Prison Time Set for Bank Fraud and Money Laundering

KANSAS CITY, Kan. (AP) A Johnson County man has been sentenced to about six years in prison after pleading guilty to federal charges of bank fraud and money laundering.

The U.S. Attorney’s office for Kansas says in a release that Paul L. Hartfield, 56, was also ordered this week to pay about $2.6 million in restitution.

In charges filed against Hartfield in 2010, prosecutors said he owned Hart Investments and Diamond Mortgage and obtained $4.9 million in loans to rehabilitate more than 40 homes in the Kansas City metro area. But he stopped rehabilitating the homes in October 2006 and made false claims to lenders.

He was also accused of recruiting friends and family to buy properties he had claimed to fix, using fraudulent financial information.