First Mainer accused of fraudulently obtaining a Paycheck Protection Program loan, intended to help businesses pay employees and other expenses during the early days of the pandemic, will plead guilty to bank fraud charges in Bangor U.S. District Court on Tuesday.
Nathan Reardon, 44, of Skowhegan and Plymouth pleaded not guilty in May 2021 to five counts of bank fraud, three counts of attempted wire fraud, two counts of making false statements to a bank and one count of perjury after being charged by a federal grand jury.
He got a $60,000 PPP loan in 2020 by allegedly falsifying his company’s payroll information. According to court documents, Reardon spent the money on personal items, including a 14-karat yellow gold men’s wedding band, clothing, shaving products, toys, an LED barber lamp and a pair of barber boots. cowboy in caiman skin, according to a court affidavit. Caimans are a species related to alligators found in Central and South America.
In a plea deal with the U.S. attorney’s offices, all charges except bank fraud will be dismissed after Reardon’s sentencing later this year, according to court documents filed Saturday. Reardon waived his right to appeal his conviction to the 1st US Circuit Court of Appeals in Boston if it lasts longer than a year and a day.
Reardon should also be ordered to pay the government approximately $90,000 in restitution for the $60,000 that was approved and the $30,000 that was accidentally transferred to his bank account after a second loan of $60,000 was refused. .
Jury selection in Reardon’s trial on the charges was due to take place on Tuesday. The two-week trial was scheduled to begin on July 11. Reardon had requested that the trial continue until September, but US District Court Judge Lance Walker denied the request on Thursday.
The judge previously denied motions to move the trial from Bangor to Portland and release Reardon after his bail was revoked in April this year. He remained in the Hancock County Jail on Sunday.
The Bangor Daily News published a series of articles earlier this year about Reardon and his struggle with Bangor town officials which led to the town condemning part of the Bangor Mall.
Coverage also focused on Reardon’s business practices and the nature of his sprawling business empire that includes dozens of businesses, a trail of debt to nearly 100 former employees and $100,000 in fines for labor violations. in addition to the federal fraud case.
The cover highlighted Reardon’s background as a property manager who also rented apartments to tenants.
Reardon sued the BDN over its coverage in April, alleging defamation, and he sued another outlet, News Center Maine, late last year. The lawsuit against the TV station was dismissed last month. The lawsuit against the BDN is pending in Penobscot County Superior Court.
In addition to the federal charges, Reardon has been charged in Somerset County with Class B larceny for allegedly refusing to pay $22,000 in bills for renovations on a commercial property to plumbers, carpenters, electricians, construction workers. building and workers.
The maximum penalty in this case is 10 years in state prison and a fine of up to $20,000. He could also be ordered to pay compensation in this case.
Correction: An earlier version of this story misrepresented the status of the lawsuit Nathan Reardon filed against the News Center Maine. This lawsuit was dismissed.
