Connect with us

Hi, what are you looking for?

Plano, Texas News

Two Dallas Brothers Sentenced for Bank Fraud and Money Laundering

Two Dallas brothers, Thomas Hughes Page and Jon Phillip Page, Jr., were sentenced on October 18, 2023, for their involvement in a fraud scheme, announced U.S. Attorney Damien M. Diggs. The sentences were handed down by U.S. District Judge Sean D. Jordan, with Thomas Page receiving 71 months in federal prison and Phillip Page receiving 63 months. Additionally, the defendants were ordered to pay restitution of $3.2 million.

At trial, Thomas Page and Phillip Page were convicted of conspiracy to commit bank fraud and conspiracy to commit money laundering. The prosecution revealed that between 2010 and 2017, the brothers operated a company called Page Capital Group and used it to secure multiple loans from PlainsCapital Bank (PCB). They falsely represented that these loans would be backed by a brokerage account with a value of at least $2 million. However, in reality, neither of the brothers had access to such funds, as the brokerage account was never funded.

To deceive the bank, the Page brothers directed a third individual, Clayton Wertz, to create and submit fraudulent brokerage statements to PCB, indicating a significant account value. Once PCB disbursed the funds, Thomas Page and Phillip Page used the money for various business and personal expenses. They also took deliberate steps to hide their illicit activities, including making occasional payments on the loans. As a result of this fraudulent conduct, PCB loaned Page Capital approximately $3.6 million, ultimately incurring a loss of approximately $3.25 million during the course of the scheme.

U.S. Attorney Damien M. Diggs emphasized the seriousness of bank fraud, stating, "This type of crime can affect the security and soundness of FDIC-insured banks, and we all pay the price when banks lose money due to fraud. Along with the FBI, this office will investigate and prosecute bank fraud and related crimes to protect the financial system and prevent losses to our banking institutions."

FBI Dallas Special Agent in Charge Chad Yarbrough added, "Financial Institution Fraud is not a victimless crime. It hurts lending institutions and negatively impacts borrowers who are seeking genuine loans for their businesses. The defendants used their ill-gotten gains for their personal benefit without regard for the consequences. Today’s sentence demonstrates that the FBI will pursue anyone that attempts to defraud financial institutions, investors, or the public."

The case was investigated by the FBI – Frisco Resident Agency and prosecuted by Assistant U.S. Attorneys in the Plano office.

You May Also Like