Granite Bay Man Arrested in $6.8 Million Bank Fraud
Roseville, CA -- Michael T. Sahlbach, 60, of Granite Bay, was recently arrested on six counts of bank and wire fraud, United States Attorney Benjamin B. Wagner announced. A federal grand jury returned a sealed indictment; it was unsealed following his arrest.
According to court documents, Sahlbach owned and operated a debt collection business, National Credit Acceptance, Inc., that purchases pools of consumer debts from other companies at a discount, and then attempts to collect on these debts from the consumer. In order to purchase the debt pools, Sahlbach opened a $25 million line of credit with First Bank to help support his business. The credit agreement required that if NCA wanted to buy a debt pool, it would provide 15 percent of the cost of that pool and 85 percent would be financed by First Bank.
According to the indictment, on several occasions from September to December 2008, Sahlbach represented to First Bank that he had contracted with Lender Exchange to purchase debt pools. As a result of those representations, First Bank wired a total of $6.8 million to Lender Exchange. Sahlbach had not told First Bank that he actually controlled Lender Exchange. In fact, in August 2008, he had registered it with the California Secretary of State using the alias M. Hansen and used the address of a parking garage on Capitol Mall. If First Bank had known Sahlbach controlled Lender Exchange, it would not have extended credit.
The indictment alleges that Sahbach did not use the money to purchase debt pools from Lender Exchange, but transferred the funds to other bank accounts he controlled. He used those funds for business expenses and to provide the 15 percent contribution to receive additional funds from First Bank. Shortly after obtaining the final disbursement from First Bank, Sahlbach defaulted on the entire line of credit with First Bank.
Sahlbach is scheduled to make his initial appearance today at 2:00 p.m. before a United States Magistrate Judge.
This case was the product of an investigation by the Federal Bureau of Investigation. Assistant United States Attorney Jared C. Dolan is prosecuting the case.
If convicted, Sahlbach faces a maximum statutory penalty of 30 years in prison and a $1 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Print This Article
Placer County News HeadlinesDermatomyositis: Woman Battles Weakness, RashIn 1993, and only two weeks after having given birth to her second child, Becki Lanser of Cary, North Carolina, was experiencing severe muscle weakness and fatigue.
Jeep Grand Cherokee: More Refined Than EverA 2014 "refreshening" has given the Grand Cherokee a more modern, sophisticated look that will have admirers giving it the double take.
People & Culture Days in Rocklin October 22- 23Rocklin, CA - Have you ever sampled Persian food? Have you listened to Peruvian music? Can you make a Japanese origami crane? Would you like to get a henna tattoo?
Heartstoppers Haunted House Frightening Ghosts and Ghouls You will be scared out of your wits for a good cause this October as the Heartstoppers Haunted House returns to the former Mine Shaft venue
PCWA Encourages Rapid Watershed ProtectionIn wake of the King Fire, the Placer County Water Agency is encouraging expanded and rapid remediation of heavily burned National Forest Lands to protect water quality of the Rubicon River watershed before winter storms.
Big Bad Voodoo Daddy at Thunder Valley on New Year's EveGuests will have the chance to purchase tickets to Thunder Valley Casino Resort's much anticipated $100k Big Easy New Year's Eve Celebration Main Event- as tickets go on sale Saturday, October 18 for Big Bad Voodoo Daddy.
Ebola Virus: Oral and Facial Surgeons AdvisoryThe California Association of Oral and Maxillofacial Surgeons (CALAOMS) has issued an advisory to all oral and facial surgeons in California that provides important guidance on Ebola virus
$24 Million Makeover for South Tahoe's MontBleu ResortRenovations exceeding $24 million at MontBleu Resort that include the casino floor, convention center and all 437-rooms from the 17th floor and down will begin
Roseville California Crime Brief (10.17.14)Crime brief report for Roseville, California for October 17, 2014
Free Drip Irrigation Workshop in Granite BayDrought Watch: Saturday October 18, San Juan Water District experts will be hosting a free water conservation workshop for its customers and neighbors
2014 Rocklin MobilePack Gets Boost from Wells FargoA three-day, all-volunteer effort for area residents to pack meals for malnourished children around the world has received a big boost from Wells Fargo.
141 Pounds of Weed, Psychedelic Mushrooms in Roseville Police BustBrian Lee Feld Getz, age 36 of Grass Valley and Timothy Conway Reimer, age 33 of Philadelphia were jailed on suspicion of possessing and selling marijuana, and conspiracy.