Bart Reagor convicted of making false statement to financial institution, report says

Bart Reagor, co-director of the Reagor Dykes Auto group in Texas which filed for bankruptcy in 2018 amid charges of widespread floor plan fraud, was convicted by a federal jury on Friday of a false statement to a financial institution, according to local media reports.

It was one of three counts Reagor faced in the trial, which began earlier this week.

Reagor was indicted by a federal grand jury last spring on two counts of fraud at a financial institution and one of making false statements to an FDIC-insured financial institution.

A 12-person jury, which began deliberating on Thursday, found him guilty on Friday afternoon solely of making a false statement to a financial institution, but not guilty of the financial institution’s fraud charges, the Lubbock Avalanche-Journal reported. He faces up to 30 years in prison.

Reagor was accused of embezzling more than $ 1.7 million from a $ 10 million commercial mortgage from the International Bank of Commerce into his personal checking account, which was prohibited by the mortgage regulations.

Reagor’s automotive group in Lubbock, Texas imploded in 2018 after Ford Credit and various lenders sued it for floor plan fraud. Ford Credit specifically said that Reagor Dykes, who filed for Chapter 11 the day after the first stage, offered more than 1,100 cars without repaying $ 41 million to finance their acquisition.

In a separate authorized petition associated with the group’s operations, 15 Reagor Dykes employees have pleaded guilty to numerous fraud charges and are awaiting conviction, along with Shane Smith, the group’s chief financial officer, who allegedly admitted to orchestrating a plan fraud. ‘floor and control ploys. on the supplier group. Smith pleaded guilty to conspiracy to commit wire fraud in June 2019. He is awaiting conviction.

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