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Developers Plead Guilty To Bank Fraud

Posted On January 23, 2014

By Mike Perleberg

dearborn-superior-court-bench-gavel-01312012-small.jpg(Cincinnati, Oh.) – Guilty pleas have been made for a 2007 bank fraud case involving a Dearborn County subdivision.

Dwayne Means, 46, of Cincinnati, and Thomas Reusch, 60, of Florence, have each pleaded guilty in U.S. District Court to charges of Conspiracy to Commit Bank Fraud.

According to court documents, Means and Reusch formed TBS Development LLC and applied for a loan to develop a lot in the subdivision. The price of the lot was $1,200,000.

Reusch and Means convinced the seller to artificially increase the sale price and TBS obtained a $2,170,000 loan from Central Bank. The men did not disclose to the bank that the additional funds included three years’ worth of pre-payment of rent for Gimmies Restaurant at Sugar Ridge Golf Course. The extra loan amount was used for payments to others and themselves, prosecutors said.

TBS submitted false invoices to Central Bank purportedly showing expenditures on development of the lot. The defendants fraudulently obtained $558,446.81 in loan proceeds.

Reusch’s sentencing is scheduled for April 29, while Means will learn his sentence April 30. Both men face up to 30 years in prison and a $1 million fine.

 

1 comments
JimElwood
JimElwood

It's not the first time that people have committed fraud when it comes to the Sugar Ridge Golf course and the houses around it.  Maybe this time it will end.