Kansas City payday loan businessman sentenced for fraud
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 a 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 was accused of claiming he lost millions of dollars in 2013 and 2014 when he had a gross income of nearly $160,000 in 2013 and more than $213,000 in 2014, federal prosecutors said. He also hid hundreds of thousands of dollars in his wife’s personal bank account to conceal his wealth from creditors and federal authorities, prosecutors said.
Acting U.S. Attorney Teresa Moore said in a statement Wednesday that Kimball “made a mockery” of the bankruptcy system to avoid over $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 a bankruptcy case in 2015 by creditors who said he owned them millions of dollars from investments. A bankruptcy trustee accused Kimball of concealing assets in 2017.