Collierville Man Sentenced for Defrauding Loan Companies of $121,000
Memphis, TN – A Collierville man has been sentenced for executing a scheme that defrauded two loan companies of approximately $121,000. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.
According to information presented in court, Preston E. Byrd, 45, of Collierville, Tennessee, was a real estate developer. Byrd owned multiple businesses, including Horizon Financial Group; Eagles Landing Development; Affordable Rental Housing of Shelby; and Y-Politic.
Between March and May 2014, Byrd fraudulently applied for business loans with two loan companies, Rapid Advance and Windset Capital. He made false statements and submitted false documents to the two companies. Following receipt of the loan proceeds, Byrd engaged in multiple transactions with the fraudulently obtained money.
When Rapid Advance and Windset Capital requested to visit and physically inspect the location of Byrd’s establishments, he had another individual obtain office space for him to use temporarily. Byrd falsely represented the rented space as the headquarters for his establishments.
In March 2016, a federal jury convicted Byrd of three counts of wire fraud and three counts of money laundering.
On Thursday, June 16, 2016, Chief U.S. District Judge Jon P. McCalla sentenced Byrd to 42 months in federal prison. Byrd was also ordered to pay restitution in the amount of $96,237.14, and to forfeit $166,245.14.
This case was investigated by the U.S. Secret Service Economic Crimes Task Force.
Assistant U.S. Attorney Carroll L. Andre III prosecuted this case on the government’s behalf.