Alleged Helicopter Business Owner Convicted at Trial for Making False Statements to Secure Bank Loan and Credit Card

BIRMINGHAM, Ala. – A Talladega man has been convicted of lying to the FBI and of making false statements to a financial institution to secure a bank loan and credit card for his helicopter business, announced U.S. Attorney Phillip W. Williams Jr. The jury returned a guilty verdict against Bermun D. McGhee, 46, after 3 days of testimony before Chief U.S. District Judge Madeline H. Haikala. McGhee was convicted of making a false statement to a federally insured institution, bank fraud, money laundering, and making a false statement to the FBI. “Loan fraud is one of the many sources of illegal activity that has received new emphasis under the Trump Administration’s Task Force to Eliminate Fraud and the newly created National Fraud Enforcement Division of the Department of Justice,” said U.S. Attorney Williams. “All of the tools are in place, and have created a whole of government approach to combatting fraud. The conviction of Bermun McGhee is the latest example of the great work of our Assistant U.S. Attorneys and our federal partners. To the fraudsters: we will find you, we will bring you to justice, and we will do all that we can to claw back illicit and fraudulently obtained funds.” “The jury found that not only did the defendant lie to the bank, but he tried to cover it up by lying to the FBI,” said Assistant U.S. Attorney Ryan Rummage. “Prosecuting fraud is a top priority of this office. We will continue to work closely with our law enforcement partners to ensure that those who defraud our financial institutions are identified, prosecuted and brought to justice.” “This verdict reflects the jury’s careful consideration of the evidence and underscores our continued commitment to protecting the integrity of the financial system. The FBI’s investigation revealed a deliberate scheme designed to deceive financial institutions and misuse federally insured funds, and this outcome demonstrates our dedication to pursuing those who engage in fraud and holding them accountable,” said David R. Fitzgibbons, Special Agent in Charge of the FBI Birmingham Field Office. “Fraud is a high FBI priority, and with our partners, we will aggressively pursue those who threaten our financial institutions. Our commitment will not waver.” According to evidence presented at trial, McGhee applied for a $2.3 million loan to purchase helicopters. In support of his application, McGhee submitted a Personal Financial Statement in which he falsely represented that he owned assets exceeding $7.6 million, including more than $900,000 in specific banks, hundreds of thousands of dollars in stocks, and $1.5 million in an insurance policy’s cash surrender value. McGhee also submitted false tax returns in support of his application. The bank ultimately decided not to offer McGhee a loan to buy helicopters but did offer a purchase credit card for his business, using the same financial information he had previously provided. McGhee signed the purchase credit card application form, agreeing that his representations were accurate, and then ran up a balance exceeding $550,000. McGhee was able to exceed the credit limit by making more than fifty payments on the account that were subsequently reversed due to insufficient funds or because the account used to make the payment was fake. Finally, while McGhee was being interviewed by an FBI agent, he falsely stated that he could pay the bank back because he possessed $1.5 to $2 million in a retirement account at Charles Schwab. Per evidence at trial, when McGhee made this statement, he had a retirement account with Charles Schwab that had less than $1,600 in it. The FBI investigated the case. Assistant U.S. Ryan S. Rummage and Brett A. Janich are prosecuting the case.