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Iowa Woman Sentenced for Bankruptcy Fraud Following FBI Investigation

Submitted by jhartgen@abi.org on

An Iowa woman has been sentenced to prison after pleading guilty to bankruptcy concealment following an investigation by the FBI, the Des Moines Register reported. According to a news release from the U.S. Department of Justice, Debra Leisinger, 58, of Sumner in Bremer County admitted as part of a plea agreement in U.S. District Court for the Northern District of Iowa that after filing for Chapter 7 bankruptcy protection in December 2022 she concealed from creditors an inheritance check for $147,969.28. "As a part of her scheme, Leisinger attempted to discharge over $65,000 in debts that she owed to her creditors but keep her entire inheritance,” the release states. “Ultimately, the United States Trustee discovered Leisinger’s scheme, she waived her chapter 7 discharge, her bankruptcy was dismissed, her inheritance was applied to repay her creditors, and she was prosecuted federally.” Leisinger was sentenced on Dec. 21, 2023, to two months in prison and a two-year term of supervised release. She was also ordered to pay $5,000 in court fees.