Larry Malone, Bank Fraud, Georgia 2014

Bank Fraud Sentence Handed to Former Chief Lending Officer in Georgia

Albany, Georgia - On December 16, 2014, Larry Malone, a 59-year-old resident of Bainbridge, Georgia, was sentenced to serve 48 months in prison and ordered to pay $25,540,896 in restitution to Southwest Georgia Farm Credit and its insurers, following a guilty plea to bank fraud charges.

According to court documents, Malone was employed as the Chief Lending Officer with Southwest Georgia Farm Credit for over 20 years. Between 2001 and 2008, he made fraudulent loans to various borrowers in the Middle District of Georgia and the Northern District of Florida, totaling $25,540,896. Malone received approximately $900,000 in bribes and kickbacks from these borrowers.

Malone was charged with conspiracy to commit bank fraud and accepting bribes and kickbacks by both the United States Attorney for the Middle District of Georgia and the United States Attorney for the Northern District of Florida. Both cases were consolidated in the Middle District of Georgia and heard by the Honorable W. Louis Sands, Senior United States District Judge.

“After the financial crisis we experienced, no one can legitimately question the importance of pursuing people like Mr. Malone, who commit bank fraud,” said United States Attorney Michael J. Moore.

The case was investigated by the Federal Bureau of Investigation and the United States Secret Service. Assistant United States Attorney Jim Crane prosecuted the case.

Malone's sentence is a significant blow to those who seek to exploit the financial system for personal gain. The case serves as a reminder of the importance of holding individuals accountable for their actions and upholding the integrity of our financial institutions.

Source: https://www.justice.gov/usao-mdga/pr/former-chief-lending-officer-sentenced-bank-fraud