3 ex-bankers in Dallas plead guilty to $1.2M expenses scam

July 23, 2019 GMT

DALLAS (AP) — Prosecutors say a third former bank executive in Texas has pleaded guilty in a $1.2 million expense reimbursement scam involving flights, lavish meals and limousines.

Nancy B. Parker pleaded guilty Tuesday to making false statements to the Federal Home Loan Bank in Dallas. She’s a former chief information officer. The bank’s ex-president, Terence C. Smith, pleaded guilty Friday to the same count.

Prosecutors say both conspired to lie about attending business conferences from 2009 to 2013 when they instead took personal trips to Florida, California and Nevada — then sought reimbursement.

Smith and Parker could get five-year prison terms and face restitution.

An ex-chief financial officer of the bank, Michael Sims, earlier pleaded guilty to misprision of a felony and faces up to three years behind bars.