Michigan Representative Charged For Lying on Bank Loan Application

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After the Courser/Gamrat sex scandal that blazed through the Michigan media for months, the debacle where State senator Virgil Smith shot at his ex-wife’s car, and the business with both the Newaygo County Commissioner and the Bay City Commissioner who faced charges for larceny and destruction of property, Michigan politics seems to have had a rough run. Alas it appears we’re not done yet. State Representative Brian Banks of Harper Woods is also up against a wall, and this one seems to be about falsifying information on a bank loan.

According to court records, Banks was arraigned recently in the Wayne County Circuit Court on two felony counts of Uttering and Publishing, one felony count of Using a False Pretense to Defraud or Cheat, and one misdemeanor count of Making False Statements of Financial Condition.

The story behind these charges began some time ago.  Banks allegedly used fake pay stubs to apply for a loan in 2010. According to court records, Banks applied for a loan from the Detroit Metropolitan Credit Union in June of 2010, but provided the bank with falsified pay stubs that from a law firm where he had never actually worked.

The loan, which totalled $7,500, was allegedly used to pay for a review course that Banks wanted to help prepare him to take in order to pass the Michigan Bar Exam. IHI Consultants in Farmington Hills, which was the law firm that Banks claimed to have worked at, is owned and operated by a long-time friend of Banks’.

During Banks’ recent preliminary examination, the owner testified to the court that Banks had asked her to create a number of falsified pay stubs from her company.  These would make it appear that Banks worked for her company. She complied and make the false pay stubs for him, which allowed Banks to apply for the loan.

Records show that while he was initially denied a loan

The credit union eventually agreed to a loan of $3,000. Later, Detroit Metropolitan Credit Union ended up suing Banks for allegedly stiffing them on the loan. In the end, he agreed to pay 90% of the total amount, which he did in full by 2013.

In addition to the four charges that Banks is facing, Michigan Attorney General Bill Schuette also charged Banks as a habitual offender. The reason for this is because Banks has a checkered history that includes a number of prior criminal convictions. Before his election to office in 2012, Banks was convicted of eight other felonies, including writing bad checks and credit card fraud. If convicted, Banks is facing up to life in prison. Of course it is doubtful that he would get a license to practice law.

Financial crime convictions can make many aspects of daily life very difficult. Difficulty in taking out a loan is only the tip of the iceberg. People with prior felony convictions on their record, specifically for financial crimes, can have a very hard time getting financed to buy a house or a car, and often won’t be able to get a good job. Don’t let this be your story. If you are facing charges for financial crimes, contact the experienced criminal defense attorneys at the Kronzek Firm today. We can help you work through this difficult time, toward a better future. We can be reached 24/7 at 1 866-766-5245.

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