Wednesday, May 11, 2016

Three plead guilty in $4 million Walnut Ridge bank fraud

Posted By on Wed, May 11, 2016 at 5:17 PM

The U.S. attorney's office says three women have pleaded guilty to fraud in stealing almost $4 million from the First National Bank of Lawrence County in Walnut Ridge.

The pleas came from Brenda Montgomery, 57, of Walnut Ridge, Peggy Sutton, 61, of Biggers, and Cindy Tate, 57, of Walnut Ridge. They'll be sentenced later.

Each defendant is responsible under the plea agreement for $1.317 million in restitution.

The long-time bank employees conspired to steal money from the bank vault, a news release from Chris Thyer's office said.

Tate had advance notice of internal audits and would arrange with Montgomery or Sutton to have cash transferred temporarily to the main vault from other branches of the bank, or from other corresponding banks, so that it would appear to the auditors that the count of cash on hand in the main vault was correct. Once the auditors had completed the count, Tate, Sutton, or Montgomery saw to it that cash which had been temporarily moved to the vault was then returned to the other branches or to the corresponding bank.

In April 2015, officials in management at First National became suspicious of the defendants’ conduct and arranged for a surprise cash count of the vault contents, at which time a shortage became apparent. A forensic audit confirmed that the three defendants had stolen bank funds by materially over representing the amount of cash on hand in the bank by $3,953,025.

The defendants remain free on bond. They face sentences up to 30 years. 

Tags: ,

Favorite

Speaking of Bank Fraud, First National Bank Of Lawrence County

Comments (6)

Showing 1-6 of 6

Add a comment

 
Subscribe to this thread:
Showing 1-6 of 6

Add a comment

More by Max Brantley

  • Friday's open line

    The daily video and an open line.
    • Mar 24, 2017
  • White flag waved on Trumpcare

    House Republicans pulled down the Trumpcare legislation this afternoon and walked out, depriving Democrats of some fun in pointing out all the anti-woman, anti-poor, pro-rich aspects of a bill too generous for hardcare Republicans and too mean for the few remaining moderates.
    • Mar 24, 2017
  • Jones Bar-B-Q of Marianna has a related outpost in Jacksonville

    The legendary Jones Bar-B-Q Diner of Marianna is about to have a kissing cousin — supposedly with the same key recipes — in Jacksonville.
    • Mar 24, 2017
  • More »

Readers also liked…

Most Shared

Visit Arkansas

Forest bathing is the Next Big Thing

Forest bathing is the Next Big Thing

Arkansas is the perfect place to try out this new health trend. Read all about the what, why, where and how here.

Most Recent Comments

  • Re: Friday's open line

    • The House Freedom Caucus, which used to be the Tea Party, "a bloc of 37…

    • on March 25, 2017
  • Re: What's your Big Idea for Arkansas?

    • BE SMART AND BECOME RICH IN LESS THAN 48 hours....It all depends on how fast…

    • on March 25, 2017
  • Re: What's your Big Idea for Arkansas?

    • BE SMART AND BECOME RICH IN LESS THAN 48 hours....It all depends on how fast…

    • on March 25, 2017

Blogroll

 

© 2017 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation