A Florida man has pleaded guilty to an indictment charging him with 13 counts related to almost $20 million in fraud that he perpetrated while on federal pretrial release.
Nikesh Ajay Patel, 38, formerly of Windermere, has pleaded guilty to one count of conspiracy to commit wire fraud, three counts of wire fraud, one count of conspiracy to commit money laundering, and eight counts of money laundering.
He faces a maximum penalty of 30 years in federal prison for each conspiracy and wire fraud count and up to 20 years imprisonment for each money laundering count. His sentencing date has not yet been scheduled.
In the news :Tampa Man Sentenced In IRS Phone Scam, Laundering Nearly $250K
According to court documents, Patel, a Central Florida resident, was charged in 2014 by the U.S. Attorney’s Office in the Northern District of Illinois for a $179 million fraud scheme. He was arrested and released on bond.
For the next several years, Patel claimed that he was cooperating with authorities and using his business skills to get funds to repay some of what he owed. In fact, Patel had devised a new scheme that netted him almost $20 million.
Patel’s new fraud scheme involved three parts.
First, Patel fabricated fraudulent loan documents that falsely represented that a Miami bank had authorized loans to convert hotels in rural areas into assisted living facilities.
Although the bank in Miami exists, it had never made any of the loans. The person who was listed as signing the loans (“Ron Elias”) was a fictitious identity used by Patel to perpetrate his conspiracy and scheme.
In the news: CNN Reporter Calls Trump “Sideshow” Following Fiery CPAC Speech
Second, Patel applied to the United States Department of Agriculture (USDA) to guarantee the fake loans pursuant to its Business and Industry Guaranteed Loan Program.
Third, after the USDA agreed to guarantee the fake loans, Patel sold the guaranteed portion of the fake loans to the Federal Agricultural Mortgage Corporation, also known as Farmer Mac. Patel executed the scheme on three occasions, receiving almost $20 million in proceeds.
Patel used some of the funds from that scheme to pay some of his restitution, but he was saving much to flee the United States.
Patel’s sentencing in the Northern District of Illinois was set for January 9, 2018. Three days before that, he was arrested at the airport in Kissimmee.
Patel had chartered a flight to Ecuador, where he intended to request political asylum and live off the proceeds he had obtained from his new scheme.
Instead, Patel’s bond was revoked, and the U.S. Marshals Service transported him to the Northern District of Illinois. On March 6, 2018, Patel was sentenced to 25 years in federal prison for his case in the Northern District of Illinois.
Android Users, Click Here To Download The Free Press App And Never Miss A Story. Follow Us On Facebook Here Or Twitter Here. Signup for our free newsletter by clicking here.