Former Iowa banker sentenced to prison for FDIC obstruction
CEDAR RAPIDS, Iowa (AP) — A former eastern Iowa banker has been sentenced to a year in federal prison and ordered to pay $1.2 million for hampering a bank examination.
Federal prosecutors for Iowa said in a news release that 39-year-old Martin Smith, of Center Point, was sentenced Thursday to a year and a day in federal prison. There is no parole in the federal system.
Smith pleaded guilty last year to aiding and abetting the obstruction of the examination of a financial institution. Prosecutors say Smith admitted backdating a refinancing loan to obstruct an investigation by the Federal Deposit Insurance Corporation. Smith’s actions ultimately cost the bank more than $1 million.
Smith was a vice president at Center Point Bank & Trust.