Mansfield Businessman Admits Widespread Fraud

The Times reports that a Mansfield businessman who developed and managed hundreds of apartment complexes throughout Louisiana and the rest of the South admitted to bilking the government out of millions of dollars. Riemer Calhoun, Jr., a 66-year-old millionaire, plead guilty to two counts of wire fraud and to one count of conspiracy to commit equity skimming. His agreement requires him to pay a $1 million dollar fine and to serve a possible 10-year prison sentence.

Calhoun used two different schemes to defraud government agencies and various investors throughout the country of $2.5 million, Flanagan said. Some of those investors also stand to lose money if the Internal Revenue Service disallows tax credits they received through Calhoun's fraudulent business practices.

Posted by AJR at March 27, 2003 10:30 AM