KPLC 7 News, Lake Charles, LouisianaSouthern Funding owner faces federal indictments

Southern Funding owner faces federal indictments

Associated Press - July 31, 2009 7:24 AM ET

ALEXANDRIA, La. (AP) - The owner of Southern Funding Mortgage, which closed in April, appeared in federal court in Alexandria to face charges of carrying out a scheme that defrauded Sabine State Bank of more than half a million dollars.

William Earl Nichols of Alexandria was indicted on charges of bank fraud and conspiracy to commit bank fraud.

Nichols appeared before U.S. Magistrate Judge James Kirk Thursday. Kirk ordered that Nichols remain in the custody of U.S. Marshals until a detention hearing on Tuesday in federal court in Shreveport. Nichols also will enter a plea that day.

Sabine State Bank claims that a number of the loan packages provided by Nichols and Southern Funding contained promissory notes with forged signatures of the borrowers and the notary.

Information from: Alexandria Daily Town Talk, http://www.thetowntalk.com

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