53-year-old Richard Pigg pleaded guilty to six counts of bank fraud and three counts of arson committed from May 2011 to December 2016. He was described by the sentencing judge as a "Jekyll and Hyde".
According to court documents and U.S. Attorney Rachel Aud Crowe, Pigg would take advantage of his customers and skim money off of inflated loans. He did this through convincing customers to purchase rental properties on his behalf in Centralia, Murphysboro, West Frankfort and Mount Vernon. He would do this through mortgage loans financed at Community First Bank of the Heartland (CFBH), assuring his customers he would handle securing tenants, collecting rent and maintenance. Then, as the money would dwindle, he would burn the houses and use insurance funds in an attempt to cover up the loans.
In a release, the U.S. Attorney's Office of Southern District of Illinois stated Pigg defrauded more than $600,000 from CFBH and used that money for the investment properties and his own personal expenses, all while concealing this information from the bank.
Bernard Hansen, of the Kansas City Field Division, said the prosecution of these crimes remains a top priority for the United States Attorney.
"The criminal use of fire, whether to conceal crime, intimidate, or defraud others, places lives and property at great risk and endangers those who selflessly respond, day or night to extinguish the flames," Hansen said.
Pigg must serve at least 85% of his sentence, and following imprisonment he will serve three years of supervised release.