Roy E. Smith, 33, Greensburg, Westmoreland County, Pennsylvania, was sentenced in federal court in Pittsburgh, Pennsylvania, to a fifteen month period of imprisonment, to be followed by a five year period of supervised release, and ordered to pay restitution in the amount of $290,952.40 on his conviction for bank fraud.
According to information presented to the court, Smith, a minister who was acting on behalf of his church, the Church of Dominion, which was formerly located in McKeesport, Pennsylvania, submitted false financial information and false information about church assets and indebtedness, to five banks in connection with eight loans obtained by him between September 2004 and September 2005. The loans, which totaled $824,000, were obtained by Smith in connection with his acquisition of the church facilities in Greensburg, Pennsylvania to which the Church of Dominion relocated in early 2005. Losses to the banks from several of the fraudulently obtained loans which have defaulted total approximately $290,952.40.
Prior to imposing sentence, United States District Judge Joy Flowers Conti stated that the period of incarceration was necessary to address the seriousness of the offense, and to deter others from similar conduct.
Rachel Dollar, the editor of Mortgage Fraud Blog is an attorney and Certified Mortgage Banker who handles litigation for lending institutions and secondary market investors.