2 Former Execs Admit Swindling Dallas Bank Out of $1.2M for Lavish Vacations

Midway through their trial, two former Dallas bank executives have admitted their roles in a $1.2 million reimbursement scam to pay for lavish vacations.Terence Carlyle Smith, 62, and Nancy B. Parker, 66, each pleaded guilty to one count of conspiracy to make false statements to a Federal Home Loan Bank. Smith, the former president of the bank's Dallas branch, entered his plea Friday; Parker, the former chief information officer, did so Tuesday. The government-sponsored bank supports mortgage lending and helps provide credit and financial services to families and businesses.Between 2009 to 2013, the pair submitted dozens of false expense reports, saying they had been at professional conferences, authorities said. Instead, they'd spent $780,000 on more than 30 trips to Florida, California and Nevada, buying first-class plane tickets, luxury car rides, hotel rooms, concert tickets, expensive liquor and pricey meals. They took an additional $450,000 from the bank in unused vacation time reimbursements.Smith and Parker each face up to five years in prison and must pay restitution. In addition, Smith will pay $4.2 million to cover attorneys' fees and Parker will pay nearly $230,000.Another former bank executive indicted in the case, Michael Sims, pleaded guilty to misprision of a felony in June. He faces up to three years in prison.  Continue reading...

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