Destrehan Man Pleads Guilty to $3M Bank Fraud Scheme

New Orleans – The grimy streets of New Orleans echo with the news that Duane A. DUFRENE, 54, from Destrehan, Louisiana, has pleaded guilty to conspiracy to commit bank fraud and money laundering before U.S. District Court Judge Jane Triche Milazzo.

The charges come as a result of DUFRENE’s alleged role in a sophisticated scheme that defrauded financial institutions out of millions of dollars. Together with his co-conspirator, Ryan Mullen, Dufrene is accused of using fictitious entities, falsified tax returns, fraudulent financial statements, and inflated appraisals to secure loans for high-value property purchases.

The duo targeted a residence in Jayess, MS, The Briars bed and breakfast in Natchez, MS, and two other hotels in the area. According to the unsealed indictment, Mullen pocketed over $3 million from the fraudulent transactions, using the proceeds to purchase at least 20 luxury cars, some of which have been seized by federal authorities.

After DUFRENE’s scheme unraveled, he was paid $90,000 by Mullen. The magnitude of the fraud has left a trail of destruction in its wake, with the financial institutions involved now facing significant losses.

Sentencing for Duane A. Dufrene is scheduled for February 23, 2022, where he faces up to thirty years in prison for the bank fraud conspiracy and ten years for the money laundering conspiracy. Upon release, he could be on supervised release for up to five years, with fines totaling over $1 million.

U.S. Attorney Duane A. Evans has commended the efforts of the FBI and IRS-Criminal Investigation in bringing this case to a close. Assistant United States Attorneys Edward J. Rivera and Andre Lagarde are leading the prosecution.