Kansas City Payday Loan Businessman Convicted of Fraud | Missouri News

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KANSAS CITY, Mo. (AP) – A Kansas City payday loan business owner who tried to hide his financial assets to avoid paying up to $ 7.5 million in debt has been sentenced to one year and one day in federal prison.

Del Hodges Kimball, 54, was sentenced Wednesday after pleading guilty in January to bankruptcy fraud. He was also ordered to pay more than $ 900,000 in restitution, federal prosecutors said.

Kimball has been charged with claiming to have lost millions of dollars in 2013 and 2014, when he had gross income of nearly $ 160,000 in 2013 and over $ 213,000 in 2014, federal prosecutors have said . He also stashed hundreds of thousands of dollars in his wife’s personal bank account to conceal his wealth from creditors and federal authorities, prosecutors said.

Acting US lawyer Teresa Moore said in a statement Wednesday that Kimball “mocked” the bankruptcy system to avoid more than $ 7.5 million in debt while maintaining a luxurious lifestyle.

Kimball and a payday loan company LTS Management, which he co-owned, were forced into bankruptcy in 2015 by creditors who said he possessed them millions of dollars in investments. A bankruptcy trustee accused Kimball of concealing assets in 2017.

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