Mississippi man admits to defrauding banks, using $3M he pocketed to buy 20 luxury cars
Published 10:29 pm Saturday, March 19, 2022
A Mississippi man admitted to bank fraud and money laundering charges in federal court last week involving defrauding lenders as he purchased an antebellum house, hotels and other properties in the state.
Ryan P. Mullen, 41, of Jayess, Mississippi, pleaded guilty on Wednesday to one count of conspiracy to commit bank fraud and one count of money laundering before U.S. District Court Judge Jane Triche Milazzo, U.S. Attorney Duane A. Evans’ office reported.
As charged in the now unsealed indictment, Mullen and a co-conspirator, Duane Dufrene, utilized fictitious entities, falsified tax returns, fraudulent financial statements and fraudulent appraisals to orchestrate their scheme to defraud the lenders for the purchases of a residence in Jayess, Mississippi, (State Bank and Trust), The Briars bed and breakfast in Natchez, Mississippi, (Keesler Federal Credit Union) and two other Natchez hotels (Red Oak Capital Group, LLC).
The sale of the Jayess residence was premised on false financial information provided by Dufrene to Mullen, who then gave it to State Bank and Trust.
The sales of The Briars and the two hotels were not only premised upon false information prepared by Dufrene and given to the financial institutions by Mullen but also on inflated appraisals based upon side sales agreements between Mullen and Dufrene.
After the sales of the bed and breakfast and hotel properties, Mullen paid Dufrene the sum of $90,000. Mullen pocketed over $3 million from the overvalued loans and he used the proceeds to buy at least 20 high-end luxury cars, a number of which have been seized by the United States.
Sentencing for Mullen is set for July 13, 2022.
At that time, he faces a maximum sentence of up to 30 years as to the bank fraud conspiracy, and a maximum sentence of up to ten years on the money laundering conspiracy. After imprisonment, the defendant faces up to five years of supervised release and a $1,000,000 fine on the bank fraud count, and up to three years of supervised release, and a $250,000 fine on the money laundering count. Each count also has a mandatory special assessment fee of $100.
U.S. Attorney Evans commended the special agents of the Federal Bureau of Investigation and IRS-Criminal Investigation for their handling of the matter. The case is being prosecuted by Assistant United States Attorneys Edward J. Rivera and Andre Lagarde.