Rigby Man Sentenced for Bankruptcy Fraud

POCATELLO – Kim Thompson, 49, of Rigby, Idaho, was sentenced today to three years of probation, including six months of home confinement for bankruptcy fraud, U.S. Attorney Wendy J. Olson announced.  Chief U.S. District Judge B. Lynn Winmill also ordered Thompson to pay a fine of $3,000.  Thompson pleaded guilty on February 10, 2016.

According to the plea agreement, on October 14, 2010, Thompson filed bankruptcy in the United States Bankruptcy Court for the District of Idaho.  As part of those proceedings, Thompson testified under oath at the meeting of creditors that he had no aircraft or accessories.  Thompson subsequently admitted that he had purchased a Piper Arrow aircraft in 2009.  He admitted that he lied under oath about his ownership of the plane and stated that he never transferred the registration or ownership documents into his name in order to conceal ownership of the airplane from the bankruptcy trustee.  He further stated that he hoped to use the plane in a business after completion of the bankruptcy and was afraid he would lose the plane if he disclosed it to the trustee.         

The case was investigated by the Internal Revenue Service, Criminal Investigations (IRS-CI).