Hendersonville business owner sentenced to nearly 50 years in prison for bank, wire fraud

HENDERSONVILLE, Tenn. (WSMV) – A Hendersonville business owner was sentenced to nearly 50 years in prison and to pay more than $1.1 million in restitution for crimes related to wire and bank fraud along with tax charges.

The Department of Justice announced 56-year-old Scotty Thomas Lumley was sentenced to 47 years in prison on Friday. Previously, Lumley pled guilty to federal wire fraud and money laundering charges in 2015.

The DOJ explained the charges he was sentenced for on Friday are based on more federal crimes that he committed between 2015 and 2021. “For example, beginning shortly after he was sentenced in 2015, Lumley kept taxes he withheld from his employees’ paychecks, rather than paying those funds over to the IRS,” the DOJ said.

Court documents show Lumley had told the IRS that the only vehicle he owned was a GMC 3500, which had a negative value in 2017. However, he also owned a 2012 Ferrari 458 Spider which he sold the following year for $187,000.

“In 2017 and 2018, Lumley also obtained a series of loans in connection with commercial real estate-related businesses he owned. To obtain those loans, he provided lenders with documents which falsely claimed that his personal net worth was more than $30 million, including cash-on-hand in the amount of approximately $630,000. Lumley also did not disclose that he had an outstanding tax liability of more than $119,000. In total, he tricked lenders into providing more than $3.5 million in loans. Lumley later provided one bank with additional false personal financial statements purporting to show that his net worth had risen to more than $42 million,” the DOJ explained.

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