Man sentenced in bank fraud scheme involving Augusta low-income apartments
A former Augusta man has been sentenced to four years in federal prison and ordered to pay a $2,500 fine for bank and bankruptcy fraud connected to his purchase of a Hale Street apartment complex.
Jerome Walter Kiggundu, 38, was convicted in December and now has a Commerce City, Colo. address, according to a news release from U.S. District Court for the Southern District of Georgia.
Kiggundu submitted fraudulent bank statements showing his company Nakaddu LLC had an average monthly operating balance of $100,000, when it was actually around $500, the release said. Kiggundu also misrepresented his net worth was able to obtain a $2.8 million loan, which he used to refinance the 80-unit complex, it said.
Read More: $2.8 million loan leads to federal fraud convictions for Augusta apartment building owner
Also: Federal fraud indictment names Augusta businessman
When the lender began to foreclose on the property, located across from the former Craig-Houghton Elementary School, Kiggundu filed for bankruptcy protection. In doing so he submitted additional fraudulent bank statements and lied under oath about his finances, U.S. Attorney David Estes said in the release.
“Kiggundu’s extensive fraud scheme was motivated purely by personal greed,” Keri Farley, special agent in charge of the Atlanta FBI office, said in the release. “This sentence serves as a warning to others that the FBI will not let such lies go unchecked.”
This article originally appeared on Augusta Chronicle: Augusta bank fraud case: Man sentenced to prison in federal court
