Former Lake Cumberland Marina Owner Sentenced To 50 Months For Bank Fraud
February 28, 2017 / Source: FDIC Office of Inspector General
LEXINGTON, Ky. – A Kentucky man, who operated a marina on Lake Cumberland, has been sentenced to 50 months in federal prison for bank fraud.
Today, Senior U.S. District Judge Joseph M. Hood sentenced John Guzman, 70, of Shelby County, Ky., for nine counts of bank fraud. In addition to his federal prison sentence, Guzman was sentenced to five years of supervised release. Under federal law, Guzman must serve at least 85 percent of his prison sentence.
Guzman was convicted last year, after a one-week trial in Lexington, by a jury who found him guilty of defrauding American Founders Bank of over $4,000,000. According to evidence presented at trial, Guzman bought the Grider Hill Marina, on Lake Cumberland, using money from nine fraudulent bank loans. Guzman submitted false paperwork in his bank loan applications, and claimed that the money would be used to buy boats and homes that did not actually exist. As part of his fraud, he falsified appraisal documents and insurance policies for the nonexistent collateral, and forged signatures of investors and acquaintances, as well as that of his deceased brother.
Carlton S. Shier, IV, Acting United States Attorney for the Eastern District of Kentucky; Amy S. Hess, Special Agent in Charge, FBI Louisville Division; and Joseph Moriarty, Special Agent in Charge, FDIC OIG Chicago Division, jointly made the announcement today. The case was investigated by the Federal Bureau of Investigation and the Federal Deposit Insurance Corporation, Office of Inspector General. Assistant U.S. Attorneys Neeraj Gupta and Ken Taylor prosecuted this case on behalf of the federal government.