LAS VEGAS -- A Henderson man faces a potential 30-year prison sentence and $1 million fine following his bank fraud conviction Wednesday, Nevada's U.S. Attorney Daniel Bogden said.
Brent Edward Lovett, 50, had been accused of making false statements to a federally insured credit union to obtain a $7.5 million commercial real estate loan. Lovett, who is free on a personal recognizance bond, is scheduled to be sentenced on May 29 by Senior U.S. District Judge Roger Hunt.
According to the indictment and evidence presented to the jury during the trial, Lovett devised a scheme in 2006 to defraud Lockheed Federal Credit Union by fraudulently obtaining a commercial real estate loan from which he would skim part of the loan proceeds for himself. Lovett controlled Bay Resorts International, which leased two commercial buildings at 2400 N. Tenaya Way in Las Vegas.
From May to June 2006, Lovett caused Bay Resorts to purchase the buildings for $6 million. Lovett caused Bay Resorts to sell the buildings for $10 million to another company he controlled, Equity Resource, Inc. Lovett caused Equity Resource to apply for a commercial real estate loan with Lockheed to purchase the buildings. In the application and supporting documents, Lovett made false statements and omissions regarding Bay Resorts, Equity Resource, and the sales history of the buildings.
Based on those false statements, Lockheed made a loan to Equity Resource for $7.5 million. Lovett obtained roughly $1.3 million from the proceeds of the sale of the buildings to Equity Resource. He then allowed the buildings to go into foreclosure and kept the balance of the proceeds for himself.
The case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Sarah Griswold and Brian Pugh.
