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NEWS RELEASE

OFFICE OF THE UNITED STATES ATTORNEY

WESTERN DISTRICT OF MISSOURI


JOHN F. WOOD



Contact Don Ledford, Public Affairs ● (816) 426-4220 ● 400 East Ninth Street, Room 5510 ● Kansas City, MO 64106

www.usdoj.gov/usao/mow/index.html



MAY 17, 2007

FOR IMMEDIATE RELEASE


FORMER SBA MANAGER INDICTED

FOR FALSE STATEMENTS


            SPRINGFIELD, Mo. – John F. Wood, United States Attorney for the Western District of Missouri, announced today that the former Small Business Administration branch manager in the Springfield, Mo., office has been indicted by a federal grand jury for making false statements on a loan application and to the SBA.


             Larry Steven Aduddle, 60, of Springfield, was charged in a two-count indictment returned under seal by a federal grand jury in Springfield on Wednesday, May 16, 2007. That indictment was unsealed and made public today upon Aduddle’s arrest and initial court appearance.


             Count One of the federal indictment alleges that Aduddle made a false statement on a loan application for Amarillo Scottie’s LLC, a frozen custard stand in Amarillo, Texas, at Mid-America Bank and Trust Company in Dixon, Mo., on April 10, 2006. According to the indictment, Aduddle submitted a personal financial statement to the bank in connection with an $80,070 loan application in which he purported to own stock in Metro Polymer Labs, Inc. Aduddle allegedly claimed that the stock had a value of $235,000, when in fact, he knew that the stock was of little or no value.


             Count Two of the federal indictment alleges that Aduddle made a false statement to the Small Business Administration on Feb. 5, 2007. According to the indictment, Aduddle reported that he had no reportable liabilities and that he had no reportable outside positions. In fact, the indictment says, Aduddle had an $80,000 obligation, representing his debt on the SBA-guaranteed loan at Mid-America Bank and Trust Company. In addition, the indictment alleges, Aduddle was the managing member of Amarillo Scottie’s.


            Wood cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.


            This case is being prosecuted by Assistant U.S. Attorney Richard E. Monroe. It was investigated by the Office of Inspector General, U.S. Small Business Administration and the Federal Bureau of Investigation.


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www.usdoj.gov/usao/mow/index.html