double- and triple-sold mortgages to other investors, including Alabama-based Colonial Bank.
Allen's lawyer argued for leniency because Allen was CEO in name only and the real mastermind was company chairman Lee Farkas, who will be sentenced next week
No comments:
Post a Comment