Smiley’s restitution in bank fraud case set at $4.915 million restitution

by Talk Business & Politics staff ([email protected]) 226 views 

U.S. District Court Judge P.K. Holmes III recently ordered former banker Dennis Smiley to pay $4,914,929 million in restitution to eight banks owed money from loans he acquired over nearly a decade.

The order filed recently in federal court stipulates that the restitution was due immediately following sentencing which occurred Jan. 29. If that is not possible the court granted Smiley 10 years to repay the funds, but it will likely take longer than that. Smiley, now 52, will be age 60 by the time he’s released from federal prison and retirement age of 62 by the time he completes his period of supervised release.

Arvest Bank, Smiley’s former employer, was awarded the lion’s share of the funds at $3.555 million as the bank settled debts with 18 banks who had claims to the same collateral – Smiley’s retirement account which consisted of roughly $500,000 worth of restricted Arvest stock. Smiley also owed Arvest Bank more than $800,000 he borrowed for the purchase of a home and other personal matters, according to records filed with Benton County Circuit Court in August 2014.

Signature Bank of Arkansas is entitled to restitution of $491,491.84 for three personal loans it made to Smiley and renewed several times between 2010 and 2013. Signature was not among the 18 banks who settled Smiley debts in May 2014.

First State Bank of DeQueen, the bank where Smiley’s father Henry D. Smiley Sr. is board chairman, is being repaid $338,012.46 for debt accrued by Smiley who forged his father’s name as a co-borrower to secure funding. This bank was also not among the 18 banks who previously settled Smiley’s debt with Arvest.

Community First Bank of Harrison has been awarded $329,383.87 in mandatory restitution for loans it made to Smiley. Simmons First National Bank is owed $101,202.69 for loans made to Smiley. Other banks in line for payment include: Iberia Bank, $42,503.01; First Security Bank, $37,240; and Today’s Bank, $19,782.32.