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News and Press Releases

Former President and Controlling Stockholder of
Peoploungers, Inc. Pleads Guilty to Bank Fraud,
Mail fraud and money laundering Charges

FOR IMMEDIATE RELEASE
April 15, 2010

OXFORD, Miss. – William C. Martin, Acting United States Attorney for the Northern District of Mississippi, Thomas McDade, Special Agent in Charge, Federal Deposit Insurance Corporation, Office of Inspector General, Dallas Field Office, Martin Phanco, Inspector in Charge, United States Postal Inspection Service, Atlanta Division, and Special Agent in Charge Michael J. De Palma, Internal Revenue Service Criminal Investigation, New Orleans Field Office, announced that:

James Clifton Green, Jr., of Tupelo, former President and controlling stockholder of Peoploungers, Inc., plead guilty today before United States Chief District Judge Michael P. Mills, in Oxford, Mississippi, to a three-count Information, charging him with bank fraud, mail fraud and money laundering.

Martin Phanco, Postal Inspector in Charge of the Atlanta Division stated, “This investigation was an excellent example of a partnership among federal law enforcement agencies working together to bring down a fraudulent scheme. I fully commend the hard work and countless hours put forth by all of the law enforcement agencies involved, which resulted in bringing this individual to justice.”

The Information alleges that Mr. Green misrepresented his financial position to a number of banks in the North Mississippi area by overvaluing his assets for the purposes of obtaining loans. In addition, he falsely represented that the proceeds of the loans would be used to infuse money into Peoploungers, Inc. The bank fraud and mail fraud counts each carry a sentence of no more than 30 years in prison, no more than 5 years of supervised release and no more than a $1,000,000 fine. The money laundering count carries a sentence of no more than 20 years in prison, no more than 3 years supervised release and no more than a $500,000 fine.

“We are pleased with today's plea,” stated Michael J. DePalma, Special Agent in Charge of Internal Revenue Service Criminal Investigation. “Special Agents of IRS CI are highly skilled financial investigators who will work tirelessly with other federal and state agencies to stop those individuals who are involved with money laundering to benefit themselves to the detriment of other citizens, our country and our government. We will continue to work with the United States Attorney's Office, FDIC, and the Postal Inspection Service to ensure that those engaged in illegal activities are brought to justice.”

This case was investigated by the United States Postal Inspection Service in the Memphis, Tennessee office, IRS Criminal Investigation, in the Oxford, Mississippi office, and the Federal Deposit Insurance Corporation - Office of Inspector General, in the Dallas, Texas office and is being prosecuted by Assistant United States Attorney Paul D. Roberts.

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