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Man imprisoned for $100M surety bond fraud | Crime

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Man imprisoned for $100M surety bond fraud
Man imprisoned for $100M surety bond fraud

ATLANTA -- An Orange Park, Fla., man was sentenced to time in federal prison for operating a multimillion dollar surety bond fraud scheme.

DeKalb County and the city of McDonough received some of Eric Campbell's false bonds for construction projects.

"Mr. Campbell orchestrated a scheme whereby he defrauded numerous individuals, businesses, and state and local government of money based on false representations and promises," Veronica Hyman-Pillot, Special Agent in Charge with IRS Criminal Investigation, said in a release.

From August 2012 to July 2013, Campbell used a number of corporations to sell the bonds. He convinced contractors and government agencies to work with him by saying he had the authority to execute or issue surety bonds on behalf of affiliates of insurance company Chubb. Prosecutors said Campbell embossed the fake bonds with counterfeit seals and forged Chubb officials' signatures on them.

Campbell and his associates issued bonds with a face value of more than $100 million, according to Acting U.S. Attorney John Horn. The scheme delayed several construction projects and resulted in massive financial losses.

Other victims include agencies in Arizona, California, Kentucky and American Somoa; the U.S. Veterans Administration; the Army Corps of Engineers; and military bases across the country.

Campbell, 57, pleaded guilty to his part in the scam in October 2014. A federal judge sentenced himt to four years and nine months in prison, followed by three years of supervised release. Campbell must also pay $1,904,376.67 in restitution.