RSS Feeds

Former Va. banker sentenced in bookkeeping scheme

Wednesday - 8/29/2012, 4:32pm  ET

LYNCHBURG, Va. - A former Lynchburg banker has been sentenced to six months of home confinement and five years of probation for cooking the books to benefit family members.

A federal judge on Wednesday also ordered 57-year-old Dala Nelson Freitas to make restitution of nearly $101,000. Freitas previously pleaded guilty to making false entries in the books of Blue Ridge Federal Credit Union, where she was a branch manager.

According to court papers, Freitas posted checks to the credit union account of Clean Rite Sewer and Drain Cleaning but did not process them because she knew funds were insufficient to cover the checks. Freitas was moonlighting as a bookkeeper for the business, which was owned by her brother-in-law and nephew. They tapped the funds to meet payroll.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Tags: lynchburg