Former CU members & top law enforcement officials face years in prison

first_img continue reading » Credit union members who were once among the top law enforcement officials in Honolulu face years in federal prison after admitting they defrauded credit unions and banks through elaborate schemes to secure loans that funded their extravagant lifestyle.Last week, former Honolulu Police Chief Louis Kealoha, 59, pleaded guilty to bank fraud, and his wife, Katherine Kealoha, 49, a former Honolulu deputy prosecutor pleaded guilty to bank fraud, aggravated identity theft and drug charges.Plea agreement documents show that the couple spent more than $591,000 derived from loans fraudulently obtained from credit unions and banks, stolen funds from a reverse mortgage scam and money that belonged to two children for whom Mrs. Kealoha was the state court appointed trustee and guardian.The Kealohas used these funds to pay for their personal expenses, including a $26,000 induction brunch when Mr. Kealoha was appointed police chief, car payments for a Maserati and Mercedes Benz, concert tickets, restaurants, hotels and a trip to California’s Disneyland, according federal prosecutors. ShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img

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