A previous Main Line investment banker referred to as “Godfather of payday lending” for preying on low-income borrowers ended up being sentenced Friday to 14 years in federal jail and stripped of over $64 million in assets, reports philly.com.

“In this industry, to construct a book that is big you must run afoul regarding the regulators” -Charles M. Hallinan

Attorneys for 77-year-old Charles M. Hallinan argued that the jail term may as well be a “death sentence” offered their age and decreasing wellness, nonetheless District Judge Eduardo Robreno provided no quarter him of 17 counts, including racketeering, international money laundering and fraud as he rendered his verdict after a jury convicted.

“It will be a miscarriage of justice to impose a phrase that could perhaps perhaps not mirror the seriousness of the situation,” Robreno stated. “The phrase right right right here should deliver a message that unlawful conduct like this will maybe not spend.”

In most, government attorneys estimate, Hallinan’s lots of businesses made $492 million off an approximated 1.4 million borrowers that are low-income 2007 and 2013, the time included in the indictment.

Robreno’s forfeiture purchase will remove Hallinan of several of this fruits of the https://cashnetusaapplynow.com/payday-loans-ok/atoka/ company, including their $1.8 million Villanova mansion, numerous bank reports, and a tiny fleet of luxury automobiles, including a $142,000 2014 Bentley Flying Spur. In addition, the judge ordered Hallinan to cover a split $2.5 million fine. –philly.com

Whenever offered the chance to deal with the court before his phrase had been handed down, Hallinan stayed quiet.

Hallinan’s situation calls into concern the legality of company strategies engaged in by predatory loan providers over the country – such as for example Mariner Finance, a subsidiary of previous Treasury Secretary Tim Geithner‘s personal equity company Warburg Pincus. (more…)