Mom, Son Sentenced To Prison In $14M Binghamton Fraud Case
Two Susquehanna County residents who admitted stealing more than $14 million from a Binghamton credit union have been sentenced to five years in federal prison.
Prosecutors say 47-year-old Laura Conarton of Great Bend was sentenced Thursday morning in United States District Court in Binghamton.
Conarton’s son, 32-year-old Scott Lonzinski of Clifford Township, received the same sentence one day earlier.
Lonzinski and Conarton also were ordered by Judge Thomas McAvoy to make restitution in the amount of $14,108,623.19.
The two last summer admitted they hatched an elaborate scheme to obtain ten loans from the Broome County Teachers Federal Credit Union between July 2009 and February 2011.
Lonzinski and Conarton created phony documents, included bogus bank statements to convince the credit union that certificates of deposit held by Lonzinski had a value at least equal to the amount of the loans they sought.
Prosecutors say Lonzinski had operated a construction business where his mother worked as manager and bookkeeper.
The money they received from the loans was used to finance the construction business and to buy vehicles for the business.
The cash also was used by Lonzinski to buy and remodel a house and to acquire cars for family members.
After the fraud was discovered, BCT Federal Credit Union assets were sold to Visions Federal Credit Union, based in Endicott.
Authorities say bank accounts, property and cars were seized from Lonzinski and Conarton during the investigation. Those seizures netted nearly $6 million in cash and property, which will go toward restitution.