Justice Served: Russell Laffitte Sentenced to 7 Years for Financial Crimes Linked to Alex Murdaugh’s Wrongdoing

Russell Laffitte was found guilty of diverting over $2 million from court settlements for his clients.

The Associated Press reports that Russell Laffitte, a former CEO of Palmetto State Bank, will spend seven years behind bars for aiding murderer Alex Murdaugh in stealing more than $2 million from customer lawsuit settlements. (Photo: PEOPLE)

Russell Laffitte will serve seven years in prison

According to the Associated Press, former Palmetto State Bank CEO Russell Laffitte will serve seven years in prison for helping convicted murderer Alex Murdaugh steal over $2 million from client lawsuit settlements.

US released a statement. Laffitte was sentenced to seven years in federal prison after being found guilty of conspiracy to commit wire fraud and bank fraud, as well as wire fraud, bank fraud, and three counts of misusing bank funds in November.

Laffitte, a banker from Hampton County, South Carolina, received his sentence from U.S. District Judge Richard Gergel, who stated that Laffitte was a key player in the scheme that targeted victims, according to the Post and Courier.

According to the prosecution, the banker, who was an officer at Palmetto State Bank, conspired to commit wire fraud and bank fraud with personal injury lawyer Alex Murdaugh, a Palmetto client.

Laffitte, who functioned as the conservator for Murdaugh’s customers who had suffered personal injuries, allegedly made personal loans totaling $990,000 to Murdaugh and $355,000 to himself out of the money the clients’ assets held at Palmetto.

READ ALSO: Ex-Banker Russell Laffitte Sentence To 7 Years Imprisonment For Stealing Millions!

Laffitte misused monies from the Palmetto State Bank

As stated by the U.S. Office, Laffitte was aware that the cash given to Murdaugh was used to settle an overdraft on Murdaugh’s personal account that totaled hundreds of thousands of dollars. Laffitte was also aware that Murdaugh had used money taken from other clients who had suffered personal injury to pay back the debts.

Laffitte misused monies from the Palmetto State Bank (PSB) by diverting more than $284,000 from a line of credit meant for agricultural use to pay back Murdaugh’s remaining loans from the conservatorship.

According to the prosecution, as part of his sentencing, Laffitte will also forfeit $85,854.73 in illegal gains and pay $3.5 million in restitution.

After Laffitte was found guilty, his attorney, U.S. Adair F. Boroughs, claimed in a news release that Laffitte had exploited his position of trust and power by defrauding elderly people in particular. We appreciate the partnership between the FBI, the South Carolina Attorney General’s Office, and the South Carolina Law Enforcement Division in ensuring that he is prosecuted for his crimes, which undermine public confidence in the judicial and financial institutions, PEOPLE reports.

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