Kentucky farmer charged with falsifying info for a loan
A Nicholas County, Ky., farmer has been federally charged after he allegedly sold cattle and equipment that he had pledged to use as collateral for a loan, according to court records.
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A Central Kentucky farmer accused of selling cattle and equipment which he had pledged as collateral on a loan has been indicted in federal court.
A grand jury charged Mark D. Easley with making false statements in a loan application and disposing of the collateral with the intent to defraud the lending institution, Farm Credit Mid-America.
The indictment did not list the value of the cattle and equipment, but in a separate state lawsuit, Farm Credit Mid-America said that at the time of an October 2019 appraisal, Easley, who farmed in Nicholas County, had an estimated 364 head of cattle valued at $406,793.
The lender alleged that Easley had sold the livestock and equipment and not fully repaid the loan.
The federal indictment said Easley made false statements between Oct. 15, 2019, and Nov. 20, 2019, to obtain a $215,000 line of credit. The indicment alleged he disposed of the property between Oct. 15, 2019 and Dec. 1, 2020.
Farm Credit Mid-America sued Easley in state court in September 2020.
An attorney appointed to represent Easley in the state lawsuit, Kenneth Baker, said Easley rejoined the U.S. Army to make money.
Easley “adamantly denied he had misappropriated any funds” and said any actions he took were an effort to return his farm to profitability, Baker said in a January 2023 court document.
“Due to inopportune market fluctuations, and other circumstances beyond Defendant’s control, that never occurred,” Baker wrote.
A judge ruled in favor of Farm Credit in February 2023, awarding the lender a total of $190,255.
In the federal criminal case, the charge of making false statements to get a loan is punishable by up to 30 years in prison.
