Owner of Online Payday Loan Company, Del H. Kimball Pleads Guilty to Bankruptcy Fraud
KANSAS CITY, MO (STL.News) A Mission Hills, Kansas, man pleaded guilty in federal court to a bankruptcy fraud scheme related to his online payday loan company.
Del H. Kimball, 53, waived his right to a grand jury and pleaded guilty before U.S. Chief District Judge Beth Phillips to one count of bankruptcy fraud.
By pleading guilty , Kimball admitted that he engaged in a scheme to defraud the Bankruptcy Court by concealing assets, bank accounts, and claims against third parties, and by making false statements and material omissions regarding his assets and financial transfers to and from third parties.
Three of Kimball’s creditors filed an involuntary bankruptcy petition against Kimball, his partner, and their company, LTS, an online payday loan company, on Aug. 5, 2015. The claims of the three creditors totaled more than $15 million.
The U.S. Bankruptcy Trustee filed a complaint to deny Kimball’s discharge on March 10, 2017, and the Bankruptcy Court conducted a trial on Jan. 11, 2018. After the trial, U.S. Bankruptcy Judge Cynthia Norton ruled that Kimball had transferred property with the intent to hinder, delay, or defraud creditors, made numerous false oaths in connection with this bankruptcy case, and concealed property from the bankruptcy estate.